00:00:30.000and i know this time of year everyone's starting to struggle with their income tax and even
00:00:35.520recently i was reading an article luigi and fortune uh printed it and came up with it and
00:00:41.680they basically said one in four gen x taxpayers consider therapy during tax time okay so see what
00:00:50.080you're doing yeah and not you welcome so the government's doing it the government's doing it
00:00:55.280Yeah. Thank you. You're just helping. And that was actually part of the cure was actually getting a professional to help them with their income tax. And the number one thing I thought it was interesting because these are these are 20 year olds. You know, God love them. I remember those days. These are 20 year olds who are working in the gig economy. They're working multiple jobs. They have side hustles. When it gets to tax time, they have all these different machinations. They have contracts. They have employment income. They have contracting.
00:01:25.180income and they're trying to figure it all out they even have crypto investments right which
00:01:30.560is complicating the heck out of their lives yeah god love it so you know they have all these fears
00:01:35.920and i thought it was interesting their number one fear is making a mistake which that's kind of odd
00:01:42.500you know i stick on what their tax filing their taxes yeah yeah that's the number one fear which
00:01:46.360i thought i don't know if i ever had a fear of making a mistake on my taxes right yeah i mean
00:01:51.420know, maybe I did. I don't remember it. But 33% of Gen X is that's their worst fear and 27% of
00:01:58.340millennials. So it is a, you know, it's definitely a fear for people. It gets less as people get
00:02:04.100older, of course. And then their next fear is worry about scams and data exposure. So they worry
00:02:10.720that their taxes are going to be provided to someone else. They're going to get caught in a
00:02:16.020tax scam and then finally uh i think this is the biggest fear for all of us uh fearing owing more
00:02:22.300money than you can afford right because if if you have your own business or you're working a side
00:02:27.280hustle you know quite frankly did you put enough tax aside to pay your tax bill at tax time right
00:02:32.900which i know myself when i started my own business you know allocating funds and setting aside money
00:02:39.260was you know was one of the biggest challenges right because you want to double down on what
00:02:44.280doing yeah people want to spend the money in the business to grow the business not not to pay taxes
00:02:48.360that's for sure exactly so christoph who helped me with this today and thank you for your help
00:02:54.040i said to him put together a list of key things that people worry about are concerned about ask
00:02:59.960questions about and the first thing they came up with was uh upcoming filing deadlines so do you
00:03:07.320share with us some of the deadlines and you know we can talk about what's coming up so everyone
00:03:13.080knows what everyone should know about the april 30th personal filing tax deadline um your taxes
00:03:19.560are due all of us as individuals in canada as taxpayers your taxes for the 2025 year are due
00:03:24.920april 30th for those that are self-employed or who have a spouse that's self-employed
00:03:30.600their tax returns aren't due till june 15th but if they owe money the tax is due by april 30th
00:03:37.240and then the other one the other one i'll mention is corporate taxes if you have a business that's
00:03:41.400incorporated. Those tax returns are due six months after the year end. So most businesses that have
00:03:48.540December 31st year ends, the tax returns are due June 30th. So those are probably the three most
00:03:55.120significant deadlines coming up in the short term. Tell me, so this, I got to ask you, because this
00:04:00.380is, I lived this. So Luigi knows, you know, I didn't work for PwC, but I worked for another
00:04:07.000of the big three accounting firms uh tax time in my life was brutal right so the amount of hours so
00:04:15.460and you know i know working for working for one of the major accounting firms being in tax you're
00:04:20.520probably not as stressed as i was but i was a kid i was in my mid early to mid 20s i was trying to
00:04:26.880become a ca in those days we weren't called cpas um and we used to work man we used to work like
00:04:33.340100 hours a week it was crazy the amount of hours we worked during tax time because we had all our
00:04:38.860clients and all their kids and everyone flooding in is it's you know probably not as much because
00:04:44.620it's now electronic but is it still as hectic as it used to be it's always hectic because um
00:04:51.580you know i describe it as like the tax season is so short you get tax slips sometimes in early april
00:04:58.460and the tax returns are due April 30th so it's such a constrained time period to get all your
00:05:04.220clients tax returns done on time you're right with the advent of you know things being able to
00:05:09.500do tax returns electronically AI helps us a lot nowadays in terms of assembling and inputting some
00:05:15.500of that data so we do save some some time there but it's still like a hectic period of time I
00:05:23.420always say if april was just doing tax returns in our business it would be fine the the issue is
