Many people get in trouble because they of attempts to evade paying taxes. Sooner or later they get caught and that is when their problem worsens. What they should be doing is minimizing the taxes they need to pay. Tax evasion and minimizing the taxes you have to pay are two very different things. Tax evasion leads to fines and jail time even. Hiring the services of a competent competent accountant Mississauga, on the other hand, legally reduces the taxes you owe.
When it comes to taxes, most of us will be surprised by the volume of tax rules and tax breaks we don’t know about. And if we don’t know about them we cannot take advantage of the benefits they offer.
Just a few examples of Canadian tax breaks few avail of:
a) If they are paid in the same year, moving expenses, child care expenses, safety deposit box fees, charitable donations, political contributions, medical expenses, alimony, union and professional dues, interest and carrying charges, are deductible from taxable income.
b) Under new laws, a maximum of 50% of pension income from one individual may be transferred to a spouse with a lower income. This results in significant reduction in taxes due.
c) You can ask your children over 18 years of age to invest in your own company to earn dividends of tens of thousands of dollars without having to pay taxes. This is because of the cost of their education is deductible.
There are much more legal strategies for reducing tax liabilities that only a professional accountant Mississauga will know about.