Tax Planning

You can legally avoid capital gains tax on property in Canada by claiming the principal residence exemption on the home you live in. For a rental, cottage, or investment property, you can shrink the tax by raising your adjusted cost base, using capital losses, spreading the gain with a five year reserve, and moving property…

Estate planning mistakes can cost Canadian families tens of thousands of dollars in unnecessary taxes, probate fees, and legal complications. The five most expensive mistakes include failing to update beneficiary designations on registered accounts, ignoring RRSP tax consequences at death, missing capital gains tax planning opportunities, avoiding professional estate planning services, and forgetting about probate…

What happens to your RRSP when you die in Canada depends entirely on who you named as your beneficiary and what your relationship was to that person. The Canada Revenue Agency treats the full fair market value of your RRSP as income on your final tax return in the year of death, which means your…

Canada’s luxury tax adds a significant cost to any vehicle purchase above $100,000, but knowing the right strategies can save you thousands of dollars whether you buy or lease. The tax is calculated as the lesser of 10% of the total vehicle price or 20% of the amount above $100,000. This makes it a substantial…

Relocating to a new city or province can be a daunting process, especially when it’s for a new job or business opportunity. The good news is that the Canada Revenue Agency (CRA) allows you to claim certain moving expenses on your tax return. This can help offset some of the costs associated with your move,…

When you leave Canada, your child’s RESP does not automatically close, but it becomes a serious financial and tax concern almost immediately. The moment you become a non-resident, government grants may need to be repaid, tax implications shift, and your financial institution may ask you to close the account entirely. Understanding these changes before you…