Management and Organizational Studies 2277A/B Chapter Notes - Chapter 4: Tax Avoidance, Registered Retirement Savings Plan, Capital Loss

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 2277A/B
• Professor: Barry Hawn

Document Summary

Federal tax system is administered by canada revenue agency. Collects tax on behalf of all provinces and territories, except quebec. Municipal taxes are collected at a local level. Personal income taxes: taxes imposed on the income you earn. Taxes are withheld from each paycheque as income is earned throughout the year. Forwarded to federal government and held in an account that"s credited to you. Helps employer calculate the amount of taxes to withhold. Specifies personal tax credit you qualify for. The more personal tax credit you qualify for, the less income tax deducted from paycheque. Individuals can opt to withhold more than minimum amount from each paycheque. Not allowed to withhold below specified amount by cra. If you earned any income in the year, must file a tax return with t1 general income tax and benefit. If you still owe taxes, you should include a cheque for the taxes owed along with ti general.