The Family Tax Cut – a drop in the bucket?

Last week the Harper government made good on its election promise to allow for some level of income-splitting for Canadian families. Unfortunately, the benefit is quite nominal. A married or common law couple can claim a maximum federal non-refundable tax credit of $2,000 for 2014 and subsequent taxation years. Couples can claim this credit when they file their 2014 Personal Income Tax Return. In addition to being married or living common law, the couple must also have a child under the age of 18. Please contact us for more information on the Family Tax Cut and to discuss other tax planning opportunities.