On January 1, 2020 changes to Ontario Health Insurance Plan (OHIP) came into effect.
This means that OHIP will no longer cover out-of-country inpatient services up to $400 per day for hospital service such as intensive care, as well as eliminating up to the $50 per day for emergency outpatient and doctor services.
For individuals travelling out of the country for vacation, cross border shopping and snowbirds heading South for the winter, you are strongly encouraged to buy private insurance.
The Province claims that the cost of the program did not provide the value it offers. A good portion of this cost goes to cover administrative expenses such as processing the claims.
TFSA 2020 Contribution Amount
A reminder that you can now add an additional $6000 to your Tax Free Savings Account (TFSA). Aggregate total since 2009 is $69,500, this means your TFSA room can be up to this amount. You can confirm your TFSA limit by contacting Canada Revenue Agency at 1-800-959-8281. You will need information from your most recent Income Tax Return.
Home Buyers’ Plan Withdrawal (HBP)
For 2019 and following years, the limit of withdrawals under the Home Buyers’ Plan increased to $35,000. This applies only to withdrawals made as of March 20, 2019, inclusive. Otherwise, for withdrawals prior to this date, the maximum amount that can be withdrawn is $25,000.
2019 Income Tax bits
- New numbering of Federal lines on tax form: This year, the CRA made a change relating to the numbering of federal lines. Most lines were renumbered to adopt 5-digit numbers. For example, in the T1 return, line 101 becomes line 10100. Generally, this change consists in adding 00 at the end of the existing number, but certain line numbers completely changed.
- Canada Training Credit: A new refundable tax credit is available. Beginning 2019, eligible individuals can accumulate $250 per year to a lifetime maximum of $5,000
- Medical Expense Claim: Expenses incurred in 2018 and not claimed can be deducted in 2019