Income Tax Rules Archives - Dehoney Financial Group

Rediscover the tax-saving ability of life insurance.

tax savings of life insurance

Over the past couple of weeks, a lot has been written about Finance Minister Bill Morneau’s proposal to fix the perceived unfairness in the way that private-business owners, family businesses, and incorporated professionals pay tax. While the proposal was not a surprise, it was the scope of the changes that many found alarming. In the days after the proposal became public, doctors’ associations, farmers, and small and medium-sized businesses have let the Minister and his government know that these changes will have a significant and negative effect on practicing doctors, the economy, and on the future of […]

Despite taxation changes in 2017, life insurance products remain competitive.

In a previous article on the changes to the taxation of life insurance, we speculated on what insurers might do to their products to keep them competitive in the 2017 tax environment. And while the changes were significant, we had every confidence in the actuaries that they would develop their products to provide value to clients.

We have now had a chance to look at the new 2017 products and, after running our analysis, we can say that the results are encouraging.

Our Analysis – Universal Life Insurance

Our experts chose a 2016 level-cost, universal life insurance product […]

Taxing employer-paid health and dental benefit plans?

UPDATE: Trudeau says that his government will not impose a tax on health and dental benefits.

Global News reported that, during yesterday’s question period in the House of Commons, Prime Minister Justin Trudeau finally answered the question he’s been avoiding for weeks. When asked by Official Opposition Leader Rona Ambrose about whether his government would ask Canadians to pay an additional $1,000 for their health and dental benefits, the Prime Minister answered, “We are committed to protecting the middle class and that’s why we will not be raising the taxes the member […]

Save Tax Before Life Insurance Tax Rules Change. Time is running out.

Take advantage of current CRA rules to save tax, and maximize wealth and cash flow.

It’s been a long time since major changes were made to life insurance legislation in Canada that negatively impact your ability to save tax. That’s all about to change with the introduction of new exempt test rules for life insurance policies. This new legislation has a negative impact on the tax benefits of certain insurance strategies. Your options? Plan now and take advantage of the current and more favourable Canada Revenue Agency (CRA) rules. Policies issued prior to January 1, 2017 […]