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Revision as of 10:17, 28 August 2026
Note: This writer is not a CPA or tax professional. This article is for general information purposes, and really should not be construed as tax details. Readers are strongly inspired to consult their tax professional regarding their personal tax situation.
A tax deduction, or "write off" as it's sometimes called, reduces your taxable income through getting you to subtract numerous an expense from your income, before calculating what amount tax you'll want to pay. Greater deductions experience or the higher the deductions, over the your taxable income. Also, the more you reduce your taxable income the less exposure you will want to the higher tax rates in bigger income supports. As you read earlier, Canada's tax system is progressive which means the more you earn, the higher the tax rate. Losing taxable income lowers amount of tax you'll pay.
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