Q: What is a personal income tax?
A personal income tax return is compiled of an individual’s personal activity that incurred in the calendar year. Personal income taxes normally consist of information such as revenue, investments, RRSP contributions, charity and donations, medical and dental, other sources of revenue etc. Every individual in Canada must remit a personal income tax to the government.
Q: When is Personal Tax filing deadline?
Personal income tax deadline is April 30th
For registered companies, the deadline is June 15th
What are the Income-tax brackets?
Revenue:
(Provincial)
43,790 or less- 15%
42,790 to 87,575- 20%
87,575 to 106,555- 24%
106,555 + 25.75%
(Federal)
15 269$ or less- 0%
15 269.01$ to 43 790$- 15%
43 790,01$ to 87 575$- 20%
87 575,01$ to 106 555$- 24%
Please Note: these are the tax rates based on 2019 Revenue Quebec Calendar.
Q: Should I buy RRSP’s?
RRSP’s help individuals reduce the taxes to be paid. Depending on the revenue being declared, if it is high, then it is a good idea to purchase RRSP for the income tax year and apply the tax slips provided by the institute offering the slips to the tax returns to reduce the taxes.
Q: What type of expenses can I use for rental properties?
Some of the expenses that can be applied against rental revenue are as follows:
Interest on the mortgage
Condo fees
Renovations
Professional fees (lawyers, notaries, accountants)
Appliances
Please note: an individual must have the original receipts for the above expenses in case of verification.
Q: If I’m a sole proprietor, how do I file my taxes?
A sole proprietor files their business activity in the other business income section of their Personal Tax Returns.
They will need to have the total of the calendar year’s revenues and expense disbursements tallied up and applied to the correct categories.
Please note: an individual must have the original receipts for the above expenses in case of verification. Our priority at 514 Accounting Inc. is to make sure to maximize our client’s income tax returns taking our time to prepare each return like our own.