This is the time of the year when everyone starts thinking about taxes and refunds. However if you are new to Canada or it is your first encounter with filing taxes, it can be quite overwhelming. In this article we’ll tackle how to file your taxes in Canada and what all documents you may require for that. Remember when it comes to taxes it literally pays to be well prepared and understand how taxes work. So let dive in to more details!
Gather Your Necessary Documents
• Your social insurance (SIN) information
• Your income slips (e.g. T4 from your employer is the most common)
• Any other record of income, which might be more complicated if you’re self-employed.
• Investment details like RRSP contributions
• Any other receipts like medical expenses not covered by insurance, charitable donation receipts, or your business deductions.
The Canadian tax deadline is April 30th,2024. But if the deadline falls on a weekend, the deadline is extended to the next business day. For self-employed individuals, the tax deadline is June 15th, but if they owe taxes, they’re supposed to pay them by April 30th
What documents do you need to file your taxes?
Many of these might not apply to you yet, but there are documents you might collect in the coming years that apply to your taxes. Here are some:
Slips You need
• T4 slips (Employment income)
• Employment insurance benefits (T4A or T4E)
• T2202 Tuition and Enrollment Certificate
• Social assistance payments (T5007)
• Workers’ compensation benefits (T5007)
• Interest, dividends, mutual funds (T3, T5, T5008)
• RC210 Canada Workers Benefit advance payments.
Other Documentation to Keep Handy
• Notice of Assessment/Reassessment
• Disability Tax Credit Certificate
• Rental income and expense receipts
• Sale or deemed sale of stocks, bonds, or real estate.
• Northern residents’ deductions receipts
• Declaration of Conditions of Employment (T2200)
• Volunteer Firefighters certification
• Search and Rescue volunteer’s certification
• Written certification for eligible educator school supplies
• Canada Revenue Agency correspondence
Receipts You May Need
• Charitable donations
• Interest paid on student loans.
• Exams for professional certification
• Digital news subscription
• Other employment expenses
• Tool expenses (for Trades persons & apprentice mechanics)
Key Dates to Remember
We’ve gathered up the most important tax dates and deadlines to help prepare you for tax season.
January
• It’s time to check on your CRA My Account or create one if you haven’t already. This way, you have lots of time to ensure your information is up to date in the system. It takes a few days to get your account verification code, so this leaves you plenty of time before the busy tax season really kicks off.
February
• The CRA and Revenue Québec will open NETFILE and ReFILE services for the tax year near the mid-end of February. This means, you’ll be able to file your tax return online starting mid-end of
February.
• You likely won’t receive your T-slips from your employer or from other income right at this time, but you’ll receive them shortly after!
March
• The RRSP contribution deadline is March 1st. If you filed a tax return last year, and contributed to an RRSP last year, check your previous years’ Notice of Assessment to determine if you have additional room in your RRSP to make any last-minute contributions to your RRSP.
• March is a great time to file your taxes so you can get your refund as quickly as possible or have time to make a gameplan on how you’ll pay back any taxes owed.
April
• April 30th is the day that taxes are due, and any taxes owing balance is due, but you don’t need to wait until this day to file your taxes. The sooner you file, the sooner you receive your refund!
June
• June 15th is the tax filing deadline for those who are self-employed.
• It’s important to know that any taxes owing are due on April 30th, so this filing date is only recommended if you’re certain you don’t owe taxes.
For more complicated cases it is advisable to take help from income tax preparer services such as Anant Accounting in Calgary. Now you’re ready to ace your taxes. If you have any questions about when and how to file, our Tax Experts are here to help. Contact Us to book an appointment today.