CRA Updates 2017 – Personal Finance

Piggybank and calculatorAre you paying more taxes?

 

The CRA recently released the 2017 Indexed Personal Amounts. As of January 1, 2017 the inflation rate used to index the 2017 tax brackets and benefit amounts is 1.4 percent.

 

This is important information for you to review because it affects tax bracket thresholds and amounts relating to non-refundable credits. This also includes the latest updates on TFSA dollar limits, lifetime capital gain exemptions and more. Here is the latest:

 

 

Federal Tax Rates for 2017:

  • 15% on the first $45,916 of taxable income,
  • 20.5% on the next $45,915 of taxable income (on the portion of taxable income over $45,916 up to $91,831),
  • 26% on the next $50,522 of taxable income (on the portion of taxable income over $91,831 up to $142,353),
  • 29% on the next $60,447 of taxable income (on the portion of taxable income over $142,353 up to $202,800),
  • 33% of taxable income over $202,800.

 

Other updates:

 

  • TFSA dollar limit will remain at $5,500
  • Lifetime capital gains exemption has been increased to $835,716
  • OAS clawback threshold has been increased to $74,788

 

For more information check out CRA’s website here.