It is now tax season for Canadians and I wanted to share 3 tax reductions you may have missed.
1. If you have children claim the Children’s fitness tax credit.
If you have children who were under 16 in 2011, consider whether you can claim the children’s fitness tax credit and claim up to $500 per year for eligible fitness expenses paid for each child.
Childcare expenses are also deductible. Eligible expenses can include daycare fees, boarding school, or summer camp fees. The maximum you’re allowed to claim under the childcare deduction is $7,000 for each child under seven at the end of the year, and $4,000 for each child over seven and under 16.
2. The Disability Tax Credit.
Many people don’t even realize that they may be eligible for the Disability Tax Credit.
It includes a wide variety of disabilities including:
- Asperger’s Syndrome
- Bi-polar disorder
- Manic depression
- Anxiety disorders
- Irritable bowel syndrome
- Type 1/2 diabetes
- Learning disabilities.
This can result in up to $3000 in tax savings each year and can be applied on prior year taxes can result in additional savings since claimants can go back as far as 10 years.
Ensure that you take advantage of all available deductions. This includes proper depreciation of your vehicle, parking, business association fees, entertainment, cellphone bills, depreciation on your PC.