4th Quarter Tax Tips and Traps Newsletter Review
Since our doors opened over 30 years ago, the modus operandi at Core Partners Chartered Professional Accountants in Dawson Creek, British Columbia, has been to provide individuals and businesses high-end accounting, tax and advisory services.
As chartered professional accountants, we also want to empower you, our local businesses and community members, to better understand the possibilities and pitfalls of the tax system in Canada. We do so by sharing Quarterly editions of the Tax Tips and Traps Newsletter. Take a peek and learn how some of the most recent tax developments may help or harm your finances.
Read the complete 2019 Fourth Quarter edition of Tax Tips and Traps to find out if your employee parking pass is classified a taxable benefit. Be aware that going forward, the Canadian Revenue Agency (CRA) may change its assessing policy around parking passes thus requiring benefits that were not previously tax to be reviewed in the upcoming year.
Do you dabble in buying and renovating homes and have plans to move out of a property that you lived in for only a short time? If so, be sure to have all the documents and receipts available that support the fact that you intended to establish residential roots and live in the home in question. Property flipping cases have presented in Tax Court with questions revolving around intent to sell for income, capital or principal residence sale. Without sufficient proof to indicate you ordinarily inhabited the property you are selling, you may be fully taxed and could even face tax penalties.
Read on to find out more tricky tax situations to be aware of from taking or giving personal loans to a shareholder of a corporation who also happens to be a family member, to reconsidering a job opportunity if the commute is a considerable distance as it will likely not be deductible.
Best Tax Practices
The CRA has also publicized some best practices regarding the protection of personal tax information. Where appropriate, be sure to:
- Aign up for a CRA My Account or My Business Account and register for email notifications
- Set up a unique Personal Identification Number to help authenticate your identity
- Request the badge number of a supposed CRA representative you are on the phone with, and then call to confirm should you have any doubts regarding authenticity
On a positive note, word has it that there is currently a surplus of unclaimed bank deposits and properties under legislation in Alberta, BC and Quebec. Basically, accounts in which there has been no activity generated or contact with the owner for a specified period are available for those eligible to make a claim. For unclaimed funds reported to the Bank of Canada visit:
To search unclaimed properties for each legislated province visit:
unclaimedpropertybc.ca (British Columbia)
If you have any questions related to your individual, business or farm taxes, give us tax traps to avoid, we are more than happy to help you to better understand your personal tax situation and provide the personalized assistance you need.
Click to check out the 2019 Fourth Quarter Tax Tips and Traps Newsletter!