Archives for taxes

Home Renovation Tax Credit and Medical Expenses

  

The Tax Detective has a great tax tip on her blog about the Home Renovation Tax Credit and how at the same time you can claim medical expenses on your return. Check it out…

Free Tax Preparation for low-income families

  

Free Tax Preparation for low-income famlies:

The CRA has an on-line list of Volunteer Tax preparation clinics and two local sites are  listed below:

1.  The B.C. ACORN Centre has now opened its free tax preparation service for low-income and working families in Metro Vancouver. To book an appointment for your FREE 2009 tax preparation, call the New West office or visit ACORN’s website.

    Surrey/Vancouver
    36 Begbie St.
    New Westminister, BC V3M 3L9
    Phone: 604-522-8706
    Fax: 604-522-8780
    bcacornva@acorn.org

    http://www.acorn.org

    2.  MOSAIC is offering free tax-preparation every Tuesday and Wednesday at their Burnaby office unitl April 28th.  You MUST make a reservation, call MOSAIC Burnaby at 604.636.4712 and ask for Angel.

    The offices are located at 

    7297 Kingsway
    Burnaby, B.C. V5E 1G5

    Phone:  604.636.4712
    Fax: 604 636 4729

    Directions

     

     

     

     

     

    How to track self-employment car expenses

      

    When a business owner is using a vehicle for both personal and business use, the same philosophy applies as with the home business expenses. Where square footage was used in the home calculation, kilometres driven are used for the vehicle calculation.

    Over the course of the year, the business owner maintains an envelope in the car, where all car expenses are stored. These include gas, repairs, insurance (and interest payments if the car is financed).  At the end of the year, the business owner then calculates what percentage of those bills are business expenses.

    This is directly tied to the kilometres driven for business purposes over the course of the year. To begin to calculate business kilometres driven, the total kilometres driven are required. This is calculated by subtracting the odometer reading at the beginning of the year from the year-end odometer reading.  Over the course of the year, it is essential to keep a logbook noting details of all business trips. After each business use of the car, the date, purpose of the trip, and number of kilometres driven should be noted. At the end of the year, adding the business kilometres in the logbook will provide the second half of the calculation.  Then, divide the total kilometres driven (derived from the odometer reading) by the business kilometres driven (from the logbook). This will provide the percentage of business use of the vehicle.

    If the business is a GST registrant, this is the percentage of GST on vehicle bills that can be claimed for credit as well.  This percentage is then applied to all vehicle bills. This is the amount that can be claimed as a business expense. Traditionally, the motor vehicle expense doesn’t appear on the income statement until year-end, due to the fact that the allowable business use portion of expenses (km percentage) isn’t known until the year’s logbook is totalled.

    Save Money on your Property Taxes

      

    Did you know that if you are a property owner and if you have a permanent disability or if you are the spouse or relative of a person with a permanent disability who resides in your home, you may be eligible for the additional Home Owner Grant of up to $275.00.

    When completing your Home Owner Grant be sure to indicate if you are eligible for the added grant by making a check next to box 2 (c) or 2 (d);

    2(c) I am designated as a person with disabilities, and receiving disability assistance, hardship assistance or a supplement, under the BC Employment and Assistance for Persons with Disabilities Act; documents required OR

    2(d) I am a person with disabilities, or am the spouse or relative of a person with disabilities, and the person with disabilities resides with me and I have provided the collector with the required Form B Certificate; documents required

    For more information contact your local municipal tax department or:

    http://www.sbr.gov.bc.ca/individuals/Property_Taxes/Home_Owner_Grant/hog.htm

    What you need to know about taxes and disability

      

    The Disability Savings Plan is a new saving option for families of children with disabilities go to the PLAN web site (www.plan.ca) for complete information.