- For estate tax and gift tax purposes, a deduction that allows you to transfer assets to your spouse tax-free.
credit, marriage write-off, marital allowance, tax rebate
Related Terms and Acronyms
- Alimony — Definition,
- Monthly payments received by an ex-spouse. Payments must be received continuously for one year to be counted toward qualifying income for a loan.
- Charitable Gift Annuity (CGA) — Acronym, Canada, Very Important,
➥ A form of planned giving.
- A method to facilitate charitable giving whereby an individual transfers assets to a charity in exchange for a tax deduction and lifetime retirement income payments from the charity.
- Child Tax Credit (CTC) — Acronym,
➥ See Canada Child Tax Benefit (CCTB).
- A tax break for those who claim eligible dependent children on their tax returns.
- Circuit Breaker — Definition,
- A tax credit that reduces property taxes for the elderly and permanently disabled. The credit is dependent on the amount of income earned which means the more you make, the lower the credit.
- An electrical device used to turn power off and on in sectors of a building and to limit the flow of electricity through a circuit for safety purposes.
- Common Law Marriage (CLM) — Acronym,
- To be recognized as being married without foregoing a matrimonial ceremony.
- Deductions — Definition,
- Expenses the government allows you to subtract from your taxable income. If you have taxable income of $31,000 and deductions of $4,000, then you would figure how much tax you owe on the difference -- $27,000.
- Income-splitting — Definition,
- A financial strategy used for tax purposes to reduce the overall tax burden on a family. Income is shifted from one family member to another who is in a lower tax bracket, so the income is taxed at the lower rate to save the family money.
- Reconciliation — Definition,
- Checking all bank account papers to make sure that the bank's records and your records agree.
- Tax Deduction — Definition,
- An expense that governments allow you to subtract from your income before computing your income tax.