Introduction Hey Mike, thinking about claiming Canada’s new Multigenerational Home Renovation Tax Credit (MHRTC)? It’s a great move if you’re creating a cozy space for aging parents, a disabled relative, or grown kids who need a place to land. But here’s something you might not have considered: how does this affect your Principal Residence Exemption (PRE)—the one that usually lets you sell your home tax-free? Below, we’ll break down the MHRTC, the PRE, and how your future us

When it comes to claiming tuition fees on your tax return, one of the most common questions is whether certain expenses qualify for the tuition tax credit under section 118.5 of the Income Tax Act (the “Act”). The Canada Revenue Agency (CRA) addressed this issue in a written response to a taxpayer’s inquiry. Their explanation sheds light on how tuition tax credit eligibility is determined and what types of fees may or may not qualify. The Legislative Framework Subparagraph 11

Tax Benefits for First-Time Home Buyers A new federal measure will wipe out the entire 5 % GST on newly built homes priced at up to $1 million, provided at least one purchaser qualifies as a first-time home buyer. For agreements signed on or after May 27 2025, the government will refund a maximum of $50,000 (the GST that would have been charged on a $1 million purchase). The rebate then decreases proportionately between $1 million and $1.5 million and disappears entirely at $

2025 Summer Tax Cuts Good news for your paycheck: on May 14 2025 the Department of Finance confirmed that the Liberals are racing ahead with their promise to trim the bottom federal tax bracket from 15 % to 14 %. The cut officially takes effect July 1 2025, but because we’re halfway through the year Ottawa will blend the math and treat 2025 as if the rate were 14.5 % overall. Heads-up: personal tax credits are calculated at the same “lowest-bracket” rate, so their dollar valu