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What is an
eligible dependant amount? This used to be called the
Equivalent-to-Spouse amount. If you were a single parent, you couldn't claim a
spousal amount. Instead you were allowed to claim one of your children as an
equivalent-to-spouse. This didn't really make sense. Your child isn't the
equivalent to your spouse. In 2002, CCRA changed this to the Eligible Dependant
Amount.
What about
the donations credit? To encourage Canadians to give to good causes, the
government allows us to use some of the money we give to gain a tax credit. You
have to keep the receipts and you can usually only claim for amounts you give
to a Canadian organization. People often come to the door asking for money for
a good cause. If you decide to give money, make sure you get a receipt. Then
you can have a credit to set against your tax.
Can I claim medical
expenses?
Not all of them. The government feels that it is reasonable to expect
us to pay 3% of our income towards medical expenses. If you had to pay
more than that, you can include the extra amount in your non-refundable
tax credit calculations. You can claim a wide variety of medical expenses
from drugs to dentures. Check the CCRA Guide to see just what you can
claim as a medical expense. |