How will clients use tax refunds?

Today’s the last day for your clients to file their taxes.

So help them complete the process and, more importantly, suggest ways they can effectively use their refunds.

A recent BMO study says a third of Canadians plan to use the funds to cover household bills and reduce their overall debt loads. Others are considering:

• Saving or investing (28%)
• Traveling and/or purchasing leisure items (13%)
• Doing home renovations (11%)
• Paying down mortgages (9%)
• Donating to charities (3%)

Clients can also use their refunds to contribute to their RRSPs and children’s RESPs, as well as to top up their emergency funds, so make sure they’re aware of all options.

For more on taxes, read:

7 tips to tax loss harvest

Most don’t know how investments are taxed

Cross-border tax tips

Tax advice for the family

Avoid the (new) Kiddie Tax

Want to PAD your tax bill?