Entries by KHGrandForks

Mental Illness and the Disability Tax Credit

A recent case involving mental illness may have positive ramifications for future taxpayers claiming the Disability Tax Credit, in cases where those taxpayers have a mental impairment. A taxpayer had been diagnosed by a psychiatrist as having severe social anxiety disorder, severe panic disorder with agoraphobia, and chronic and moderate to severe generalized anxiety disorder. […]

Tax Changes to Come From Election

Now that a federal Liberal minority government has been elected, we can review some of the policies that the Liberals campaigned on to predict tax changes that may be coming in the next few years. Currently all taxpayers in Canada pay no federal tax on their first $12,069 of income. The Liberal government has pledged to […]


Starting in 2020, eligible seniors will automatically be enrolled in the Canada Pension Plan (CPP) when they turn 70. This will also include people who are over 70 but not registered to receive CPP. It is estimated that currently 40,000 seniors over 70 are eligible for CPP but have not registered. The average payout for these […]

New Type of Retirement Investment Introduced

Another significant item in the federal budget was the introduction of the Advanced Life Deferred Annuity (ALDA). An ALDA will allow a taxpayer to allocate up to 25% of the qualified retirement investment plan to an annuity. The payments from the annuity do not have to begin until the person has reached the age of […]

Changes to Guaranteed Income Supplement

Starting in July 2020, there will be changes to the income that can be earned by seniors without affecting the amount of the Guaranteed Income Supplement (GIS) that they receive. Previously, the first $3,500 of employment income earned by seniors was excluded from the calculation of the taxpayer’s income for the purposes of GIS. This […]