Tax Planning and School Fees: Are you fully...
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Tax Planning and School Fees: Are you fully optimized? KGMS Parent Information Session Rise CPA and VELA Wealth May 21, 2020
Transcript of Tax Planning and School Fees: Are you fully...
TaxPlanningandSchoolFees:Areyoufullyoptimized?KGMSParentInformationSessionRiseCPAandVELAWealthMay21,2020
Agenda
Introduction Theroleoftaxplanning BenefitProgramsandKeyDates PrivateHealthServicePlansvsGroupBenefits TaxDeductions–Individual&Corporate
Introduction
HussainHajiCPA,CAPartner
RobWallisPartner–VELAWealth
TheRoleofTaxPlanning
BenefitProgramsandKeyDeadlines CanadaEmergencyResponseBenefit(CERB)–week3
IfeligibleforCERB,eligibleforEmergencyWorkerBenefitfor$1,000
CanadaChildBenefittop-up–ShouldreceiveinMay($300perchild) CanadaEmergencyBusinessAccount(CEBA)-expanded BCCommercialRentAssistanceProgram(ApplicationsopenMay25,2020) TaxDeferralsandDeadlines
PersonalTax DeadlineJune1,2020 PaymentDeadlineSeptember1,2020
CorporateTax(Decemberyearend) DeadlineJune30,2020 PaymentsDeferredtoSeptember1,2020
MedicalTaxDeductionExample-Individual
PersonalTaxReturn PaidPersonally
MedicalExpense(ifeligible) $25,000
(3%ofnetincomeormaximum$2,352)Deduct
$2,352
Expenseavailableforcredit $2,648
Non-refundableTaxCredit(20%)
$4,530
Exampleassuminghighestrateoftax
Childcareexpenses(Reductionofnetincome–marginaltaxratesavings) Under7yearsofage-$8,000 7–16yearsofage-$5,000 Thoseeligiblefordisabilitytaxcredit-$11,000.
Note:Eligibleinanytwelve-monthsendinginthetaxyear–carryforwardifnotused
TaxDeductionExample-Corporate
PrivateHealthServicesPlan(“PHSP”) PaidCorporately
Expense–E.G.SchoolFeesatKGMS(ifeligible)
$25,000
AdminFee(10%) $2,500
Tax-deductibletotal $27,500
Corporatetaxsavings(11%–27%) $3,025-$7,425
Note:Besuretospeaktoyouradvisors,eachindividualcircumstanceisverydifferent!
Anyquestionsandareyouoptimized?
PleasereachouttoHussainorRobtodiscussyourtaxstructureandpotentiallyusingthePHSP:
HussainHaji
6049364377 [email protected]
RobWallis 6047797052 [email protected]
