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FAQ 2021

Posted by Timothy Ross on February 1, 2021 at 12:32pm

https://www.ratehub.ca/investing/rrsp-rules

There is a maximum age for RRSPs. When Canadians reach the age of 71 they must close down their RRSPs at the end of the calendar year. Those who have RRSPs have three options when they reach 71. They can:

  • Collapse the RRSP entirely. In practice, this means withdrawing all the money in the account
  • Use the money in the RRSP to purchase what’s known as an annuity
  • Convert the RRSP into a RRIF

 

You can not invest directly into a RIF, it has to flow through an RSP. So if your older than 71, you can not contribute to a RSP and so you can not shelter money into a RIF either. 

 

One can invest into a TFSA at these ages though. 

 

 For some tax tips for 2020

https://improvingfutures.ning.com/blog/tax-reminders-for-2020-taxes

 

When Can taxes be filed this year ?

The EFILE program is now closed for the electronic filing of your clients’ initial and amended T1 personal income tax and benefit returns.
EFILE and ReFILE services will re-open on Monday, February 22, 2021.

 

NEW CLIENT ONBOARDING FOR TAXES

  1. Once we get T1013 processed with CRA we can continue
  2. Next will send them an engagement letter once cra authorization is in place
  3. Then we can down load prior yr to start comparisons so we do not miss anything
  4. Review prior year physical tax returns for familiarity of file
  5. Get 2020 info as available from client or cra
  6. Finalize tax returns, review any items of concern with client
  7. Get T183 signed
  8. Process tax return with CRA
  9. Check assessment once processed, compare with submission
  10. Documents along with tax return and assessment to be given to client, copy may be scanned if business, rental, or emailing to client or high probability of return to e required in future for third party, ie mortgage renewals, etc.

 

 

Tags: faq, rsp, rif, tfsa, tax, 2021
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Comments

  • Timothy Ross February 9, 2021 at 9:24pm

    $2/day in 2020 , no docs

    https://www.canada.ca/en/revenue-agency/news/2020/12/simplifying-th...

     

     

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  • Timothy Ross February 4, 2021 at 11:46am

    NEW CLIENT ONBOARDING FOR TAXES

    1. Once we get T1013 processed with CRA we can continue
    2. Next will send them an engagement letter once cra authorization is in place
    3. Then we can down load prior yr to start comparisons so we do not miss anything
    4. Review prior year physical tax returns for familiarity of file
    5. Get 2020 info as available from client or cra
    6. Finalize tax returns, review any items of concern with client
    7. Get T183 signed
    8. Process tax return with CRA
    9. Check assessment once processed, compare with submission
    10. Documents along with tax return and assessment to be given to client, copy may be scanned if business, rental, or emailing to client or high probability of return to e required in future for third party, ie mortgage renewals, etc.

     

     

  • Timothy Ross February 2, 2021 at 2:53pm

    The EFILE program is now closed for the electronic filing of your clients’ initial and amended T1 personal income tax and benefit returns.
    EFILE and ReFILE services will re-open on Monday, February 22, 2021.

  • Timothy Ross February 2, 2021 at 7:41am

    https://improvingfutures.ning.com/blog/tax-reminders-for-2020-taxes

    Tax Reminders for 2020 Taxes
      Good news on Child Care Expenses https://www.knowledgebureau.com/index.php/site/kbr/temporary-relief-for-claiming-child-care   CEBA Loans , reporti…
  • Timothy Ross February 1, 2021 at 2:56pm

    What breed are your sheep ?   they are self shearing, they are raised for meat, they cycle through out the year every 14 days , so are a good flexible breed to have 

     

    https://en.wikipedia.org/wiki/Katahdin_sheep

    Katahdin sheep
    The Katahdin is a breed of domestic sheep developed in Maine, United States and named after Mount Katahdin - the state’s highest peak. The breed was…
  • Timothy Ross February 1, 2021 at 12:32pm

    https://www.ratehub.ca/investing/rrsp-rules

    RRSP Rules - Eligibility, Age Limit, Contributions | Ratehub.ca
    Learn the rules of eligibility, contributions and withdrawals for the Registered Retirement Savings Plan (RRSP). Discover the maximum age limit for h…
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