Tax season can be a hassle for anybody, but it may be especially tricky for first-time filers. There’s so much to keep track of, like what paperwork is needed, where to find it, and how to fill it out. The good news is that we’ve got the answers to all your questions.
When to Submit Tax Returns
The deadline for filing your taxes is usually the end of April, but you can start filing as early as mid-February. Income Tax Filing date for self-employed folks is normally around mid-June. Dates can change every year, so make sure you check the Canada Revenue Agency (CRA) website for the exact dates.
How the Tax Filing Process Works
Filing your taxes is basically a test of your organizing skills. The process starts by gathering all the necessary tax documents, giving them to a tax preparer (either a professional, software, or paper forms), and then sending your income tax return to the CRA.
You can submit your documents online or by mail. The CRA will send you a notice of assessment (NOA) after reviewing your return. The NOA will tell you when you can expect a refund, whether you owe money to the government, and the current year’s contribution limits for tax-advantaged accounts like RRSPs and TFSAs.
Where to Submit Tax Returns
There are three basic ways Canadians file their income tax returns. The first is to use a tax preparation service like ours. You hand over your paperwork, and we handle the rest. We can also file your tax return for you once we have prepared it.
Some Canadians prefer digital help. The CRA website has a list of online software that are quick, simple, and low-cost – but you’ll still need to pay somewhere between $20 and $50 for a basic income tax return.
The third and most affordable option is to do it yourself. You can find free income tax software or do it the old-fashioned way by filling out paper forms. If writing on paper is your only option, don’t be afraid to ask for help when you run into problems.
Required Information and Documentation
Make sure you have the following documents:
- T4: Employment earnings from your employer
- T5: Investment earnings from your bank (this also applies to savings accounts)
- T2202A: Student expenses for tuition, education, and textbooks from your university or college
Don’t wait until the last minute to request these documents. You’ll also need records of RRSP contributions (also from your bank), along with receipts for medical expenses, charitable donations, and moving expenses.