My third year filing taxes, and I have yet to understand the logic behind it.
Last year, I had a return of $350... Not as good as my first year, but still respectable. This year, my return is $90. That's a 75% cut from last year.
I made $800 more in 2008 then in 2007. Apparently breaking that $21,000 barrier cranked my taxes by more then $200.... Which doesn't make much sense to me, personally.
I'll say this much, I'm not going back to H&R Block for my taxes... If Liberty fucked something up, at least it was in my favor... If H&R Block fucked something up, it was in the the governments favor.
Someone fucked something up. My GST return this year, will be better then it was last year by $5.... So how does my GST return go UP but my income tax return go DOWN?
If anyone knows how that tax bracket bullshit works on how I get taxed an additional $200 on $800 more income... Let me know. Cuz I'm fucking baffled.
Cheers,
The Zodiak
Subscribe to:
Post Comments (Atom)
1 comment:
Canadian taxes are a wonderful thing. Here is what happened to you from what you said.
Since you Broke the 21,000 line you put your self up a taxable income beacket. In doing so you made the need to make sure your being taxed enough/putting enough into protected places a must.
Now thats what happened to the amount you lost. As for gaining money on you GST. Simple your income still places you with (no offence) the poor people, which makes you receive more on GST. ALSO when it comes to gst the size of your return does have some small impact on it as well. A return of $90 is also a sign of the (again no offence) poor bracket.
Not knowing all the Important stuff (like having the work infront of me) It would appear you have no RRSP? as well are your emplayers taking enough taxes off of your income? How much do you give to charity (if any did you tell them) Did you claim Rent? Do you have any other deductables that you know of?
Here are some ways to raise your tax return.
1. Have your employer take more money off your pay, it is helpfull and adds up at the end of the year, there is an option on your tax forms.
2. Invest in RRSP/Investments: This is simple, go to an investment firm of some sort (The investors group, TD Water house, BMO, All major banks have one. give them what you can afford and what you want to do, and they will do the rest (for a small fee)
3. If you open A RRSP, Open at least one bond/GIC in it. Bonds/GIC are great and easy to understan. You open one and place a amount of money into (normally in $500 amounts) they sit there for a few years (1/3 years) and compound intrest either 1/4 anualy 1/2 anualy (semi anualy) or anualy. Now the amount of Intrest is not much with Bonds/gic, but it is a gaurenteed return on you cash invested, then you keep the extra and reinvest the rest when it matures.
Now the only issue with an RRSP is that it is a "Tax shelter" but you get taxed when you remove money from it. The big thing here is it stands for Registered retirement Savings Plan, so the tax issue wont come up till your too old to care.
BONUS: you can use the RRSP borrow against it to buy a house tax free and only have to pay it back with in 5-10 years (dont quote me on the amount of years)
Hope this helped out, and better luck next year
Post a Comment