Year End Tax Planning Tips and Reminders – December 2022
As we approach the end of the year, now is a good time to start thinking about tax planning so that you make the most of opportunities available to you, as well as be prepared when deadlines are due.
As a result of rising inflation and increasing housing costs, the Federal Government has proposed several individual and corporation tax measures. These measures were proposed in Bill C-32 and we will provide more information as it becomes available after the bill is passed into law.
Please find attached our Year End Newsletter for 2022.
Important dates:
Personal tax:
• Last day to contribute to RRSP for it to be deductible for the 2022 tax year is March 1, 2023. Also consider having the higher income earning individual contributing to their spouse’s RRSP via a “spousal RRSP” for greater tax savings.
• Last day to realize capital losses to be able to offset capital gains from the 2022 tax year is December 28, 2022, to account for the settlement period of two business days.
• If you have entered a prescribed rate loan during the year, a reminder that interest must be paid by January 30th, 2023
Corporation tax:
• Payroll remittances for bonuses paid in December 2022 may be due shortly after the year-end depending on your remitter status, don’t forget to remit on time!
• A reminder that you may need to file an Ontario annual information return, this is a legal requirement and not an income tax return. This is due 6-months after the corporation’s year-end. Please find more information in our newsletter attached.
