Скачать с ютуб Demystifying Income Tax in Canada: A Complete Guide for Teens and Parents 🇨🇦 в хорошем качестве

Demystifying Income Tax in Canada: A Complete Guide for Teens and Parents 🇨🇦

Understanding Income Tax in Canada Welcome back to 'Explore the Canadian Education System.' Today, we're tackling a topic that's essential for every Canadian—income tax. Whether you're a parent helping your kids navigate their first job or a teen who's just started earning, understanding income tax is crucial. Let's break it down together!" What is Income Tax? "Income tax is a portion of what you earn that goes to the federal and provincial governments. In return, we get essential services like healthcare, education, and infrastructure. Think of it as a contribution to keeping our country running smoothly." "Income Tax = Government Services" Who Needs to Pay and When? "So, who needs to pay income tax? If you earned $15,000 or more in 2023, you'll need to file a tax return. For employed Canadians, taxes must be filed and paid by April 30th. If you're self-employed, you get a little extra time to file until June 15th, but you still need to pay by April 30th." "Employed: April 30 | Self-employed: June 15 (File) & April 30 (Pay)" How is Income Tax Calculated? "Canada uses a graduated tax system, meaning the more you earn, the higher the percentage of tax you pay. For 2024, everyone pays 15% on the first $55,867 of taxable income. If you earn more, higher rates apply to the additional income. Here's a quick breakdown:" 15% on the first $55,867 20.5% on $55,867 to $111,733 26% on $111,733 to $173,205 29% on $173,205 to $246,752 33% over $246,752* "Don't worry if this seems complicated. Online tax services and professionals can help crunch these numbers for you." What Income is Taxable? "Most income is taxable, but not all. Here's what you need to know: Employment income Self-employment income Interest from bank accounts Investments Pension income RRSP withdrawals" "Taxable Income: Employment, Self-employment, Interest, Investments, Pension, RRSP" What Income is Not Taxable? Graphic of a lottery ticket, a gift box, and a TFSA account. "Some income is exempt from taxes, such as: Lottery winnings Most inheritances and gifts Canada Child Benefit Most life insurance payouts Educational scholarships TFSA withdrawals Strike pay from a union Victim compens"Non-Taxable Income: Lottery, Inheritances, Child Benefit, Life Insurance, Scholarships, TFSA, Strike Pay, Compensation" How to Calculate Your Income Tax "Calculating your inHost at the whiteboard, walking through the steps.come tax involves a few steps: Calculate your gross income. Subtract eligible deductions. Determine your taxable income. Apply the appropriate tax rates to your taxable income." Graphic showing a simple formula: Gross Income - Deductions = Taxable Income, then applying tax rates. "Using certified tax software or consulting a tax professional can make this process much easier." The Importance of Filing on Time "Don't procrastinate on your taxes! The CRA charges a penalty of 5% of your balance owing if you're late, plus 1% for each month you're overdue. So, get started early to avoid these fees." Conclusion "Understanding income tax might seem daunting, but it's a crucial part of financial literacy. By knowing how it works, you can navigate tax season with confidence. Remember, paying taxes helps us all enjoy the benefits of living in a great country like Canada. Thanks for watching, and don't forget to like, share, and subscribe for more insights into the Canadian education system!" "And hey, if you have any questions or need further clarification, drop a comment below. See you next time!"