rage” cat

Page 22, March 25, 1979 - Sunday News

There’ $s more ¢ for you a asa - contributer to the Canada_

_ Pension. Plan - than just. a ~ retirement pension. -

Af.-you are unfortunate © enough to-~suffer -a-severe -and prolonged impairment that renders you incapable gainful

- occupation,. you

could be eligible to receive a |

disability pension.

“=~ To qualify yourself. and -

your dependents, you must _ have contributed to the CPP- for five of the last ten years and be under age 65. _You must apply to -an _ office of. the Canada Pen- sion Plan. When your appli- cation is approved,

amount you receive will

the

. ose

* depend on 1 The amount you ; contributed. The maximum ‘month- is

ly” disability benefit.

$194.03.

The

until

benefit you cease -

rétirement pension. .

4

DON'T LET ROAD _ CONDITIONS TURN YOUR-WORLD UPSIDE DOWN - SAFE DRIVING 1S'A FAMILY AFFAIR

‘‘It’s not easy running your own business”’

‘Maybe 1 can help”

if you're’ operating a

business, you -may have-

some questions about financial management, personnel management, working _.capital, bookkeeping, taxation or other considerations.

'm Harry Boynton and fm with the Federal Business Development Bank. The FBDB doesn’t just tend money: it provides coun- selling and information about government . programs to people who are in business or are considering starting their own business.

Harry Boynton

The FBDB office is open 8:30 - 4:30 Monday to Friday. Our services are available to everyone.

145 West 15th Street, North Vancouver

aoe

For Information Call:

980-6571

FEDERAL BUSINESS DEVELOPMENT BANK

continues.

to be disabled, return to work, or - - of pursuing: a. substantially ~ die. At age 65 it is automa-

tically replaced by the CPP -

v

TAX TALK

. *

ee

SRE RCDONOETA SOROAROAAP OA avant penne

. too close to the rear of the machine.

hose deductions

When tax time rolls around a lot of people don’t claim the personal exemp- tions they’re entitled to.

Why not?

Because they simply don’t know about many that are availabie to them.

We'll point some out so ~

these income tax deduction opportunities aren’t| wasted in the future.

First, the taxman's defini- tion of two key words used in this article - support and income. Support is defined, basically, as meaning provid-

VANCOUVER COMMUNITY COLLEGE CONTINUING EDUCATION

DOWNTOWN PROGRAM

Small Business Seminars At Robson Square Monday March 26th - HOW TO HANDLE COLLECTIONS

5:30 - 8:30 p.m.

IN A SMALL BUSINESS

LAST OF TWO SEMINARS: What laws do you have to follow in collecting moneys owing to you? What methods are there to increase your efficiency and hence your profitability? Find out in part two of our seminars dealing with

Credit and Collections for the Small Business owner.

Tuesday March 27th - HOW TO LOCATE A BUSINESS

§:30 - 8:30 p.m.

The old adage says the three most important things a Small Business owner should think about are: “‘Location, Location and Location."’ So what factors are important? How do you find the information you need to know? Who's there to help you? Find out from our expert from Stats Canada.

Fee $5.00 per course Contact us at:

Vancouver Community College Continuing Education 324-5323 or 324-5324

ing a person , with the necessities of life, such as food, shelter and clothing. Income is deined by your income tax form by those

inclusions and deductions up-

to the line titled ‘‘Net Income’’ plus any guaran- teed income supplement.

Let’s review some of the available personal deduc- tions.

Every married person who supported a spouse at any time during a year is allowed a deductien of $2,430 and an additional $2,130 less the amount by which the spouse’s income for the year exceeded 3400. Spouses liv- ing outside Canada qualify for this deduction and only the income earned in the year after a couple is marries is relevant in calculation.

For cxample, consider two couples, the Smiths and the Jones.

The Smiths were married in’ June. Mrs. Smith's income for June to December was $2,000. The Jones were married in November and Mr. Jones’ income for November and December $350. Both Mrs. Smith and Mr. Jones are supported by their spouses. However, while Mr. Smith can claim only $2,960 ($2,430 + $2,130 - ($2,000 - $400), Mrs. Jones can claim $4,560 ( $2,430 + $2,130).

If you're not entitted to the married deduction, you may be eligible for the “‘equival- ent to married exemption’ if two conditions are met:

SEE AND BE SEEN is the golden ralé where e forklift trucks are running. This driver cannot see any of the people walking in front of him, so it is important that they be aware of his blind spots, say the Workers’ Compensation Board. And when this type of forklift truck turns, the back wheels do the steering, which can trap someone who is

1) If, at any time during the year, you wete single or married person who neither supported nor received support from a spouse and were not living with each other; and

2) If you maintained a home and supported a relative who was. wholly dependent on you for that support. .

For example, this deduc- tion would be available to a widowed or divorced person who maintains a home and lives with a child. The deduction is the same as that provided a married person.

And in situations where a dependent may qualify under more than one category, such as a child and dependent supported by a single per- son. use of the ‘equivalent to married exemption’ pro- vides the larger deduction. Only one dependent may be claimed under this provision and no other claim may be made regarding that person.

But, if you don’t qualify for either the married exemption or its equivalent, don't despair: the law allows a deduction of $2,430 for just being you.

A deduction for a depend- emt child or grandchild may be claimed providing these conditions are met:

* The dependent is under 21 years;

* The dependent is mentally or physically handicapped; and

° The dependent attends school or university full-time.

Remember, a ‘‘child’’ also means an illegitimate child, an adopted child, a stepchild, a daughter-in-law or son-in-

‘law. If the child or grand-

child is 15 years or younger, the allowable deduction is $460 less half.the amount, if any, by which the depend- ent’s income exceeds $1,610. Otherwise, you’re ‘allowed $840 reduced by any amount the dependent’s income ex- ceeds $1,690. ’

This deduction is available even if the parent lives outside Canada and also applies to uncles and aunts living in Canada.

A couple of final tips:

When you. claim for dependents living outside Canada, fill in Form TIE-NR (Declaration of Support of Non-Resident Dependents) which is available at ‘your local tax office and send it in with your tax return, along with proof of support;

Study Interpretation Bul- letin IT-383 which examines in detail the documentations required when claiming the deduction; and

Review your own situation very carefully with respect to people livng with you and your payments to various people over the year. Can such people be considered support? Are they dedpen- dents? You may just save yourself a few tax dollars.

Prepared by the Institute

of Chartered Accountants of B.C.