00:05:28.940that you have all your regular client work going on and now add personal tax season on top of that
00:05:34.700so that's kind of what creates the the stress the the extra hours the extra pressure yeah do you
00:05:39.900still hire so this is interesting and i always tell kids today i didn't i didn't stay in public
00:05:44.940practice you know i became a manager and then i left you know you're a partner so you you know
00:05:50.700made a career out of it um i i entered it and you know i was i did it uh kicking and screaming
00:05:57.980so i think i've told you the story over lunch i became an accountant because my mother actually
00:06:03.500when i graduated university used to get my mail i didn't live at at home and my mother used to
00:06:09.420get my mail she opened my mail and she applied uh to accounting firms on your behalf i'm on behalf
00:06:16.540i liked the job i had i had a i had a side gig i was uh i was loading trucks at canada packers
00:06:22.460and i was making a ton of money yeah and my mom actually applied uh for me to actually go work
00:06:29.820she wanted me to be a professional right right and god love her soul and so she applied for these jobs
00:06:35.180and they would come back and she would set up my interviews and call me and say you better make
00:06:39.180that interview or you're not coming back for dinner so you know because i used to see them
00:06:43.260every sunday so she she made sure that i went to the interviews i went to the interviews i didn't
00:06:48.620want the jobs but i got the the one company they hired me and quite frankly uh it was the best
00:06:55.180thing that ever happened i was gonna say look at you now it's all the better for you yeah it was
00:06:58.780it was terrific because it actually the you know for young people who want to get into business
00:07:03.580and see a bunch of different businesses you know you get to see what you like what you don't like
00:07:09.180businesses you get to work in and quite frankly you learn uh you learn a little about a lot early
00:07:15.180in your career which is invaluable because then you get to use it uh you know the other day i
00:07:20.940was on a show i was doing a podcast and monsanto canada came up um and i did the audit for monsanto
00:07:28.220canada as i became a manager okay right and so the cool thing about that is i knew everything
00:07:33.820like not everything i knew a lot about gmos you know and i knew a lot about that business i had
00:07:39.020been in meetings with them i had learned about it as an audit manager and what they did fertilizer
00:07:44.140i learned a lot about you know their business by doing the audit of it and it's cool how years
00:07:49.500later you use that knowledge to come back and even podcasting yeah and then your financial you know
00:07:55.260background now i gotta admit to you when i wrote my ufe's which for those of you who are an
00:08:00.780accountants when in those days we used to have four hours four days of exams to become an accountant
00:08:06.700when i wrote my eufies i skipped all the tax questions so you know and i skipped them and
00:08:11.820left them to last every time and went back into them because that was my worst like yeah that
00:08:16.460wasn't my strength right so so in the end you can tell but it did it did come back so you know help
00:08:25.260me out a little bit because i'm going to jump in here so tax credits and deductions right any tips
00:08:32.780that i can that you see people forgetting you know as they get into their tax season
00:08:39.820yeah the biggest tip i'll suggest is um cra actually has a very useful online guide their
00:08:46.460their t1 guide right it's actually very helpful in plain english deductions and credits that
00:08:53.580you're able to claim on your personal tax return things that you don't think about things that
00:08:58.140maybe haven't applied for you ever that maybe suddenly start applying uh given your stage in
00:09:02.860life a common one that i see as as people age is the disability tax credit um as you know our
00:09:09.740parents our family as we get older uh you're less mobile you may have uh issues walking you may have
00:09:15.900issues um feeding yourself and whatnot so claiming a disability tax tax credit would be one thing that
00:09:23.100i think you should be mindful of as you're preparing tax returns but there's a lot of
00:09:27.500other ones medical expenses tuition credits rsp deductions first home savings account deductions
00:09:35.580there's a plethora of deductions that are available to individuals a lot of times you
00:09:41.020know you talked about the fear of preparing tax returns and overpaying tax it's because people
00:09:45.180don't know that all these deductions are available so either hiring a professional
00:09:49.260to do your tax returns, who's aware of these deductions, helps a lot.
00:09:53.620And taking a look at the T1 guide if you're preparing your own tax return.
00:09:57.740Like I said, CRA does have a useful guide that walks you through the credits,
00:10:01.520the eligibility criteria, so that you can claim them appropriately
00:10:52.440You know, it's funny when I think back in the old days, when I was a kid, like 13, my mother actually sat me down.
00:10:59.300And my dad had trucks and he drove a truck.
