With winter's worst (hopefully) behind us, tax season is here, and there are many changes that families will want to be aware of.
Tax time is never fun, but it's even worse when you miss out on credits or deductions you may have qualified for. Complicating matters this year are several taxation changes due to a Liberal overhaul of several Harper-era measures.
"I've seen more changes this year than in the past three years," says Lisa Gittens, a tax expert at H&R Block.
Here are eight things families will want to be aware of when filling out their 2016 return.
1. Last chance on certain tax credits
The government is phasing out a handful of tax credits and focusing on larger benefits. The children's arts and fitness tax credits will be halved for the 2016 tax year, and cut completely next year, meaning families will no longer be able to defray costs for things like swimming lessons, ballet and tutoring. For post-secondary students, the education and textbook credits are being eliminated in 2017, although education amounts carried forward from previous years will still be claimable.
2. No more income splitting
Also gone is the Family Tax Cut, which lets the higher-earning spouse transfer up to $50,000 of income to the lower-earner. During the 2015 election, the Liberals promised to cut it, calling it a "tax break for the wealthy."
With the benefit gone, Gittens recommends a spousal RRSP, which allows the higher-earner to contribute to the lower-earning spouse's RRSP and claim the tax benefit. "You may have an RRSP set up, but you haven't thought about setting it up for your spouse. This is an ideal time to use that strategy," she says.
3. Changes to child benefits
The Canada Child Benefit was a signature feature of the 2016 budget, replacing the old Universal Child Care Benefit and the Canada Child Tax Benefit. It's non-taxable, so you don't have to claim it. However, in order to continue to receive the benefit, both parents must file a return, even if one doesn't generate any income, says Gittens.
Also keep in mind that the benefit started in July, so you still have to claim the taxable UCC for the first six months of the year.
4. New tax rates
New tax rates mean you may or may not be pleasantly surprised by the size of your tax bill this year. If you're in the meaty middle that earns between $45,000 and $90,000, your rate will come down to 20.5 percent from 22 percent.
"Most Canadians will be receiving more money at the end of the day than they were under the old system," says Jamie Golombek, managing director of tax and estate planning at CIBC Wealth Strategies Group.
However, high-income earners will be paying more due to a new 33 percent bracket for people earnings more than $200,000.
5. Child care expenses
Childcare costs are usually the biggest deduction available for families, says Golombek. But what many people don't realize is that it goes beyond simply daycare. If you have a nanny, you can claim that expense, but also babysitting, if it's during the day, and summer or day camp.
6. Disability tax credit and family caregiver amount
If you have family members with a disability there are certain credits that may be available to you. The Disability Tax Credit is available to people with disabilities to reduce their taxes. For children under age 18, a parent or caregiver may be able to claim the unused amount.
If you're a caregiver to a family member with physical or mental impairments, you may also be able to claim an additional $2,121, according to the Canada Revenue Agency.
7. Selling your principal residence
Selling your home has typically not been something you've had to report on your taxes, because usually Canadians don't get taxed for capital gains on their principle residence. But starting with the 2016 tax year, individuals who sold their principal residence during the year must report the sale. The government is ostensibly doing this to crack down on people who try to pass off income-generating homes as their principal residence.
8. eFile early, get your refund early
Tax deadline is April 30, but if you want to get ahead of the game, file early, before the government is inundated with last-minute returns. You can still file the old paper return, but Gittens says you'll be looking at a turnaround time of anywhere up to eight weeks, versus 10-14 days for a return filed early and electronically.
Our editors share the items they are coveting this February—and they're all under $100.
As much as we love shopping, what we love even more is a good deal. Which is why we asked our style editors to share the items that they'll be shopping for this month. The good news? Everything is under $100, which means you don't have to feel guilty about picking a few things up yourself.
As I think about spring, I always begin to think about what sneakers I’m going to pick up. Spring is sneaker season, at least if you ask me. This year, I’m going back to basics with a classic pair of Vans. Bonus—they’ve been spotted on bloggers, models and off-duty actors, so you know this style is making a comeback. At the very affordable $80 price point, this will be money well-spent seeing as how I'll be living in them for the season. - Alexandra Donaldson, contributing editor
Vans Old Skool in Black and White, $80, getoutsideshoes.com.
Graphic pants are everything at the moment. Dress them down with sneakers, add heels for a more professional look, pair it with a form-fitting top to keep it sleek. They'll go with everything. - Noelle Gauthier, style intern
Uniqlo women smart style ankle length pants, $40, uniqlo.com.
Easy to apply eyeshadow
If I’m wearing makeup beyond my under-eye concealer and mascara, it needs to be efficient. Which is why I have my eye on this Nudestix eye crayon. The metallic hue will add a bit of pizzazz to my makeup look, without too much extra effort.
Nudestix Magnetic Eye Colour in Twilight, $28, sephora.com.
How come boyfriend jeans always seem amazing in theory, but never translate into the model-off-duty look when worn? These "girlfriend" jeans have a tailored fit making them far more wearable.
Gap mid rise best girlfriend jeans, $40, gapcanada.ca.
Animal motifs have been hot on the runway—but if you can’t afford to spring for Gucci (and really, who can?) you can pick up this panther cropped sweatshirt from Forever 21. At $25 it’s a steal—and super cute to boot.
