Adam Tenaschuk

miniature house with money and chart

Expanding Opportunities: The Impact of Increased Lifetime Capital Gains Exemptions for Dentists

In April, the federal government presented Budget 2024. One of the proposals in that budget was to increase the lifetime capital gains exemption limit, raising it to $1.25 million as of June 25, 2024. Currently, the maximum for this exemption is $1,016,836. It was also proposed that the lifetime capital gains exemption would be indexed to inflation thereafter. Taxes on Capital Gains Capital gains are the profits you achieve when you sell an asset for a higher price than your purchase cost. These gains are ‘recognized’ only when you sell

Read More
cgt capital gains tax memo stick calculator

Maximizing Returns: How the New Capital Gains Inclusion Rate Affects Dentists

In the new proposed Budget 2024, the federal government has suggested a change to the Income Tax Act, set to take effect on June 25, 2024. This amendment will increase the inclusion rate for capital gains if it’s passed.  For corporations and trusts, the inclusion rate on all capital gains will rise from one-half to two-thirds. For individuals, the inclusion rate will also increase to two-thirds, but only for annual capital gains exceeding $250,000; gains up to this threshold will continue to be taxed at the current rate of one-half.

Read More
clinic interior and the nurse

Financial Risk Management For Dentists

Dentists face unique financial challenges and risks in managing their practices. From fluctuating patient demand to regulatory changes and economic uncertainties, navigating the financial landscape requires strategic planning and risk management. Carefully and comprehensively preparing for and addressing key financial risks is essential. While risk is to some degree unavoidable, there are strategies to mitigate them effectively. Financial Risks Faced by Dentists and Strategies to Mitigate Them Self-employed dentists and dental practice owners face unique financial risks. With certain precautions and steps, the effects and damages of each of these

Read More

Financial Forecasting For Dental Offices

Financial forecasting is important for managing any business, including dental offices. By accurately predicting future financial outcomes, dental practices can make informed decisions, allocate resources efficiently, budget more effectively, and navigate potential challenges effectively. It involves projecting revenues, expenses, cash flows, and profitability over a specified period, typically ranging from one to five years; it also requires a deep understanding of the dental industry, market dynamics, and internal operations.  Why Is Financial Forecasting Important? There are several reasons why forecasting is an important part of financial planning. Strategic Planning Financial

Read More
person-answering-question taxation knows allowable deduction

Maximizing Tax Deductions for Dental Practices

Maximizing tax deductions for dental practices is an essential aspect of financial management for practitioners in Canada. By strategically using available deductions, dental professionals can significantly reduce their taxable income, ultimately maximizing their profitability.  Being Informed Dental practice owners should educate themselves on and be aware of all potential tax deductions they could be eligible for, to help them plan their tax strategies effectively. There are various avenues for reducing tax liabilities, including: Bad debt deductions Community outreach and philanthropy Environmental sustainability expenses Health and wellness deductions Liability insurance premiums

Read More
male dentist posing at dental clinic

Tax-Efficient Investing For Dentists

Tax-efficient investing is a strategy aimed at minimizing tax liabilities while maximizing investment returns. For dentists, who often fall into high-income brackets, this approach is particularly critical, because of their substantial earnings potential, and helps avoid excessive taxes at higher bracket rates. Dentists can face significant tax liabilities, so efficient wealth management is essential. Maximize Tax-Sheltered Savings Maximize your savings potential by leveraging Registered Retirement Savings Plans (RRSPs) and Tax-Free Savings Accounts (TFSAs). Contributions to an RRSP reduce your taxable income, allowing you to save more effectively. Funds invested within

Read More
sticky-note-on-canadian tax forms ot advertise tax services

2024 Tax Insights: Key Changes Every Dentist Needs to Know

This year is bringing significant tax changes for dentists and dental practice owners, affecting retirement savings, contributions, and credits. Being alert to tax changes helps dentists and dental practice owners adapt their financial strategies and optimize tax efficiency to save money on taxes through minimizing tax liabilities. They can also enjoy more sustainable growth, being able to allocate resources effectively towards their dental practice, retirement planning, and personal financial goals. Maximum RRSP Contribution The maximum contribution to Registered Retirement Savings Plans (RRSP) is increasing to $31,560 in 2024, up from

Read More
dental insurance bill finance dentist business

Dental Office Budgeting Strategies

Effective budgeting is crucial for sustaining a dental practice. It ensures profitability and achievement of business goals while maintaining adequate cash flow throughout the year. With a well-structured budget, a dentistry practice can align income with expenses, making it a valuable tool for financial management. By annually assessing revenue and expenditures, a business can create a forecast, ensuring sustained profitability.  However, a strategic approach to budgeting is essential; this helps dental practices achieve short and long-term goals, identify areas for potential spending adjustments, and optimize overall profits. What Is the

Read More
street sign to dentist - Dental practice

Importance of the Corporate Share Structure of a Dental Practice

The corporation share structure of a dental practice is important and can have a significant impact on how a dental practice operates. Key Takeaways Ownership Organization: A well-defined corporate share structure is vital for outlining ownership interests and responsibilities within a dental practice, ensuring clarity and transparency among shareholders. Tax Efficiency: Properly structured corporate share arrangements can offer tax advantages, including income splitting, capital gains, and access to corporate tax rates, helping to optimize tax planning and minimize overall tax liabilities. Liability Protection: Incorporating a dental practice and establishing a

Read More
writing note showing for sale business photo showcasing putting property house vehicle available to be

Maximizing Lifetime Capital Gain Exemptions: Strategic Insights for Dentists

Dental practice owners looking to sell their practices obviously want to make sure they get the most out of their sales. Part of this involves not paying more tax than absolutely necessary on the proceeds of the sale. There are tax strategies to help with this, as well as other situations when money is being taken out of a dental business. The Lifetime Capital Gains Exemption is one key tax benefit that can be leveraged to reduce the tax burden arising from these situations. Whether you are selling your practice

Read More