We are three months into 2020 and while many Canadians are still concerned with their 2019 tax return, we must also remember how important it is to plan and strategize our taxes for the year ahead.
The first step in this process is determining the applicable tax brackets, credit rates, contributions and premiums that will apply to you and your specific situation in 2020.
For your convenience, Koroll & Company has gathered the most popular tax-related information and listed it below.
Federal tax rates and brackets
The following are the tax rates individuals will have to pay based on their Taxable Income Level:
|
Income Level |
Federal Tax Bracket |
|
$12,298 - $48,535 |
15% |
|
$48,536 - $97,069 |
20.5% |
|
$97,070 - $150,473 |
26% |
|
$150,474 - $214,368 |
29% |
|
Above $214,368 |
33% |
Federal individual tax credits
The following non-refundable tax credits are available to taxpayers, who meet the eligibility requirements, in 2020. Note that the claimable tax credit is equal to 15% of the credit amount.
| Tax Credit | Credit Amount | Tax Credit |
| Basic Personal Amount | $12,298 | $1,844.70 |
| Spouse or Common Law Partner Amount | $12,298 | $1,844.70 |
| Eligible Dependent Amount | $12,298 | $1,844.70 |
| Age Amount | $7,637 |
$1,145.55 |
| Canada Employment Amount (max) | $1,245 | $186.75 |
| Disability Amount | $8,576 | $1,286.40 |
| Adoption Expense Credit | $16,563 | $2,484.45 |
Thresholds and limitations
For more information on 2020 Tax Credits not listed here, please contact our team of chartered professional accountants today. We would be happy to answer any questions that you may have.