Canada: New Notice of Ways and Means Motion on the Table
Nothing about transfer pricing, international tax or corporate tax in this one. But since there is more than that to tax life…
From Finance Canada website available here (en français ici):
- “The NWMM (Notice of Ways and Means Motion) includes the new Family Tax Cut, increases to the Child Care Expense Deduction maximum dollar limits and the repeal of the Child Tax Credit.
- The Family Tax Cut is a new tax credit aimed at couples with young children. It allows a spouse to effectively transfer up to $50,000 of taxable income to a spouse in a lower tax bracket, with a maximum tax saving of $2,000 for couples with children under the age of 18.
- The Child Care Expense Deduction dollar limits would increase by $1,000, effective as of the 2015 taxation year. The maximum amounts that can be claimed would increase to $8,000 from $7,000 for children under age 7, to $5,000 from $4,000 for children aged 7 through 16, and to $11,000 from $10,000 for children who are eligible for the Disability Tax Credit.
- The Child Tax Credit would be replaced with an enhanced Universal Child Care Benefit (UCCB) for the 2015 and subsequent taxation years. Proposed enhancements to the UCCB would increase the monthly benefit from $100 to $160 for each child under the age of 6. The UCCB would also be expanded—giving parents $60 per month for children aged 6 through 17.
- Taken together, the measures announced on October 30, 2014 will benefit every Canadian family with children—about 4 million families in total.
- Over 180 tax relief measures have been taken since the Harper Government took office in 2006. Together, with proposed enhancements to the UCCB, these measures will provide a typical two-earner family of four with up to $6,600 in savings in 2015 alone.”
The complete Notice of Ways and Means Motion to amend the Income Tax Act is available here (Avis de motion de voies et moyens : en français ici).
Robert Robillard, Ph.D., CPA, CGA, MBA, M.Sc. Econ.
Senior Partner, DRTP Consulting Inc.
514-742-8086; robertrobillard “at” drtp.ca
DRTP Consulting Inc. solutions go beyond transfer pricing and international tax solutions. The information in this blog post is general information only. Data and information come from sources believed to be reliable but complete accuracy cannot be guaranteed. DRTP Consulting Inc. or the author are not responsible or liable for any error, omission or inaccuracy in such information. The opinions expressed in this blogpost are those of the author. Readers should seek advice and counsel from DRTP Consulting Inc. as required.