It鈥檚 that time of year again 鈥� love it or hate it, it鈥檚 tax time. According to one local accountant, however, many taxpayers could really benefit by giving their 2016 taxes a little extra attention.
鈥淐hanges to tax rates, deductions and credits in 2016 could result in savings for many Comox Valley taxpayers this year,鈥� says Chartered Professional Accountant Nicole Cahoon. 鈥淭his is where consulting the expertise of an accountant really pays off. It鈥檚 our job to know the ins and outs of all the new amendments, and to maximize your refund or minimize your taxes payable.鈥�
Cahoon points out that changes focusing on families, education and home renovation rebates are at the forefront of 2016 tax breaks 鈥� with the introduction of several new credits that could save taxpayers hundreds of dollars.
鈥淔amilies should note that the Canada Child Benefit has been replaced with the Enhanced Universal Child Care Benefit and that the family tax cut has been eliminated,鈥� Cahoon explains. 鈥淥ther changes include tax rebates for mobility-focused home renovations, which allow seniors, their spouses and older adults 65 and over who qualify for the Disability Tax Credit to claim 15 per cent of eligible home improvements up to $10,000.鈥�
In addition, she adds, several tax rates have been adjusted for the 2016 tax year.
鈥淭he federal tax rate for people earning between $45,282 and $90,563 has been reduced, while the rate for those earning over $200,000 has been raised,鈥� explains Cahoon. 鈥淭here is also a new requirement for homeowners to disclose sales for which they would claim principal residence deductions.鈥�
Since all credits and deductions have specific requirements that must be met, Cahoon actually recommends everyone consult a professional accountant before filing their taxes this year to ensure they benefit from all eligible deductions.
For more information about any of the new tax amendments, or to find out more about personal and corporate tax returns, contact Cahoon at 250-871-1121 or online at www.nicolecahoon.com.
