Filing your personal taxes: The difference between a tax credit and a tax deduction
A very common misconception that people have is they believe that tax credits are a tax deduction. It is important to distinguish between the two as both have very different and unique benefits to the calculation of your income taxes. A tax deduction is a reduction in the gross amount on which tax is calculated. In other words, a deduction against your net income for the year to arrive at your taxable income. In Canada, your calculated taxable income is [...]