tax planning
Loopholes Tagged "tax planning"
Plain-English guides to Canadian legal rights and workarounds related to tax planning.
Medical Expense 12-Month Rule — Pick the Best 12-Month Window Instead of the Calendar Year
CRA lets you claim medical expenses for any 12-month period ending in the tax year, which can produce a much larger credit than sticking to January through December.
OAS Voluntary Tax Withholding — Prevent a Surprise Tax Bill on Your Pension
Old Age Security does not automatically withhold enough tax for everyone.
Income Splitting with a Spousal RRSP
A spousal RRSP allows the higher-earning partner to contribute to the lower-earning partner's RRSP, claim the deduction at a higher marginal tax rate today, and then have the lower-earning partner withdraw those funds in retirement at a lower marginal rate — potentially saving tens of thousands of dollars in lifetime tax.
RRSP Meltdown Strategy — Draw Down Your RRSP Tax-Efficiently Before Forced Conversion
Canadians who will have large RRSPs at 71 face a 'RRSP time bomb' — mandatory RRIF minimum withdrawals that push them into high tax brackets.