2020 year-end tax tips

Dec 4, 2020

Year-end is a time when we start thinking about winding down. However, in the field of tax planning, the end of the year is when we need to take stock, and potentially take action. Below you will find important reminders and tips to help you navigate year-end tax planning, grouped by personal profile and type of need.

Of course, this year we are also dealing with the effects of the COVID-19 pandemic, for which we have included a summary and guidance on the government support programs rolled-out this year. Click on the headings below to read the reminders and tips. They are high-level only, so please inquire further with your financial advisor and your tax professional to be certain if and how they may apply in your situation.

COVID-19 financial supports

In response to the pandemic, the federal government implemented a variety of non-taxable and taxable benefit programs. For the taxable benefits, withholding tax was not applied to the early program, and even as applied to the later programs, the amount withheld may not be sufficient to cover actual tax due once added to the recipient’s other income for the year.

This table will help you understand the tax treatment of each program, and whether you may need to set aside a cash reserve to cover any tax that may be due when you come to prepare your 2020 tax return.

Read more…

Recent Posts

Aviso Weekly Market Monitor: September 18th – September 22nd

Market developments Equities: The S&P 500 Index faces its worst week in six months as global investors grapple with the possibility of sustained high interest rates to combat inflation. The index slipped -2.9% for the week despite technology stocks partially...

Aviso Weekly Market Monitor: September 11th – September 15th

Market developments Equities: The U.S. stock market saw increased volatility and a decline in response to a $4 trillion options event, alongside concerns about a strike impacting Detroit automakers. Big tech companies like Nvidia led the losses, with the S&P 500...

NEI Monthly Market Insights: August 2023

Markets cool off in August The end of July marked the peak for the S&P 500 so far this year, as the steady market uptrend that began in mid March started to retreat as soon as the August began. Following a 20% S&P 500 Index return in the first seven months of...

Aviso Weekly Market Monitor: September 4th – September 8th

Market developments Equities: This week concerns surrounding economic slowdowns in China and the euro area, alongside rising oil prices caused equities to slide. Notably, technology stocks, such as Apple and Nvidia, played significant roles in market movements,...

How to choose a mutual fund

Mutual funds continue to be extremely popular with investors of all types. According to the Investment Funds Institute of Canada (IFIC), as of the end of 2022, Canadians owned a total of $1,809 billion in mutual fund assets. In recent years, exchange-traded funds...

Aviso Weekly Market Monitor: August 28th – September 1st

Market developments Equities: U.S. stocks saw a significant weekly rise as monthly jobs data suggested the Federal Reserve might halt its tightening measures. The S&P 500, Nasdaq, and TSX all increased by over 2.5% ahead of the long weekend. Despite improved...