Cornwall Tax Service by Vita Majooran CPA

03/20/2024

02/28/2024

Don't let tax season stress you out! 📊💼 Get expert tax services from a Certified Public Accountant (CPA) to ensure you're maximizing your returns while staying compliant. Whether you're an individual or a business, we've got you covered. Contact us today to schedule your consultation and experience the peace of mind that comes with professional tax assistance! 📞

06/04/2023

💼 Our Services Include:
📌 Bookkeeping and Accounting: Maintain organized and up-to-date financial records, track income and expenses, and optimize your financial processes.
📌 Tax Preparation: Minimize your tax liabilities, maximize deductions, and ensure accurate and timely filing of your tax returns.
📌 Financial Statement Preparation: Generate comprehensive financial statements, including balance sheets, income statements, and cash flow statements, providing valuable insights into your company's financial performance.
📌 Financial Analysis: Evaluate your financial data, identify trends, and make informed business decisions based on reliable financial information.

03/03/2023

Please call or message me for all your tax needs

07/31/2021

Canadian resident taxpayers who own specified foreign property with a total cost amount of more than $100,000 at any time in the year are required to file Form T1135.

Specified foreign property does not include personal-use property. Personal-use property is generally defined as property owned by the taxpayer that he or she or a related party used primarily for personal or employment purposes.

A taxpayer who fails to file a T1135 form by the deadline will be penalized. At a minimum, the T1135 penalty is $25 per day for up to 100 days. The minimum penalty for failure to file is $100, and the maximum penalty is $2,500.

04/25/2021

Tax treatment of cryptocurrency for income tax purposes
- Cryptocurrency is a digital representation of value that is not legal tender.
- It is a digital asset, sometimes also referred to as a crypto asset or altcoin that works as a medium of exchange for goods and services between the parties who agree to use it.
- Basic concepts
- Any income from transaction involving cryptocurrency is generally treated as business income or as a capital gain, depending on the circumstance.
- Similarly, if earnings qualify as business income or as a capital gain, then any losses are treated as business losses or capital losses.
- Keep books and records
- If you acquire or dispose of cryptocurrency, you have to keep records of your cryptocurrency transactions
- This also applies to business that accepts cryptocurrency as payment for goods and service.
- You are responsible for keeping all required records for keeping all required records and supporting documents for at least six years from the end of the last tax year relate to.
- You should maintain the following on your cryptocurrency transactions:
- The date of the transactions
- The value of the cryptocurrency in Canadian dollars at the time of the transactions
- The digital wallet and cryptocurrency address
- A description of the transaction and the other party
- The exchange records
- Accounting and legal costs
- The software costs related to managing your tax affairs

04/21/2021

- If you collected COVID-19 related benefit payments last year, you might end up owing more money than in previous years.
- CRA has not extended the tax filing deadline
- Due date is still April 30 for most Canadians and June 15 for self-employed people
- Those who had a total taxable income of $75,000 or less and received one or more of the COVID-19 benefits listed below don’t have to pay their taxes until April 30, 2022.
- Eligible benefits:
- CERB
- CESB
- CRB
- CRCB
- CRSB
- EI benefits
- Similar provincial emergency benefits
- The government didn’t withhold any taxes on CERB and CESB payments Canadian received in 2020.
- It did withhold a 10% tax for people who received CRB, CRCB and CRSB benefits, but many of those individuals will still owe the government money, as most Canadians’ income is taxed at a much higher rate than 10%

04/15/2021

Pension Income Amount
If you are married or have a common-law partner, you may shift pension income from one partner to another, so the family pays lower tax. If you earn a higher income than your spouse, your spouse may have a lower tax rate, and transferring your eligible pension income amounts to your spouse will allow a decrease in the overall tax your family pays. You can transfer up to 50% of your eligible pension income to your spouse or partner.

04/14/2021

Tax Credits for Seniors
- Age amount (you are allowed to claim a credit if you were 65 or older at the end of the tax year)
- Pension Income Amount
- Medical expenses
- Home Accessibility Tax Credit (HATC)
- Other Federal credits

04/12/2021

Climate Action Incentive Payment 2021 (Ontario):
Single adult, or first adult in a couple $300
Second adult in a couple, or first child of a single parent $150
Each child under 18 $75
If you reside outside of a census metropolitan area (CMA) on December 31, as defined by Statistics Canada, then you are eligible for 10% supplement to the baseline amount of CAI (for residents of small and rural communities)

04/11/2021

Home office expenses for employees working for home due to COVID-19
Eligibility:
- you worked from home in 2020 due to the COVID-19 pandemic or your employer required you to work from home
- You worked more than 50% of the time from home for a period of at least four consecutive weeks in 2020
- Have a completed and signed Form T2200s or Form T2200 from your employer (only applicable if the detailed method is used to complete the claim
- The expenses are used directly in your work during the period
If you meet the eligibility, you can claim a portion of certain expenses related to the use of a work space in your home.
- electricity
- heat
- water
- home internet access
- maintenance and minor repair costs
- rent paid for a house or apartment where you live
Commission employees can also claim:
- home insurance
- property taxes
Salaried employees and commission employees cannot claim:
- mortgage interest
- Principal mortgage payments
- Home internet connection fees
- Furniture
- Capital expenses (replacing windows, flooring, furnace, etc)
- Wall decorations

04/05/2021

When should you consider setting up a holding company?
- It all depends on what your goals are.
- If you plan to leave majority of the cash and the investment within your corporation for many years, it may be good idea to explore a holding company strategy.
- On the flip side, by setting up the holding company you may forfeit your lifetime capital gains deduction and face higher professional fees.
- It is good idea to talk to a professional before setting up the holding company.