Deductions Or Credits?What does it mean?Deductions:A Deduction reduces your taxable income, which is the most effective step.Credit:A Credit reduces the amount of tax that you owe, and may increase your refund if you are eligible.Be aware the amount deducted is 15% of the actual credit.Non Refundable Tax Credit:Reduces the amount of tax you owe, but does not increase the refund. |
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2011 Tax Season Is officially over. However let’s discuss how to reduce next years taxes |
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TAX RETURN TIPS And for more click here... |
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How can you reduce your Taxable income for next year? Best Option is the “Win—Win Option” = Start a business! ... The best way to reduce your taxable income is to start a business. This is also a Win—Win option as you can increase your income, while gaining tax deductions. Even if your business carries a Loss, you still benefit by reducing your taxes from the employment income... Ideal businesses, are ones that Ž do not require up front purchases, such as product inventory. Ž train you in a special interest, and provide business education Ž provide you with a product that you already are using I personally recommend: Ž A Representative with Primerica Financial Services, or Ž A Distributor with Melaluca Health products. Ž Both have Great Education & Awesome Products. So why not test out both? Ž At least consider a six month trail basis, get the education, test the products and get the benefits that they offer. If it works for you GREAT, if not then move on, and take the education with you for free...
The Next Best way to reduce your Taxable income is to Save some of your money in an RRSP RRSP—When you choose an investment that is appropriate to your risk level, you then have the choice to make it registered or non-registered. If it is registered then it is “Tax Sheltered or Tax Deferred” So the money you invest becomes non-taxable income in this tax year. This causes the Tax refund of tax that was already collected from you on your pay cheques. There are many options for investing your money. You could diversify with Bonds, Stocks or Real Estate. I recommend Mutual Funds because it is a mix of stocks and bonds and a portfolio manager supervises it. Even better than Mutual Funds are, segregated funds, since they offer extra benefits, such as a guarantee on the principle and creditor protection. Call me and let me show you more relevant information. |
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What Tax credits apply to you? There are many common Tax Credits such as: Ž Medical Expenses Ž Education Credits for Tuition and books. (May be transferred to parents or spouse) Ž Monthly Bus Passes Ž Charitable Donations Ž Political Party Donations Ž Child Health and Fitness Credits Ž Employment expenses Ž Union Dues Ž PLUS + Many Deductions for Small Business Owners
This option has many more ideas to discuss, let’s talk about it, over coffee, Call me... |