00:11:01.940And he used to have all the trucking logs for meal expenses and for mileage and everything on the trucks.
00:11:08.580And we would sit at the kitchen table and she always did his books for his company and his finances.
00:11:14.320and she would sit there and we would file this huge stack of papers with the actual physical
00:11:21.820slips yeah and you know we'd we'd go and try to copy them somewhere and we'd sit there for hours
00:11:28.000you know putting uh nickels in the photocopier you know we'd have this big stack yeah boy it's
00:11:35.120changed so you know medical expenses which is an interesting one because i know you know with my
00:11:43.140uh business and with my family and being an entrepreneur for most of my life it was one
00:11:48.360of those ones that you know i had to kind of remember all the time that there were deductions
00:11:53.740for people who work you know by themselves that aren't supported by a plan um you know and that's
00:12:01.000one i missed all the time yeah and until i got a really good uh tax accountant you know like
00:12:06.520yourself uh i was really never filing anything for my family or benefits so it's really good to
00:12:12.420remember yeah for sure rsps so too late now right no i say it's never too late um it's too late to
00:12:21.220to make a contribution now and claim a deduction on your 2025 tax return right uh because you have
00:12:27.12060 days after the year end to make your contribution for the previous year um but i always tell my
00:12:33.640clients and and i do this for myself is get a get ahead of the game right make your contribution now
00:12:39.180for next year? Why scramble on February 28th or the 60th day after the year end to get that tax
00:12:46.240return or that contribution made? Make it early. The money grows tax-free inside a RRSP account.
00:12:53.800So if you make that contribution now, you've earned seven, eight months of tax-free growth,
00:12:59.680as opposed to it sitting in a bank account and you're paying tax or not earning anything on it.
00:13:03.800So I always say the sooner the better, get ahead of the game and not kind of scramble to make a
00:13:08.540contribution at the last minute is there any and this is an interesting and probably not for a lot
00:13:13.560of people but i i have heard you know i sat at dinner tables and had conversations with people
00:13:19.120they say they don't do rsps and uh because they don't expect their uh tax bracket to change upon
00:13:25.640retirement yeah probably an instance where you wouldn't do an rsp right you'd be looking for
00:13:30.920another avenue there's so many different schools of thought on this and so there's like there's
00:13:35.480not a right answer. You know, as you alluded to, I think a lot of people think, you know, you make
00:13:41.020a, when you make an RRSP contribution, you get to claim a deduction against your taxes or reduces
00:13:45.760your taxes and you make a contribution. When you withdraw the RRSP upon retirement, because it is
00:13:51.160a registered retirement savings plan. So the idea, the goal is that you're saving, helping yourself
00:13:56.340save for retirement. Now it's taxable as income. Right. So the conventional thinking was I'll make
00:14:02.220less money then. So I get a deduction now at a higher tax bracket. I'll withdraw when I'm at a
00:14:07.220lower tax bracket. If you're in the higher tax bracket, you don't have the tax leverage advantage
00:14:14.420that you're alluding to. But think about all the years of tax-free compounded growth. So if you
00:14:20.340don't put that money in RRSP, where are you putting it? You're putting it probably in a taxable
00:14:23.640account. So you're paying tax over 10, 15, 20, 40 years, where it could be growing tax-free in RRSP,
00:14:30.100you know getting 100 returns for yourself as opposed to half of it going to to the government
00:14:36.400in taxes so there are people that kind of are you know disparage RSPs and I think there's a
00:14:43.320negative connotation to them but there's a different school of thought where you know
00:14:48.120you know especially as I said there's a lot of benefits in terms of the tax-free compounded
00:14:53.060growth over x number of years yeah I think that's really the important part is you find yourself a
00:14:58.380good investment advisor so on the investment side they can get you that growth right and that I
00:15:03.180think uh you know and that's my dinner conversation all the time I say to them you have the wrong
00:15:07.520investment advisor right so it's not the fact that you shouldn't do RSPs it's the fact quite
00:15:11.700frankly that you got to get find someone who smartly invests your money to get you that growth
00:15:15.980inside the absolutely it goes back to the previous question about when to make an RSP contribution
00:15:20.060when people I find when people are scrambling to make it at the 11th hour they just park it in a
00:15:25.420bank account inside their RRSP. So now it's not doing anything for you. Yeah. But if you make
00:15:29.480it early enough and you hire a good investment advisor, you have a plan on how to invest that
