Government Tax Deed Sales: Difference between revisions
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Revision as of 12:23, 4 October 2024
S is for SPLIT. Income splitting is a strategy that involves transferring a portion of revenue from someone who's in a high tax bracket to a person who is from a lower tax group. It may even be possible to reduce the tax on the transferred income to zero if this person, doesn't possess any other taxable income. Normally, the other individual is either your spouse or common-law spouse, but it can also be your children. Whenever it is possible to transfer income to a person in a lower tax bracket, it should be done. If primary between tax rates is 20% your family will save $200 for every $1,000 transferred for the "lower rate" general.
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