2014 – New tax credits/deductions

Wednesday, 01 April 2015 05:33 Written by  Published in Money Read 1487 times
Here are a few reminders to ensure that you get the maximum refund, owe no money at all to CRA, or pay the least amount of taxes.

There are several tax measures that favour the family and take effect or the 2014 tax year, namely:

 

Family tax cut- this is a tax credit that simulates income splitting for families with children under the age of 18. To maximise this credit, it is best to do both parents tax returns together.

A replacement of the Child Tax credit with an enhancement to the Universal Child Care benefits. You will no longer get this credit in the tax return, however, beginning July 2015,you will get cheques for $160 per month for each child under 6 years old, and $60 for each child under 18 years old. Note that if you have never applied for the Universal Canada Child Tax Benefit or the Canada Child Tax Benefit, you must complete form RC66 and send it to your Tax Centre, if you wish to get this cheque each month. Please take advantage of this measure,because at the end of the day, this replacement is approximately $150 better (per child) than the previous measure.

The non-refundable Children's fitness tax credit has doubled to $1,000 per child, effectively, you get to keep $150 of the fitness dollars you spend for your child. Note that in 2015, this credit will be refundable, so that means even if you paid no taxes, you will still get this credit.

The adoption expense limit has been increased to $15,000

A few new eligible medical expenses have been added- check our website "domytaxestoday.com" to see a link for eligible medical expenses.

Last modified on Wednesday, 01 April 2015 05:55
Celia Meikle

Celia Meikle is a Chartered Professional Accountant, licensed to practice public accounting by the Institute of Chartered Professional Accountants of Ontario. Currently, she is a Partner in the firm Green Meikle & Smith Chartered Accountants. Celia is the proud mother of Daniel and Jonathan, and a member of Kingdom Life Ministries Church in Mississauga.

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Website: www.greenmeiklesmith.com/
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