00:15:34.060contribution that'll grow for you. Yeah. Makes a big difference. I do remember that in my early
00:15:38.520days when I used to do it and I was just scrambling all the time and then would sit there for years
00:15:42.440not going anywhere. Not doing anything about it. Yeah. And then finally I said, you know, I got to
00:15:46.140get someone in. Believe it or not, it ended up being a gentleman that I started with to become
00:15:54.720an accountant yeah and him and i actually went through and wrote our eufy together and i found
00:15:59.240him years later and he's an investment advisor he's doing really well okay and i said to him
00:16:03.480whatever i do with this you got to make sure it grows so every year i sit down i have lunch with
00:16:07.820them we review the portfolio we go through the performance you know he kind of sets a goal or
00:16:12.980target for the upcoming year and thank goodness he's disciplined enough to track me track me down
00:16:18.540make me go to lunch take me through it give me sort of a plan for the upcoming year so you have
00:16:24.320to do that that's that's you really and that's important um who should be filing returns so this
00:16:32.780is an interesting one you know when you look at you say okay people sometimes don't need to file
00:16:39.640right and why not um yeah so a lot of people like think well i didn't make any money this year
00:16:47.260or only made a few thousand dollars i'm not going to pay any taxes so why bother the aggravation as
00:16:53.860we talked about, why bother paying an accountant to do a tax return when I know I don't owe any
00:16:58.360money? And I say that's not necessarily the best way to look at it, because you're leaving money
00:17:04.840on the table by not filing your tax return, even if you don't make a lot of money. Things like,
00:17:10.220if you had employment income, even if it's a part-time job for students, there were source
00:17:15.420withholdings. Well, because you maybe had a, you're in a lower tax bracket or above the threshold
00:17:21.700where you even pay taxes that's tax money coming back to you right so why not claim it um and then
00:17:27.540a lot of credits are um available only when you file a tax return so things like again low income
00:17:33.260earners gst credit you know you've been hearing a lot about this grocery rebate the government's
00:17:37.700talking about um that's available to low income earners only if they file their tax return so if
00:17:42.740you don't file your tax return you don't get it the government doesn't know that you're a low
00:17:45.980income earner that you're entitled to this credit uh for seniors uh who receive old age security
00:17:51.260And in a lower bracket, there's a top-up payment called the Guaranteed Income Supplement.
00:17:56.200That's only available if you file your tax return and CRA can assess that you are a low-income earner to be entitled to that credit.
00:18:03.580So I would say, you know, you should probably, I don't want to say everyone should file a tax return, but almost everyone should file a tax return because you're leaving money on the table otherwise.
00:18:12.380Right. And from a corporate perspective, right, definitely file because there's a penalty if you don't.
00:18:17.520And it's pretty substantial. I think it's like $1,000 a year or whatever.
00:18:21.260Yeah, it's a pretty big, it depends on if you owe taxes, but just the fact that not filing a tax return, there are penalties for not doing so.
00:18:29.080Yeah, yeah. I learned that the hard way when I first got into business, right?
00:18:32.600I missed, I had a nil, I actually had a company, but it was just really inactive.
00:18:37.040It was a nil company and I filed in late and I got hit with a thousand dollar penalty.
00:18:41.420Depends if there's forms to file, like all those sorts of things.
00:18:43.660Even if you don't pay tax with a corporation, there's other forms that are required to file.
00:18:47.640So you can be assessed penalties for not filing those forms, even though you didn't own any tax.
00:18:50.780Yeah. So I have an important reminder for sure.
00:18:54.620TFSA versus an RRSP. Take me through, you know, always it's a question that comes up and I'm not the right one.
00:19:01.440Yeah, it's a good academic question. And there's not a right answer.
00:19:06.340I mean, what I tell people is if you have the money and you can afford it, do both.
00:19:10.220Because the RRSP, as we said, you get a deduction and, you know, the goal of the RRSP is a retirement savings plan.
00:19:17.700So there's one kind of purpose for the RRSP.
00:19:21.300The tax-free savings account is different.
00:19:24.120It's not necessarily meant for retirement, although you can use it for that as well.
00:19:28.320I think about that a little bit more for short-term investment goals.
00:19:32.720You're planning to buy a car in a few years or for younger people to pay for schooling or things like that.
00:19:40.660That's kind of where the TFSA makes more sense.
00:19:43.100The difference is that you don't get a deduction when you make a contribution to a TFSA, like you do for an RRSP.
