Personal Taxes – What’s new for 2014

It’s that time of year again and CRA’s efiling system is now open! Please get in touch with me ASAP at info@daynalange.ca or T: 604-607-3409 to get your taxes filed. The sooner we file your taxes the sooner your tax refunds will arrive!

Here’s some highlights on what’s new for 2014:

• In an effort to reduce and eliminate snail mail, CRA is requesting each taxpayer to register for online mail this year. This authorization will give you instant access to your tax records anytime, anywhere, online. I will request your authorization for this as part of your tax return preparation.
• The Family Tax Cut is a proposed non-refundable tax credit of up to $2,000, available to eligible couples with children under the age of 18. The credit is calculated based on the net reduction to your and your spouse or common-law partner’s combined federal taxes if up to $50,000 in taxable income was transferred from the individual with the higher taxable income to his or her spouse or common-law partner.
• Children’s Fitness Amount has increased to $1,000 (from $500).
• Under proposed changes, the Universal Child Care Benefit (UCCB) is being increased for children under the age of 6. Effective January 1, 2015, parents will be eligible for a benefit of $160 per month for each eligible child under the age of 6 (from $100 per month). Parents may also receive a benefit of $60 per month for eligible children ages 6 through 17. Payments of the additional amount and expanded amount will start in July 2015.
• For dispositions of qualified small business corporation shares and qualified farm and fishing property made after 2013, the Lifetime Capital Gains Exemption limit has increased to $800,000 (from $750,000).
• Rules for the $1,000 exemption for Emergency Services Volunteers have changed.
• As a Search and Rescue Volunteer, you may be able to claim an amount of $3,000.
• The maximum amount of eligible Adoption Expenses for each child has increased to $15,000 (from $11,669 in 2013).
• Amounts paid as salary for designing of personalized therapy plans for persons eligible to claim the disability tax credit and costs for service animals used to help manage severe diabetes, are now eligible as Medical Expenses.
• You no longer have to apply for the Goods and Services Tax/Harmonized Sales Tax (GST/HST) Credit. When you file your return, the Canada Revenue Agency (CRA) will determine your eligibility and will advise those who are eligible to receive the credit. If you have a spouse or common-law partner, only one of you can receive the credit. The credit will be paid to the person whose return is assessed first. The amount will be the same, regardless of who (in the couple) receives it.

Important Dates to Note:

• Information slips (T4, T4A, T5, etc.) are due to be filed with CRA by February 28, 2015. You can expect to receive any information slips issued to you in early March 2015 if you haven’t already received them. If you feel you should have received a slip and didn’t, I can obtain that information from CRA on your behalf as your Representative.
• RRSP contribution deadline is March 2, 2015. If you’d like to discuss how a contribution will affect your personal tax situation for 2014 please get in touch with me.
• Personal tax filing deadline is April 30, 2015. All taxes owing are also due on this date.
• For self-employed individuals, your tax filing deadline is June 15, 2015. However, any taxes owing are due on April 30, 2015.

Please see my fillable PDF form – 2014 Personal Tax Planner. Please fill out the sections that apply to you and forward them to me. In order to prepare your personal income tax return(s) I will require at least page 1 completed and included with your tax information.