Year-End Tax Tips for Canadians: Turn December Decisions into Real Savings

Chosen theme: Year-End Tax Tips for Canadians. Welcome to your friendly, practical guide to finishing the year strong. We blend timely strategies with real-life stories so you can act with confidence. Have questions or a tip of your own? Share in the comments and subscribe for fresh, Canada-specific tax insights.

RRSP And TFSA Moves Before Year-End

Confirm your RRSP contribution room, consider a spousal RRSP to income-split in retirement, and note special deadlines if you or a spouse turn 71 this year. A quick check now prevents last‑minute scrambles and keeps your plan focused.

Use Capital Losses Wisely

Selling losers to offset gains can reduce your bill, but watch the superficial loss rule when repurchasing within 30 days. Also confirm your brokerage’s settlement cutoff so the trade counts in the current tax year.

Donate Appreciated Securities Instead Of Cash

Gifting publicly traded securities directly to a registered charity eliminates capital gains tax on the donated growth and still provides a donation receipt. It is a powerful way to support causes while improving tax efficiency.

Jamal’s Portfolio Rebalance

Jamal trimmed a concentrated winner, harvested losses elsewhere, and donated shares to his favourite charity. The moves aligned his risk with goals and trimmed taxes, all without sacrificing his long‑term investment strategy.

Charitable Giving: Make December 31 Count

Combining donations in one year can increase the value of your tax credits. Consider consolidating with a spouse, tracking official receipts carefully, and confirming that organizations are registered charities in Canada.

Charitable Giving: Make December 31 Count

Compare after‑tax outcomes before you give. Donated securities often beat cash for tax efficiency. If timing is tight, contact the charity and your broker early to ensure transfers complete before year‑end.

Families: RESP, RDSP, And Key Credits

RESP: Don’t Miss CESG Opportunities

Make RESP contributions by December 31 to capture this year’s Canada Education Savings Grant room. If catching up, remember you can usually recover one year at a time and special rules apply when a child turns fifteen.

RDSP: Maximize Grants And Bonds

For eligible individuals, December is crucial for RDSP contributions to secure federal grants or bonds. Confirm Disability Tax Credit status early and coordinate deposits so government matching is not left on the table.

Update Family Status For Benefits

Ensure births, custody changes, addresses, and marital status are current with the CRA. Accurate records help optimize the Canada Child Benefit and other credits that rely on timely family information.

Deductions You Can Accelerate Before December 31

You can claim eligible medical costs for any twelve‑month period ending in the tax year. Consider timing prescriptions, dental work, or therapy to concentrate expenses and exceed thresholds more easily.

Deductions You Can Accelerate Before December 31

If you are enrolling soon, check how your institution issues receipts and whether payment timing affects credit eligibility. The Canada Training Credit and tuition amounts can add meaningful relief when planned deliberately.

Self‑Employed And Small Business Year‑End Moves

Consider deferring invoices or accelerating deductible expenses where appropriate. If buying equipment, confirm when assets are considered available for use to claim depreciation or immediate expensing under current rules.

Self‑Employed And Small Business Year‑End Moves

A reasonable year‑end salary can create RRSP room and manage CPP contributions, while dividends may suit different goals. Some corporations accrue bonuses and pay within 180 days to deduct them this year.

Retirees, Movers, And Benefit Clawbacks

Your province or territory on December 31 usually determines provincial taxes and many credits. If you moved late in the year, estimate the difference and plan withholding or instalments accordingly to avoid unexpected balances.

Retirees, Movers, And Benefit Clawbacks

If your income edges toward recovery thresholds, consider RRSP contributions if you have room, strategic charitable gifts, or realizing losses to lower net income. Small shifts can preserve more Old Age Security.