Whitby Free Press, 25 Jan 1989, p. 19

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WWITy FIE pRSS, WEDNE8DAY, JANUARY 25, 1989, PAGE 19 X TMTXTTA TmhriE TAX p« TimE TAX TIMTAXTIM TAX Canadians'9 tax bite was bigger ir Canadians' dircct and indirect tax bis arc continuing their upward spiral, according to the Fraser In- stitute, an. indepcndcnt rescarch group. The Inst.itute calculatcd the average Canadian famni ly'sgross in- corne for 1988 would be $39,500, of which more than half -$20,697 or 52.4 per cent - would bc necded to pay incomne taxes, sales taxes, ex- cise and property taxes and deduc- tions for pension programs. Surprisingiy perhaps, the Fraser 1 '88 group said Aibertans' tax load is the highcsl. in Canada at 60.8 per cent despite the fact Alberta has no retail sales tax. Quebec's taxes ranked second at 52.9 pcr cent and Ontario's third at 51.4 per cent. Other provinces' rates were: 50.6 per cent in British Columbia; 50.5 per cent in Sas- katchewan; 47.9 pcr cent in Manitoba; 43.9 per cent in New Brunswick; 41.9 per cent in Nova Scotia; 39 per cent in New- foundland; and 36 percent in Prince Edward Island. Volunteers help needy complete taex returns Revenue Canada's cornrnunity volunteer programr, now in iLs 1 8th year, provides practical help in preparing tax rcturns for people who need assistance but can't af- ford to pay for i. By the ime the return deadline of April 30 arrives, some ens of thousands of Canadians will have benefited, Revenue Canada says. Cornrunity groups and associa- tions are encouraged to participate this year, as every helping hand is welcome. Best of ail, no previous experience is required, only a desire to help others. Training sessions are providled The tax departrnent provides srnall-group tax training sessions to voluniteers, usually in January or February. Changes to the tax forms are reviewed and reference material is supplied to each volunteer. Then the volunteers heip others in their cornrunity - especially low-in- corne carrners, immigrants, the elderly, and the disabled. Only straightforward tax returns are completed by volunteers, but ongoing assistance is available from the tax office if a difficulty is encountered. This year, the effects of tax reform will place a greater demand on the service and the need for volunteers is greater than ever. Becoming a tax voluntecr is easy and rewarding. Cornmunity groups and organizations interested in or- ganizing ffhis vital cornrunity ser- Timely tax tips In order to dlaim the education arnount for self, you may claim- courses at an institution certifie-d by tie Minister of Employnient and linmigration cvcn il' Lhcy are noi aI die post-secondary level. llowever, they mnust furnishi a porson with skills for, or improve a person 's skilis in, an occupation. 'ýdwuý- o \ou were living coni- mîo-avou rnay bc able to clin,. dic S5,000 '"equivalent-to-married amnount -~ one of your depend ents. While you may use your non- refundable tax credits to reduce your federal tax payable to zero, the unused portions are not refundable to you. In somne cases, though, you may be abe to transfer the unuscd amounts to someone else. For cx- ample, the unuscd portion of your age and pension incorne amounts may be transfcrred to your spouse. Other transferablc credit amounis are disability, tuition and education. vice cari contact thie public affairs officer in the nearest district taxa- tion office to arrange a ime and place for training the group's mcm- bers. Individuals who would like to be- corne volunteers are equally wel- corne, and may join a training group by calling the district office public affairs officer who will put them in touch with a group. Phone numbers are listed in the telephone book under Revenue Canada, Taxation or in the tax guide which accompanies ail tax returns. Incorne ($000)j Donations stili mean tax relief in ref orm Chances are your tax breaks as a result of charitable donations wili increase rnarginally under tax reform - at least if your taxable in- corne is less than S55,000. But it's likely to be a bit more cornplicated because froin now on you geL "credits" instead of dcduc- ions. The credits are 17 per cent on the first S250 you give aint 29 per cent on adidional ainoiuns. Other rules arc unchanged. So credits are sit i mmted to a maxi- mum of* 20 per cent of* your net in- come f'or the year; carry-lorwards of unuscd ainouns are pcrrnitted f'or five years; and special rules for donations of cultural property, gifts to the Crown ýandI gifts of property as opposcd to cash are. ail as they were in pre-rcformed days. As before, in inosi. cases it.s still best for one spouse to daim al donations made by both partners. There are exceptions, however, and you'll want to checkt.hese out ifyou and your partner have donated fair- ]y large amnounLs to cliarity in the year. Also make certain, your credits don't excced yourtotal tax liability because they're not refundabie. In- stead, plan to carry any balance for- ward to benefît in a future tax year. Iresistible *RRSP What makes our Special Bonus* RRSP bard to resist? In addition to our competitive daily published rate, you get a 7 one-haif per cent bonus on an RRSP Guaranteed Investment -Certificate that matures May 1, 1990. * This bonus applies both to new and transfer deposits. There *are no administration fees. And you receive an instant tax reeeipt. m Just eut out this ad and present it at your nearest National ITrust branch. Ask us about our complete range of RRSPs.1.................. If you're thinking along the lines of a Self-Directed or Mutual Fund RRSP, talk to our knowledgeable staff. - At the branch or on the phone, you'll find themn *eager to help. IA loan could be a smart move.g Get the most out of the tax benefits of an RRSP by depositing as close to your allowable maximnum as possible. If you don't have sufficient funds available . . . . Ilet us show you how a National Trust RRSP I ban can be a smart financial move. *The smartest financial move you can make. * Whatever your RRSP needs are, corne in and let us look after themn for you. ...... *NATIONALTRUST WhitbyU * 308 Di.mdas St. W. 668-9324 I * 352 Brock St. S. 666-1800 'Terms & Conditions:................. - *Offer cannot be used with other offers -Offer expires March 1, *1989 -Applicable to contributions and transfers in - $500. *minimum deposit -.Maturity May 1, 1990 - Non-cashable prior *ta maturity - Wil be renewed for 1 year terni autonlatically on xnaturiiy unless advised prior to maturity - Bonus is added to our p 1ihelishedGCIC rate on the day you make youx ceposit Uffr ta retail clients only, flot through brokers. How many pay less EJHow many pay more The Effects of Personal Income Tax Reform Thousands of households 4,000 3,000 2,000 1,ý000 50-100 100+ 30-50 15-30 0-15

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