From time to time, Wheatland features events for their clients as well as the community.
Year End Tax Planning
The historically high prices of the early half of 2008 will no doubt create some interesting tax situations for our clients! We encourage you to be organized with your bookkeeping and arrange to meet with us in plenty of time this fall to allow you to manage your situation as much as possible. Possible tax-saving options include:
- Wages to family members in lower income bracket than you
- Purchasing RRSP's
- Equipment Purchase (claim 50% of the normal CCA for each asset in year of purchase)
- Deferring grain sales
- Pre-purchasing inputs for next year
- Paying all 2008 operating costs before year end (You can deduct bills paid with Visa, Mastercard, Agricard, and any farm supplier account financed through a bank or financial institution)
The above strategies are short-term planning items and caution should be taken when deferring and pre-purchasing that you are not setting yourself up a worse tax situation in the future.
If you have not already done so, this is a good time to consider long-term planning for your operation which could include exploring the benefits of changing your business structure into a partnership or corporation.
Please call us to arrange a time, before the end of the year, where we would be happy to further explore your options for the current year (and future years).