You will be pleased to know that any medical payments you make for the child or grandchild who does not reside in Canada may still qualify for the medical expenses tax credit. In a Technical Interpretation, CRA confirmed that, to claim a medical … [Read more...]
Just for Doctors Newsletters
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Mar, 2020 How the corporate tax deferral can secure early retirement
March 3, 2020 by
If your corporation’s income is taxed at a low tax rate of say 11 per cent, it means $89 out of every $100 of practice income is retained in the corporation. The tax deferral benefit will have a huge impact on your retirement savings. Suppose … [Read more...]
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Mar, 2020 Stock market plunge creates tax planning opportunities
March 3, 2020 by
While you wait for your investment portfolio to fully recover from the recent drop in the market, here are some tax planning ideas to consider. Tim Cestnick, well known for his columns in the Globe and Mail, makes these suggestions. Sell the … [Read more...]
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Feb, 2020 RRSP fees: from inside the RRSP or outside?
February 18, 2020 by
In a recent tax and estate planning report CIBC examined the question as to how best management fees for RRSPs should be paid. Should the fees come from inside the RRSP or be paid using outside funds? Intuitively, you might think that you would … [Read more...]
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Feb, 2020 Doctors stunned by large GST bills
February 18, 2020 by
CRA is reassessing health care professionals for amounts paid for services that do not qualify as exempt medical services. The amounts assessed including interest and penalties can well be over $100,000. Reassessments relating to cost sharing … [Read more...]
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Feb, 2020 Rules around reassessment by the CRA
February 4, 2020 by
Once you receive the notice of assessment for your tax return, the CRA can reassess you up to three years from date of the original notice. There are some exceptions to the three-year rule you should be aware of. If you have made a … [Read more...]
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Feb, 2020 What should your investment mix be when you retire?
February 4, 2020 by
The key principle of investing is determining the composition of your portfolio based on your risk preference. The life-cycle investing theory dictates your asset allocation should shift as you age from more to less risky investments. The theory is … [Read more...]
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Jan, 2020 The Perils of Buying Cash Value Life Insurance
January 20, 2020 by
Financial advisors are targeting high net worth individuals with a strong cash flow. The scheme is to make large deposits in a life insurance policy which creates an early cash surrender value (CSV). Then they arrange for a loan secured by the CSV. … [Read more...]
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Jan, 2020 New Subsidy for BC Doctors Who Pay Rent or Ownership Expenses
January 20, 2020 by
Starting April 1, 2020, eligible doctors will be able to claim extra fees for consultation, visit, counselling and complete examination services to help cover the rising rent or ownership costs of their office, including mortgage, utilities, property … [Read more...]
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Jan, 2020 Maximizing Your Interest Expense Deductions
January 7, 2020 by
Here are some tax planning tips to make the most of interest expense write offs. There are three tests you must meet in order to deduct interest on borrowed money. There must be a legal obligation to pay the interest. This can become an issue … [Read more...]
