Occupational Pensions - any contribution qualifies for tax relief in the same way that a RRSP does.

Yes it is. For most people it is relatively straightforward and there is software that can be purchased for tens of dollars that makes it even easier. Failing that, you could always pay H&R to perform it for you or, if you want it done properly, an accountant.

A lot of the software is OK, however there may be deductions and allowances you are entitled to that an accountant should be able to point out to you. Anyone doing taxes for the first time, it is a good idea to use an accountant. A good one should save you more than they cost you. If you are self employed then an accountant is a really good way to go. When we first arrived we used a tax preparer and they helped a bit, low cost, but they made errors, although they did eventually cough up the penalty and interest I incurred because of their error, they did not however give in easily.

The problem I find with bean-counters is that too many want them to work for peanuts.

Tax software might do the trick but for those who have complicated returns, rental housing, investments, etc., an accountant is a must but those who are well qualified and well trained do not come cheap!

Nor should they.

Most people do not have a clue how long it takes to do a complicated tax return. Worse still is that those who don't anticipate a refund will begrudge paying.

Ironically in many cases, but certainly not all, those who do get a refund do not have the smarts to realise that during the previous year they have overpaid in the first place. I find that amusing

[QUOTE=The Aviator;7882430]You don't seem to have a grasp of the Canadian tax system or terminology. Your post is a tad misleading. There is a big difference between refunds and allowances and tax credits. Where do you get this refund for children? Are you referring to the CTB? You only get a refund if you have over paid taxes.

It is well worth anyone consulting an accountant before endeavoring on the tax mine filed as there are a multitude of pit falls. For example the RRSP there is a penalty if you over contribute, your refund is based on your marginal rate in the year you claim it, although you can contribute and not claim in the same year if you are in a low tax situation one year and expect to be higher the next.

Post secondary education, donations etc. are not refunded, they can be claimed on your tax return as a credit and help reduce your taxable income.


Hi there,

The amount for children refers to the amount you are allowed to claim for daycare expenses. I believe that I mentioned that in my first post. You are allowed to claim any daycare expenses against your salary (the lowest earning spouse) but at their highest tax rate! The maximum amount per child is $7500.00. As I mentioned before you have to pay tax to receive a tax refund. This has nothing to do with the CTB. I used the tax bracket of 30% because frankly it would not be worth it for someone to go two work and pay over $15000 a year in daycare expenses and not be earning at least $50000. (This is my opinion). As I mentioned before you cannot claim this or any RRSP deduction or post secondary education costs against your income until you have filed your taxes. You will then recieve a tax refund. The term refund comes directly from the CRA tax forms. As I mentioned before these amounts cannot be claimed until you file. So yes, many Canadians do overpay on their taxes which is why I recommended the person who asked to see an accountant before they file. Many Brits don't even know how to file as many don't in the UK. Most of these deductions are not even available in the UK.

[QUOTE=Juliew;7887544][QUOTE=The Aviator;7882430]You don't seem to have a grasp of the Canadian tax system or terminology. Your post is a tad misleading. There is a big difference between refunds and allowances and tax credits. Where do you get this refund for children? Are you referring to the CTB? You only get a refund if you have over paid taxes.

It is well worth anyone consulting an accountant before endeavoring on the tax mine filed as there are a multitude of pit falls. For example the RRSP there is a penalty if you over contribute, your refund is based on your marginal rate in the year you claim it, although you can contribute and not claim in the same year if you are in a low tax situation one year and expect to be higher the next.

Post secondary education, donations etc. are not refunded, they can be claimed on your tax return as a credit and help reduce your taxable income.


Hi there,

I see what you are saying; however the name of the post is salary deductions; so I provided salary deductions. The amount for children refers to the amount you are allowed to claim for daycare expenses. I believe that I mentioned that in my first post. You are allowed to claim any daycare expenses against your salary (the lowest earning spouse) but at their highest tax rate! The maximum amount per child is $7500.00. (Well the last time that I checked). You need to have incurred these expenses. As I mentioned before you have to pay tax to receive a tax refund. This has nothing to do with the CTB. I used the tax bracket of 30% because frankly it would not be worth it for someone to go two work and pay over $15000 a year in daycare expenses and not be earning at least $45000. (This is my opinion). As I mentioned before you cannot claim this or any RRSP deduction or post secondary education costs against your income until you have filed your taxes. You will then recieve a tax refund. The term refund comes directly from the CRA tax forms. As I mentioned before these amounts cannot be claimed until you file. So yes, as you suggest many Canadians do overpay on their taxes which is why I recommended the person who asked to see an accountant before they file. I do not want to mislead people into thinking that they will automatically recieve this money. It is however very useful to know what deductions you can claim against your salary. As mentioned previously many of these deductions cannot be claimed until you file.