“OUR DAUGHTER has a

‘contract to work in .

Jepan; ‘her. income won’t be’
taxed there: Rumor has it
that-unless she closes her
: bank accounts here — even ..
those in joint names with us -

‘Canada’ after the year, Revenue
Canada will assume she is still a
Canadian 1 esident and tax her

you're ‘supposed to be away at least’
two years.and do ‘everything vit

your daughter doesn" t plan to.

return to Canada after the year and

will look for another job abroad, ©”:
he should probably move her:

banking business to Japan: And she |.

should have her mail sent directly
toher. address i in eae

coniputer training business is .
holding - an ‘open house tomor-

PSL: Compulearn recently opened .
central Lonsdale (raining facility, .

NORTH VANCOUVER

interpretation bulletin [T-221-R2,
Determination of an Individual’s
Residence Status.

“Pm a 3l-year-old woman and
have just bought a condeminium.
I’ve had my own business for
seven years and am thinking of
starting another business in the

‘mext year or so. I’m allowed to ©

put $11,000 into my RRSP for
1994 but I don’t want my funds
locked ia. What should t do?” —
H.M.

'. Let’s say you have — or can
arrange to have — taxable income

- of at least $40,000 this year, and

taxable income of perhaps $19,000.

_next year. You could then con-

tribute the $11,000 now and with:
draw it as early as Jan. 1 next year
if you need the money for your new

~ business. By claiming a deduction
’ for 1994 in the 41% tax bracket

and withdrawing/declaring the
money in 1995 in the 25% tax

o bracket, you'll save $1,650 tax.

-You could put the money into a
30- -day or other short-term deposit

~-< which would automatically renew ~
_on maturity until you either took
-, out the money or could invest it for -
“a longer term." ~

A mortgage mutual fund i is also
liquid, but could drop in value (to a
lesser degree, the same could hap-
pen to a money market fund), and

‘you might have to pay a service

charge. °

“You recently mentioned Ottawa
is going to study family trusts, so

people should set one up soon if

“they could benefit. How can I
find out more about: family

trusts?” —AB. . "
A family trust can often help

: reduce a family’s total tax bill,

__ especially for a high-income pro-

: fessional or businessperson.

~ Unfortunately, most literature
‘on this topic is too technical for the

‘ordinary individual. Call an

accountant or tax lawyer who does
family trust work. Briefly describe
your situation to see ifa family .”
trust could help you. and if so, set
up a meeting.

“Does the age. ‘exemption disap-

offering private, public and Cus- -

tomized training in current state-of-
the-art software such as DOS, —
Windows, MS Word, WordPerfect,
Excel, AccPac and more. ;

; ~The company’s open-house is
“on Thursday, April 7, from 11 a.m.

pear completely if your income is
over the threshold, or is i¢ on a
graduated scale? I can't make
two years’ charitable contribu-
tions in 1994 but can I carry for-
ward my 1994 donations and add
them to my claim for 19952” —
VS.

This year, you lose up to $1,741
of the age amount at the rate of 7.5
cents for every dollar your net
income exceeds the $25,921 thresh-
old. In 1995, you lose up to the
entire $3,482 at the rate of 15 cents
for every dollar over the threshold.

Yes, you may carry forward
your 1994 donations and add them
to those for 1995. If the total
exceeds $200, that will save you
more tax than claiming them each
year.
“Will mutual funds being invest-
ed in Asia and Latin America do
well?” — HV. |

’ Both areas have the potential for
strong economic growth. But polit-
ical factors like China taking over
Hong Kong in 1997 and the
inevitable upheavals we’ve come to

expect in almost all those countries -

is likely to make investing a partic:

; ularly bumpy ride.

If your shock absorbers aré
good enough for the long haul, ..
invest some of your money in those
funds. |
“I'm 66 with no private pension
and no RRSP. How can { create
the $1,000 pension income you
talk about to save tax?” — IR.C.

* Buy a “qualifying annuity” (but .

probably not one that locks you in

. for life) from your financial institu-
~ tion to produce $1,000 income a

year. Confirm you'll be able to
declare this as pension income
instead of interest, and so claim the
$1,000 pension income amount to

: Save you about $265 tax a year.

Mike Grenby i is a North Shore-
based columnist and independent
financial adviser who works with
individuals; he will answer your.
questions in this column as space *

' allows —write to him clo North :

Shore News, 1139 Lonsdale Ave.,
Nor th Vancouver V7M 2H4.

“to 6 p.m. in Suite 202 (Second - ]

floor), 123 East ‘Sth St. North
‘Vancouver. ;
For more information on the

open ‘house or courses offered by §

the computer training facility, call

984-8884,

APRIL 4 - 9, 1994 |

: Bring this ad toany Budget Brake & Mutler location, and receive this unbelievable ¥% price olfer! *
e % price sale on front brake pads and rear shoes -

® % price sale on all in-stock mufflers
FREE INSPECTIONS

1350 Marine Drive
984-4296
1315 Main Sireet
980-8517 ©

IT'S
OUR 25th
BIRTHDAY §

Budget Brake & Muffler,
a8.c.ownedand «
operated company,
would like to thank our
customers fortheir25
years of patronage. .

Rae

hions

as A Spring Fashion feature

with.a difference.

A close up look at the new trends for
spring and summer brought to you by
your local fashion merchants.
Find out what is hot and what is not
on the runways of

_ Paris, Milan and L.A. and...
where it’s available on ~-°
the North Shore and Vancouver.

Sunday April 10 is iFahon Dey in your ;

10 1 Tec yoice Or rer AO wast VANCOUVER
ie,

PERSONAL INJURY.

. Free Initial Consultation
Douglas W. Lahay ::-
CLARK,WILSON

BARRISTERS & SOLICITORS

4 “800-885 West Georgia Street, Van.

687-5700
24 HOUR MESSAGE 643-3161. |

ICBC’s policies are nor law. I will
you a fair settlement or trial award

Take a 1994 Chevrolet Blazer Turbo Diesel for a drive
this Friday with Greg Wilson in the auto section.
Greg will give you the goods on the latest
vehicles to hit the showrooms, from high
performance sports cars fo family sedans.
Spend a few mins:‘es kicking the fires on
a ‘94 Chevy Blazer with Greg this Friday.

$v € 1) THE VOICE OF WORTH AMO WEST VancOUtER
¥

t #9 1 SUNDAY «WHDNESDAY «FRIDAY