For taxpayers there were more positive Canadian tax laws changes in 2009 than I can remember... millions of people stand to get a bigger tax refund than they did last year.
Vancouver, Canada (PRWEB) April 14, 2010
Taxpayers in Canada were the recipients of huge tax cuts in 2009 as federal and provincial governments introduced economic stimulus measures to kick-start the economy. While the 2010 budget has not been so kind, there is still time to claim 2009 tax refunds and credits that may never be available again by filing a personal tax return.
"For taxpayers there were more positive Canadian tax laws changes in 2009 than I can remember," said Thomas Moore, principal of Vancouver tax accountants, Tax Team Canada. "A lot of people are owed thousands of dollars, but don't realize it because they don't know how drastically tax laws changed last year."
"Although many people suffered during the economic downturn, millions of people stand to get a bigger tax refund than they did last year, they just need to make sure they fill out their tax return correctly."
Among the 2009 changes were federal rules which allow tax rebates for up to $9,000 spent on home renovations, which could add up to a $1,350 refund. Seniors over 65 benefited from a $1,000 raise in the Age Credit, and changes in the tax brackets meant that, on average, each Canadian had to pay $300 less income tax during 2009.
Some of the tax breaks and credits vary from province to province, but even low earners who have never filed a in the past can benefit. For example, by filing a 2009 tax return, a single mother in Ontario with a young child, earning $15,000 annually and paying $700 in rent monthly, could get more than $2,800 in tax-free income from Ontario's tax credits and benefits. On top of that this family would also receive federal tax credits and benefits.
There are also a huge amount of newly self-employed people who stand to benefit from filling out their tax forms properly this year. From the start of the recession in 2008 to the time the Canadian economy began to grow again in October 2009, the number of Canadians who classified themselves as self-employed grew by over 100,000.
"There is a big difference between the taxes you pay as an employee and the taxes you pay when you are self employed. Starting up a new business is a huge commitment, so we know there are a lot of small business owners out there who have neglected their 2009 tax returns," said Moore.
Luckily there is still time to file, and self-employed workers can claim back money spent running a home office; up to 50% of any meals and entertainment costs; deductions for equipment used in the business; and general expenses for private health-care plans, phone calls, insurance and vehicle costs.
Tax Team Canada is a Vancouver-based company that offers expert tax planning advice and consultation for clients with personal and corporate income tax issues in every province in Canada, except Quebec. For help filing your 2009 tax return and tax management in 2010 visit http://www.taxteamcanada.com. Clients that book an appointment before April 15 2010 will receive a Complimentary Financial Planning Session and Portfolio Review.
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