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In Tax Tips for Canadians “for Dummies” 2006 edition, one chapter is focused on Tax Changes for 2005 Tax year.
I trust over 50% Canadian donot know about it.
The followingis highlight these ten changes.
1) Tax credit for adoption expenses
For 2005 the total amounts claimed by the parents cannot exceed the lesser of the actual adoption expenses and $10,000. Eligible adoption expenses include fees paid to an adoption agency, travel and accommodation costs for the parents and child, court, legal and administration fees, and document translation fees.
2) Increased retirement savings limits
The maximum amount you may contribute to your RRSP will increase in future years (although you are still limited to 18% of your earned income). The limit for 2005 is $16,500. The limits are scheduled to rise to: $18,000 for 2006, $19,000 for 2007, $20,000 for 2008, $21,000 for 2009, $22,000 for 2010, from 2011 the limit based on the indexed to inflation.
3) Increased investment choices for retirement savings
The 30% foreign property investment limit is eliminated from 2005. That means 100% foreign property in the RRSP/RRIF is allowed.
4) Improved tax assistance for disabled persons
Since June 2005, the maximum Child Disability Benefit supplement to the Child Tax Benefit has been $2,000.

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