To be able to pay less tax, Natalia Sandjian, financial planner at National Bank, recommends to think about it all year long and not only during the tax period. Otherwise, "we are faced with the fait accompli and tax strategies are limited, for lack of time, she explains. Although it is not a very pleasant reflection, it can pay off. Calculating tax deductions to which one is entitled can even reveal pleasant surprises.

Deductions for students

Although a student often has few taxes to pay, he still benefits from certain tax deductions. For example, he may deduct public transit fees from his taxable income. With the Bookkeeping Watson services the deals come perfectly.

And if he has savings, given his generally low income, it may not be very beneficial for him to contribute to an RRSP to lower his taxable income and hope to pay less tax.

By the way, parents can also claim certain expenses related to their child in school if he is still dependent on them. Tuition fees, in particular, which represent several thousand dollars a year ... Do not forget!

The single person

Whether alone or as a couple, it is essential to invest in anticipation of old age. The Registered Retirement Savings Plan (RRSP) is an investment solution designed for this purpose.

In his tax return, the money deposited in an RRSP is deducted from his taxable income. Since you are taxed on a lower income, you give less to the taxman. In some cases, we even talk about a tax refund!

The RRSP strategy is so profitable that it is sometimes even worth going into debt temporarily to contribute, Natalia Sandjian. "Since interest rates are low, it can be advantageous to borrow to increase the contribution that could have been made according to its liquidity, and then repay within twelve months an RRSP loan through its tax refund. Finally, the few dollars paid in interest will have allowed a much better contribution to his RRSP, in addition to reducing the tax to disburse. A paying investment! "

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