New capital positive factors inclusion fee: With its 2024–25 funds, the federal authorities introduced that capital gains in extra of $250,000 per yr can be topic to a 66.7% inclusion fee efficient June 25, 2024. That’s up from the 50% that utilized beforehand (and which nonetheless applies to your first quarter-million in yearly positive factors). Nevertheless, with the prorogation of government and the truth that the actual amendment to the Income Tax Act bringing the rule into impact has not but handed, many questioned if these modifications would apply to your 2024 tax return.
Learn: CRA to continue administering changes to capital gains tax during prorogation
New different minimal tax modifications: As of January 1, 2024, the AMT fee is 20.5% (it was beforehand 15%). Primarily, the AMT is a minimal stage of tax for Canadians who declare sure deductions, exemptions and/or credit to cut back how a lot private revenue tax they pay. The change doesn’t apply to most Canadians.
Learn: Update on bare trust tax filing rules for 2024 and beyond
Charitable donations extension: The Government of Canada announced extending of 2024 charitable donations to February 28, 2025, as an alternative of the anticipated December 31, 2024.
Learn: The best charities in Canada for 2024: Where to donate to make an impact
There have been plenty of tax modifications for 2024. In case you have any considerations, all the time seek the advice of a tax skilled.