00:19:48.920And on the inverse, as we talked about earlier, when you withdraw from the RRSP, it's taxable.
00:19:54.720When you withdraw from the tax-free savings account, it's tax-free.
00:20:34.420so it's six years from the end of the year to which uh to which the uh income relates
00:20:43.000okay okay and but practically seven right because if you think about the end of the year
00:20:49.480right so 2019 filings you should keep until the end of 2025 okay so that's kind of you were now
00:20:56.520in your seventh year when you can shred those records and then you can shred them and then
00:21:01.740you're basically non-auditable after that okay so this is this is where it becomes tricky because
00:21:07.140although there is a six-year record retention policy yeah that's from the end of the year
00:21:13.040to which they are relevant so your tax return you can shred right but um and and tax slips for that
00:21:20.820year you can shred but let's say you bought an investment 15 years ago a house rental property
00:21:27.680even marketable securities if you still own it you have to keep the records to be able to prove
00:21:34.240what you paid for it so it's only after six years after you sell it the year of which you sell it
00:21:40.320that you can destroy the record the purchase records so if you you know if people bought
00:21:45.280houses 50 60 years ago they should be retaining those records until they were you know they can
00:21:50.160appropriately calculate capital gain and and pay tax on it on their tax return right so there's a
00:21:55.200the cost data you need the cost data improvements anything like that uh you need proof of of that in
00:22:01.280case cra asks to review those records so okay it's not as simple as saying you have to keep
00:22:05.600them for six years i think there's certain things you keep for six years some things you have to
00:22:09.600keep forever i definitely and i there that's where i do take uh after my mom i have a filing cabinet
00:22:15.120with almost everything way back when in that that filing cabinet from my first filing which at some
00:22:21.040some you probably don't need it's time right tax returns when you were 16 years old you can
00:22:25.440probably shred but the amount of amount of times i move i should get rid of it yeah absolutely
00:22:29.920purge purge records um anything you is there anything that you earn that is tax-free
00:22:36.960okay so uh in canada there's not too much um you know there's there's very few things that
00:22:42.000are tax-free but uh if you're lucky enough to win the lottery lottery earnings are tax-free
00:22:46.560Well, I don't know about that. I think if it's a business, you're paying tax on it. So I wouldn't say gambling earnings are tax-free, but lottery earnings, a principal residence, if you have a gain when you sell your principal residence, that's tax-free, but you only get one principal residence.
00:23:06.680people that have like a secondary home a cottage or something like that uh in addition to they
00:23:11.240call it their city home only one of it can be tax free you're paying tax on the gain on the second
00:23:16.280one um life insurance proceeds so you know unfortunately it's you know those pay out when
00:23:23.240you pass away so you don't receive that money tax free but your estate or your trustees can receive
00:23:28.600that money tax free and that's useful to pay uh to pay your debts your debts that are owing when
00:23:33.720you when you pass away yeah um those are the main things that i would say are tax-free there's there's
00:23:38.360not much else uh small business corporations on a sale could be tax-free but there's a whole bunch
00:23:44.120of rules and around those that some some shares are tax-free some are not you have to do the full
00:23:49.160analysis but um i would say those are the probably the four things that come to top of my mind that
00:23:55.000would be tax-free in canada okay good capital gains let's talk about those from it so you know
00:24:01.880now as you mentioned and this one was a big one and actually we did a show on it which i thought
00:24:07.240with franco terrazzano he's the gentleman that actually filed a lawsuit against the government
00:24:13.800because they were going to change the capital gains tax on investment income yep right and so
00:24:23.240and that was after the fact just saying it it does need to go through the full steps before you enact
00:24:27.880it it really uh i think it got settled out really quickly and i think it was just for to uh show the
00:24:34.680government that they had to take more steps before they actually changed capital gains
00:24:38.600but you know capital gains very interesting because right now there's always this debate you
00:24:44.440know are we going to increase the rate on capital gains are we going to basically add more things
00:24:49.960into the capital gains pool what's the scuttlebutt on capital gains right now is there anything like
00:24:56.440happening with it uh the good news is no um i i think so what happened a few years ago is the uh
00:25:03.400the trudeau government uh we're proposing to uh increase the inclusion rate on capital gains
00:25:09.960from 50 to two-thirds and what that means is that you know for you know when you're in a
00:25:16.280something like employment income interest income if you earn hundred dollars you pay tax on the
00:25:19.800full hundred dollars but when you generate a capital gain from the sell sale of an investment
00:25:24.840the sale of a property that's a capital asset, you only pay tax on 50% of the gain. So you make
00:25:32.980$100, you only have to pay tax on $50. 50 of it is tax free. So they were proposing to increase
00:25:38.800that inclusion rate to two thirds. So you'd pay tax on $66.67 of the $100 that you gain, which
00:25:46.800would have been a significant tax increase. That created a big uproar amongst not only the
00:25:52.160investment community but you know you think about uh you know people that had a cottage that they've
00:25:56.620had for many many many years and to pay 50 tax instead of 60 or 50 inclusion rate instead of
00:26:02.760two-thirds inclusion rate is a big difference so there's a lot of uh uproar about that good news is
00:26:09.140the carny government said we're not doing that um so it's been shelved um hopefully forever uh but
00:26:15.360at least it's been shelved it hasn't been postponed it's just off the table now oh which is good news
00:26:19.680And I know dentists, doctors, they also went basically berserk when this happened, because when they go to transfer, sell their practice.
