123ArticleOnline Logo
Welcome to 123ArticleOnline.com!

ALL >> Business >> View Article

How Can You Save More With A Proper Tax Planning?

By Author: Ken Donaldson
Total Articles: 48

A good deal of tax saving is possible through proper tax planning in different types of investments. If a person wants capital gains on the transfer of any capital asset, whether a movable or an immovable property he can save a good deal of income tax by proper planning of investments. Below are some more creative and mostly used deductions available for proper tax planning?

Mortgage interest

Most people are not able to claim a deduction for mortgage interest, but it’s possible to deduct your mortgage interest by carrying on a business from your home. You don’t have to leave your job, but using your home as your principal place of business for selling some type of product or service on a part-time basis or using your home on a regular or continuous basis to meet customers will allow you to claim a deduction for part of your mortgage interest.

Self-employment losses

It’s usual in the first couple of years of a business to incur losses. These losses can be applied against any other type of income. You can’t create or increase a loss from home office expenses such as property taxes or mortgage tax, but those costs can bring your self-employment income down to zero and create a loss. Unused home office expenses can be claimed against self-employment income in the future.

Automobile costs

When you use your own vehicle in your employment and you did not receive a tax-free allowance or reimbursement to cover those costs, you can claim a deduction for a portion of all your car costs which can include gas, repairs, oils, insurance, licence fees, auto club fees, interest on a car loan, lease costs, capital cost allowance and more. If the total of your car expenses is higher than this tax allowance, you can choose to include your unreasonable allowance in your income and then deduct your actual car expenses.

Carrying charges

Most people are not aware of carrying charges that can be deducted which includes investment management and custody fees, fees paid to investment counsellors, safety deposit box fees, fees for recording investment income, tax preparation fees, interest on borrowed money used for business or to earn investment income and legal fees you paid relating to support payments that are owing to you.

Salary of an assistant

It’s possible to claim a deduction for wages or salary paid to an assistant if your employer requires you to pay for such a person’s services. You can hire your spouse or child to assume that assistant’s role as this can result in a sizable deduction against your employment income for amounts paid to that person and you’ll be keeping the money in the family.


Ken Donaldson is a Toronto tax specialist, who practices as an independent tax consultant. He is providing lots of information about how to manage tax planning. In this article you can find details information about canadian income tax. For more information visit taxca.com.

Total Views: 37Word Count: 486See All articles From Author

Business Articles

1. Five Things You Could Be Doing Wrong While Choosing Your Renovations Team
Author: Stephen Kavita

2. Add Value To Your Lancaster Home With The Right Renovations & Remodeling
Author: Cory Frank

3. Get The Most Out Of Family Counseling
Author: Cory Frank

4. The Case For Composite Decking
Author: Blue Star Carpentry

5. Motivation & Support
Author: EnemarkFitness.Lu

6. What Is A Leased Line And Its Advantages
Author: Ketan Shah

7. Carpet Cleaning And Flood Damage Repair
Author: Irvinecarpetcleaningmain

8. General Description About Bolts
Author: Harpreet Chhabra

9. Garage Door Service Irvine
Author: fastergaragedoors

10. Carpet Cleaning In Tustin
Author: gfcmain1

11. Colorado Garage Door Company
Author: broncogaragedoorservice

12. Hollywood Hills Carpet Cleaners
Author: Socalcarpetcleaning1

13. Custom Home Bars Make The Perfect Spot For Your Home Parties
Author: Larry Lynch

14. Overview On Benefits Of Telco Cost Saving To Benchmark Your Business
Author: Amber Brake

15. Corona Del Mar Carpet Cleaning
Author: greenfloorcaremain

Login To Account
Login Email:
Password:
Forgot Password?
New User?
Sign Up Newsletter
Email Address: