- Increasing the non-refundable tax credit on charitable donations exceeding $200 per year effective 2018.
- Replacing the Ontario Surtax with new tax rates and tax brackets. Slight increase for higher income earners (above $71,500) effective 2018. The top tax rate of 53.53% (Federal and Ontario combined) for those earning $220,000 still applies.
What will my personal tax bill be for 2018?
|PERSONAL TAX TABLE
Self Employed Taxable Income
Including Ontario Health Premium ($000’s)
*In addition to the above, add CPP (maximum $5,128.20) if you are self-employed.
- Adopting federal government changes on the restrictions of income splitting with family members.
- Adopting federal government changes on reduction of small business deduction limit.
- Changing the Employer Health Tax which could increase tax liability for some employers. Details are not available at this time.
What will your corporate tax bill be for calendar year?
|Taxable Income $||2018 Combined Federal & Ontario Tax Rate (%)||2019 Combined Federal & Ontario Tax Rate (%)|
|0 – 500,000||13.50%||Between 12.50% to 26.5%*|
* Subject to reduction of small business deduction based on passive income earned.
**Applies to active business income of a CCPC (i.e. DPC/H/TSC). Investment income of a corporation would be taxed at 50.17% tax rate.
This summary was prepared by DCY Professional Corporation Chartered Professional Accountants who have been advising dentists/doctors for decades. Additional information can be obtained by phone (416) 510-8888, fax (416) 510-2699, or e-mail firstname.lastname@example.org, email@example.com, firstname.lastname@example.org, email@example.com. Visit our website at: www.dcy.ca. This article is intended to present tax saving and planning ideas and is not intended to replace professional advice.