February 14, 2014 By Anthony Capkun
February 14, 2014 – Canada Revenue Agency reminds you that if you bought new tools for work this year, you may be able to claim a tradesperson’s tools deduction of up to $500 on your tax return. You may also be allowed a GST/HST rebate.
Employers can also benefit. If your business hires a qualified apprentice working in an approved Red Seal trade, you may qualify to claim the apprenticeship job creation tax credit. This non-refundable investment tax credit is equal to the lesser of $2000 or 10% of the eligible apprentice salaries or wages. Don’t need to use the whole credit amount this year? Carry the unused amount back three years, or carry it forward up to 20 years!
To find out more about deductions and tax credits for employed tradespersons, visit www.cra.gc.ca/trades.
For more information on the apprenticeship job creation tax credit and other investment tax credits, go to www.cra.gc.ca.ca/smallbusiness and select Investment tax credit.
Don’t forget: the deadline to file your income tax and benefit return is generally April 30. However, if you or your spouse or common-law partner are self-employed, the deadline is June 15. (As June 15 falls on a weekend, the filing deadline has been extended to June 16.) If you have a balance owing for 2013, you still have to pay it on or before April 30, 2014.
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