Panther Graphic Sweatshirt, $25, forever21.com.
Kitten heels are making a comeback
A few years ago I never could have imagined loving the kitten heel like I do now—but these days everything is old new again. The low-heel allows me to survive in them all day, so I'm thinking they'll be sticking around for awhile.
Zara high-heel slingback, $46, zara.com.
Classic tee with a twist
A classic white t-shirt will never go out of style—which is why my wardrobe is stocked with them. The latest one I want to add? This cute and cheeky option from a local Canadian brand.
Daddy’s Day Off Make Out Tee, $30, likelygeneral.com.
Say what you want about the Kardashians, but they have the perfectly tousled California-girl waves I'm after. Enter this new haircare line by their trusted hairstylist, Jen Atkin. I'm eyeing this texturizing spray to recreate their manes.
Ouai texturizing hair spray, $32, sephora.com.
Put your slow cooker to work and save time with these 20 easy and satisfying recipes.
Serve this saucy pulled pork as sandwiches: piled high on buns, with bowls of garnishes, such as pickled jalapeños, sour cream, shredded cheese and thinly shredded red cabbage (or better yet, red cabbage slaw), and let guests build their own sandwiches.
This recipe can easily be left to simmer away in a slow cooker for eight hours before adding the chicken. It yields a large quantity of sauce that freezes well if you're feeding a smaller group. Serve over hot steamed basmati rice.
This roast, inspired by a classic Belgian stew, is juicy and tender over mashed potatoes, and the leftovers make the ultimate hot sandwich. Cook the bacon and onion mixture the night before so it's ready to add to the slow cooker in the morning without a lot of fuss.
This beanless regional specialty is a point of pride in Cincinnati, where fierce loyalty divides the city over which restaurant serves the best version. Cooked low and slow, with the distinguishing flavours of cinnamon and cocoa, the meaty, saucy chili is served over spaghetti.
This mild, sweet curry has all the comforting flavours of a curry without too much spice, making it a great choice for the entire family. Serve over steamed rice or with warmed naan bread.
You won't believe how tasty and easy it is to make this classic dish in your slow cooker. A piping bag - or plastic bag - makes easy work of stuffing the manicotti. Serve with a tossed salad and garlic bread for an easy family-style dinner.
A brisket needs to be cooked slowly, so using a slow cooker makes perfect sense. Ensure tender slices by cutting the brisket thinly across the grain.
Inspired by Portuguese caldo verde, this hearty, richly flavoured soup is a yummy way to use up an entire bunch of kale in one go. It freezes well, so leftovers make quick and easy lunches all week. The soup thickens as it stands; thin with water and adjust the seasonings as desired when you reheat it.
My mother, Shu-Lai Fong, makes famous pressure-cooked black bean spareribs. They're the inspiration for this recipe, which is just as delicious but uses a slow cooker. You'll find bite-size bone-in pork spareribs at most Asian grocery stores, or you can order them at your butcher's counter.
This hearty sauce is best served over a short pasta with lots of nooks and crannies it can tuck into and cling to. This ragu also makes a delicious lasagna filling when layered with sheets of fresh pasta and ricotta and mozzarella cheeses. Cost: $2.15/cup
There are few things more comforting than a bowl of rich, creamy seafood chowder. Sweet, licorice-like fennel naturally complements the seafood. Serve with oyster crackers or crusty bread and a simple green salad for a complete meal.
Chorizo sausage and flavourful spices make this chili a real treat to come home to. Stirring in chopped herbs at the end adds a welcome touch of freshness.
Slow-cooked then quickly finished on the grill, sweet and sticky glazed ribs are guaranteed to impress your guests. Pork side ribs are also called St. Louis–style ribs, but back ribs are equally delicious.
Finally a flavourful risotto that doesn't need any stirring! Dried mushrooms work perfectly to create an earthy aroma, we've used dried porcinis here as they're readily available, but any dried mushroom will do. Hearty pot barley makes adds a healthful twist and doesn't become overly mushy - even after 8 hours.
Sweet honey and tender shallots mellow the typically strong flavour of lamb shoulder. Serve with roasted potatoes and steamed greens for a complete meal.
We've swapped beef broth for chicken broth and onions for tender leeks but kept all the flavour in this lighter version of classic French onion soup. When you get home, just toast the baguette, broil the cheese and enjoy!
This veggie-loaded chili is so hearty that even meat lovers will ask for seconds. To freeze it, cook as directed, but don't add the mushrooms. Cook them separately and add to the chili after reheating it. Serve with crusty bread to soak up every bit of sauce.
Inspired by the traditional Mexican tacos served with spicy thin pork slices and pineapple, this slow cooker version features pork shoulder broken into tender bite size chunks. If you don't want to serve these as tacos, try serving the pork on top of steamed white rice instead.
This all-in-one meal is a roast version of classic beef and barley soup. The barley thickens the cooking liquid to make a delicious gravy.
Using stewing beef instead of ground meat adds delicious bulk to this otherwise classic chili. Serve as is or use it as a topping for baked potatoes.
Jodi Pudge Image by: Jodi Pudge