Government keeping taxes low in 2014

December 31, 2013, Ottawa, Ontario – Finance Minister Jim Flaherty today highlighted tax relief that Canadians can look forward to in 2014.

  • Canadian residents 18 years of age or older will be able to contribute up to $5,500 in a Tax-Free Savings Account in 2014. This is in addition to any unused contribution room they may have.
  • In 2014, Employment Insurance premiums will remain frozen at the 2013 level of $1.88 per $100 of insurable earnings.
  • A number of changes to improve the accessibility and flexibility of the Registered Disability Savings Plan will take effect on January 1, 2014.
  • The Lifetime Capital Gains Exemption will increase to $800,000 from $750,000 on January 1, 2014.
  • The temporary 50-per-cent straight-line accelerated capital cost allowance rate for new investment in manufacturing or processing machinery and equipment has been extended to include investment undertaken in 2014 and 2015. This measure helps businesses in the manufacturing and processing sector, which was particularly hard hit by the global recession, make the investments needed to improve their productivity and create jobs.

Quotes

“Our Government believes Canadians should keep more of their hard-earned money, which is why we will continue to keep taxes low in 2014.”

– Jim Flaherty, Minister of Finance

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