n this video, I am going to talk about the risks of selling assets to your kids at a discount - specifically, the potential for double taxation. I will begin with introducing a hypothetical situation. Then I talk about how double-taxation occurs then give you 3 alternatives that may make the transfer of that asset to your children more smooth and tax efficient.
In today's episode, I answer your questions, including answers to the following: 1) CPP vs OAS deferral 2) Income investment strategies 3) Inflation 4) RRSP or TFSA for children - which one is better? 5) TFSA's in Retirement 6) RRSP Meltdowns
A couple that I spoke to last week are considering selling their country home that sits on a large property. They understand that the gain on principal residences is sheltered by the principal residence exemption. But because of the size of their lot, they are concerned that there may be taxes owing when they go to sell the property. In this video, we will dig into a fictionalized situation based on this tax scenario and determine if, in fact, our sample couple Jack and Jill have a tax bill owing when they decide to sell their country home
On April 16 the Minister of Finance delivered the 2024 Federal Budget in the House of Commons. The budget contained a long list of new spending initiatives and also included new tax measures that will have a big impact on individual Canadians and businesses. In this video I am going to focus on several items in the budget that I believe will have an impact specifically for retirees and their families. 1. The New Capital Gains inclusion rates 2. Amendments to the Home Buyers Plan 3. New RESP rules 4. Automatic Tax Filing 5. My personal thoughts on the budget to close
On March 28th, 2024 the CRA announced that Bare Trusts are exempt from the new trust reporting requirements for the 2023 Tax Year. While on its face this may come as a relief - the announcement has created a significant amount of frustration with taxpayers and their professional advisors. In this video, I will explain the announcement from the CRA last week, the impact on taxpayers who may have had a bare trust reporting requirement, and the reasons why I think the government needs to take notice of their mistakes here and make changes to the way that they roll out new tax policy to avoid more pain and frustration for taxpayers in the future.
The CRA has introduced new tax rules that take effect for your 2023 tax filings. The most significant changes come in the area of trust reporting. You may be thinking to yourself “I am not a trustee or a beneficiary of a trust, so I have nothing to worry about”. Not so fast. The new rules may put requirements on far more Canadians than most people realize. The impact of non-compliance can be significant fines and penalties, so you want to make sure that you remain on the right side of things with the CRA.
This week, the government of Canada announced their 2023 Fall Economic Update. The update included a number of measures that are going to impact the finances of Canadians. And the document itself was over 140 pages long. So I went through it and I pulled out the four items that I believe could have the biggest impact on people who are either already retired or who are getting ready to retire. We're going to walk through those four items and I'm going to explain them in a clear and concise way.
If you have been diligently saving throughout your working life, you may be disappointed to learn that at the end of the year you turn 71, you can no longer contribute to an RRSP account in your name. That means no more sweet tax-deductible RRSP contributions. Or, does it? In this video, I am going to describe 2 strategies that you can use to make tax deductible contributions to AN RRSP account that you can use even after you turn 71 years old.
Many retirees know that they have the ability to “split” certain types of retirement income. Pension income, and RRIF income (provided that the annuitant is over the age of 65) can be split with a lower income spouse in order to average down your tax bill. In many cases, retirees are surprised to learn that CPP benefits cannot technically be split on the tax return. They can, however, be shared. CPP sharing can produce the same effect as income splitting but it’s not a perfect process and it takes some work to figure out whether it makes sense for you. In this video, I am going to explain what CPP sharing is and how it works, and the conditions that need to exist so that CPP sharing makes sense for you. Then I am going to close with an example of a hypothetical retirement couple who used CPP pension sharing to lower their lifetime tax bill. And if we haven’t met yet, my name is Mark Walhout. I created this channel to share ideas and concepts that I am using to help people with retirement every day. If you want to get more videos like these consider subscribing to the channel.