New tax changes for 2015!
Payroll source deductions changed as of January 2015:
- QPP increased to 5.25% (for employee & employer each) from 5.175% (in 2014)
- QPIP remain the same as 2014 i.e. 0.559% (employee) and to 0.782% (employer) BUT the maximum insurable earnings increased to $70,000 (from 69,000 in 2014) and the annual maximum employee contribution increased to $391.30 via employer maximum contribution of $547.40.
- EI increased to 1.54% (employee) and to 2.156% (employer) from 1.53% and 2.142% respectively (in 2014)
Minimum wage increase:
In Quebec, the minimum wage will increase as of May 1, 2015 to $10.55 from $10.35 (20 cent increase) . The rate for employees who earn tips will increase to $9.20 from $9.05.
Limit on tax-exempt Car allowances paid by employer:
The limit increased to $0.55 per KM for the first 5000 KM and to $0.49 per KM for any additional KM.
Canada Revenue Agency:
What's new for 2014 taxation year!
- Manage online mail - no longer receive your notice of assessments or letters from CRA by mail - get them online!
- Family Tax Cut - non refundable tax credit up to $2000 to reduce your federal income tax
- Emergency services volunteers - the rules for the $1000 exemption have changed.
- Lifetime capital gains exemption - increased to $800,000 for disposition of qualified shares and farm & fishing property made after 2013.
- Adoption Expenses - maximum amount of eligible expenses for each child has increased to $15000.
- Medical expenses - see guide RC4064 for more information
- Ecological gifts - carry forward period for such gifts made after February 10, 2014 has been extended to 10 years.
- Cultural gifts - new rules apply - see Pamphlet P113.
- Children's fitness amount - maximum amount for each child increased to $1000.
- Search and rescue volunteers' amount - you may be able to claim an amount of $3000.
- Investment Tax Credit - Eligibility for the mineral exploration tax credit has been extended to flow-through share agreements entered into effect before April 2015.
- GST/HST credit - No longer need to apply for it - when you file your tax return, CRA will determine your eligibility and let you know.
- Amateur Athlete Trust (AAT) - Income contributed to an AAT now qualifies as earned income in the calculation of the RRSP contribution limit of the trust's beneficiary.
Principal changes for 2014 taxation year:
Please see details about the following items @ Revenu Quebec
- LogiRénov tax credit - 20% of the eligible expenses for the renovation of your principal house (maximum combined tax credit for two years is 2500$) - see line 462 of Quebec tax return.
- Tax credit for seniors' activities
- Tax credit for home support services for seniors
- Tax credit for children's activities
- Voluntary Retirement Savings Plan contributions (VRSP) - for more information see VRSPs
- Supporting documents
- Health contribution
- Quebec prescription drug insurance plan
- and more...