AdvisorToClient

Checklist: Are you ready for tax season?

Check List Check List

During the 2014 tax season, 1 in 5 Canadians scrambled to meet the deadline, notes an H&R Block Canada poll.

So to make sure you’re ready this time around, take this quiz.

Preview of Checklist: Are you ready for tax season?

Preview [+]

Checklist: Are you ready for tax season?

Do you know when to file?

CRA’s deadline to file for the previous tax year is usually April 30, unless it falls on a weekend.

Are you ready?

The sooner you prepare, the better off you’ll be come April 30. You can begin preparing your return once you receive your T4 slips, which have to be mailed by February 28.

Then bring together supporting documents like bills, tuition and education receipts, transit pass receipts, childcare expenses, political contribution receipts and other major life expenses. If you set aside the documents you already have sooner, it’ll help you be better organized once T4 slips arrive.

How much did you really make?

You may know your salary, but do you know what else qualifies towards total income? Did you cash in some of your RRSPs? Did you make money from the sale of a home? Did you rent out an apartment or use your car for a ride-sharing service?

Do you have kids?

There are many ways kids can help at tax time, but parents often don’t know about them all. Childcare, sports and physical activities and university tuition are just a few credits to take advantage of. And remember that for programs like the fitness and arts tax credit, the activity doesn’t have to be completed in the tax year– it just needs to have been paid for that year so you can claim it on your returns.

Did you take care of yourself?

Medical expenses are some of the most missed credits each year, so check the eligible expenses list to know what can be claimed and deducted. You can claim medical expenses for any 12-month period ending in the tax year in question on that year’s tax returns (e.g., ending in 2016 for the 2016 tax year).

Courtesy of Advisor.ca © 2018 Transcontinental Media G.P. These materials are for reference and guidelines only. You are responsible for the advice you give your clients.
Add a Comment

Have your say on this topic! Comments are moderated and may be edited or removed by
site admin as per our Comment Policy. Thanks!