00:31:29.740But we are subject to tax on residency.
00:31:32.400Right. When you cease residency is there's no fine line in the sand. It's and it's not a black and white answer. You know, a lot of times, you know, you look at that you look at things like where do you live? Where's your home? Where's your what's called your center of vital interests? Meaning where do you spend most of your time? Where do you you know, where is it that you you're part of clubs? Where is it that you have a driver's license?
00:31:59.140So, you know, you look at all those sorts of indicators to say, well, I'm a resident in this jurisdiction versus this jurisdiction.
00:32:08.220And you look at kind of the, you know, where the abundance of the facts are.
00:32:11.900So it's, you know, where's the case stronger to say that you're a resident?
00:32:16.580You talked about the U.S. and, you know, there are some states that there's no personal state tax, places like Florida and Texas as an example.
00:32:26.380So if you think about, you know, some people will say, well, hey, I'm a resident in Florida because I don't want to pay tax in Canada.
00:47:25.400So we're seeing the productivity levels shift.
00:47:28.460But when you look at the rankings for complexity of tax systems, we're number 13th in the world in the OECD.
00:47:36.180So we're one of the more complex tax systems.
00:47:39.140but yet we're finding is there ways that we can and this one the flow through shares is there
00:47:44.340other ways that we can start to incentivize people reduce complexity so we can kind of get
00:47:51.160that productivity back and and try to grow our country and i know the prime minister talks about
00:47:56.360it quite a bit and you know it's a shame sometimes i know he's a really bright guy but you know more
00:48:02.060details like this to explain to people what he's trying to do i think would be helpful to get
00:48:06.340people on board uh to the to the what he's doing right yeah i mean this is my own opinion i'm not
00:48:13.180like what i say is like not i'm not representing anybody here but just my own kind of observation
00:48:18.960you know being a tax professional and doing this for like 30 years um is i think our personal tax
00:48:25.000system can be simplified i think there's you know one of the first questions you asked me is about
00:48:29.080tax deductions and credits why are there so many right i i'm a i'm a my my own view is i'm a bigger
00:48:35.760proponent of uh increasing the exemption right now it's only about the approximately the first
00:48:41.920sixteen thousand dollars of income that you can earn tax-free before you start paying a dollar
00:48:46.480of tax right why not increase to that to something more meaningful and i don't know what that number
00:48:51.520is but let's say thirty thousand thirty five thousand but do away with some of these credits
00:48:56.000like the medical expense credit or you know there's credits for you know moving expenses
00:49:05.840child care expenses whatnot may not be popular for me to say that but I think it just simplifies
00:49:12.920the system you know why keep that big stack of medical expenses yeah just increase the exemption
00:49:18.780and so just say okay you don't have to pay tax on x but don't worry about keeping all those records
00:49:23.720Because at the end of the day, how significant of a savings is it going to be by claiming a few dollars of tax savings on medical expenses?
00:49:32.380So that's my own opinion is there's too many credits and too many tax brackets that if I was prime minister, I would do away with a lot of that.
00:49:42.000Which, you know, alleviates some of that anxiety you talked about when it comes to tax time.
00:49:48.940So, you know, we took a look before the show and different countries, you know, they've done, you know, we looked at Switzerland, which is a smaller company, and we looked at New Zealand, you know, they kind of switched off to more of a flat tax structure.
00:50:05.160And then Australia, which you just talked about, did an increase in their lower level of, you know, tax exempt income for people.