FIN 502 Lecture Notes - Lecture 7: Time Deposit, Capital Loss, Income Statement
10 Apr 2018
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Canadian income taxation is based on self assessment. = send cheque to government complete an income tax on prescribed forms. = income tax payable before credits tax credits. Few exception, every resident limited corporations trusts, or individuals required to: lower rates applies to all income up to a specified level all income above that. Average tax rate- total tax payable divided by total income. Marginal tax rate- rate that applies to one more dollar of income. Highest category or tax bracket- and you are deciding whether to invest your money in a: higher levels of taxable income are taxed at higher rates level is taxed at the higher level term deposit. Completing an income tax return rate) tax credits to arrive at provincial tax deducted to arrive on basic federal tax: marginal after-tax rate od return you receive will be (1- marginal tax rate)(interest.
