I'll be making $30000 this year before tax, what bracket am i in? what are all the brackets? what can i do to increase my tax credit?
You didn't mention your province, but this link has both the federal and provincial rates. cra-arc.gc.ca/tax/individuals As for increasing your tax credits, RRSP contributions are actually deductions, not tax credits, but as they come off your income before tht tax is calcuated, they are a very effective way of decreasing your taxes, and often result in a refund for people who are employees. Childcare is also a deduction. As for increasing your tax credits, pool the charitable donation credits together with your spouse, or even carry them forward, since the credit increases if the amount is over $200.
30,000 is a relatively low tax bracket. There are many and the best source for them is to go to the CCRA's website and use the Tables on Diskette. To increase your tax credit you can open up an RRSP account and deposit money into it as it is a Tax shelter. If you have children then also open up an RESP account (which is good for 26 years) and is also a tax shelter. There are many other ways to get back money from taxes, you just have to find the loopholesdid you move within the last year to start school or start a new jobmoving is a tax deductible expense. Do you earn commission as a lot of the things you do to earn the commissions are tax deductibleanyways hope this helps.
To see the tax brackets refer to cra-arc.gc.ca/tax/individuals The top half of the page contains the federal rates, and the lower half houses the provincial rates. Like the previous poster commented the best tax shelters are RRSPs. Other things like union dues, dependants, medical expenses and charitable donations have the potential to increase your tax credits. Also you may be eligable for Provincial tax credits.
