Canadian Tax Tips

Tax tips from my Accountant Steve Wuerth...

Do you have an accountant? Call Stephen R. Wuerth Professional Corp. 403-241-0422.

December Tips -

Call your accountant in early December and ask him if there are items to be planned or discussed, such as making use of any capital losses.

 

Keep a couple of cheques blank around December 31 in your cheque number sequencing in case payments later need to be dated in 2005.

 

For those of you with non-corporate businesses, who are considering a capital purchase or sale, remember the rule is: buy before December 31, and sell after. This will provide for an extra year of depreciation writeoff.

January Tips -

Remember; that statements pertaining to your taxes, such as mortgage statements [showing interest paid], start arriving in early January. Throw a copy in your 2005 tax file so you don't have to spend frustratinng time looking for them later.

 

Open a file for your 2006 taxes so you can start throwing in receipts such as donations as you make them, and medical receipts.

February Tips -

For those of you with incorporated businesses, be glad that Steve accrued a bonus at year end, that can now be paid directly from your company to your RRSP, without any pay witholdings, saving you the mad scramble for after tax cash.

March Tips -

Get your tax information to your accountant early!

Like everyone else we get tired, and may miss opportunities for you, if we're doing your return at midnite on April 29th? If you had little in the way of 2005 medical expenses, but significant ones [say dental] in early 2006, tell your accountant! It might get you a much larger deduction in 2006 by claiming medical expenses in 2006 for the period May 2005 to April 2006.

April Tip -

It is quite common for people, especially in Alberta, to be sittiing on a capital loss of $1000's, on some start-up company, that they'll never be able to use? Sound familiar? If so ask Steve about it. There may be a hefty opportunity for you.

May Tip -

If your assessment has a surprise, let your accountant know straight away.