CRA Tax Tips to Get Your Return Completed on Time
It’s the season of the year when Canadians start to scrimp in getting their tax return done. This has to be done on time to avoid penalties when not completed on time. In terms of tax return, there have been several changes that are being in place to easily process filing. These changes are the thing that we will tackle in this article.
In This Guide...
Penalties and Fees
If you owe from your return, the CRA will impose interest charges on your outstanding balance day after you exceeded the deadline. Most Canadians can file online for their return, which is a method that is supported and recommended by the CRA. Filing online will merit immediate receipt of your digital records. In fact, the CRA has a list of certified software units and web applications. Conversely, if you’ve filed by mail, you can obtain a paper tax return mailed right through your home. Besides, Canadians with less complicated tax situations can also file by phone.
Get Registered
If you haven’t registered, you can open an account on the Canada Revenue Agency website. It is a safe and secure service for you as tax filers. You can even utilize the auto-fill function which can be accessible in the CRA certified tax preparation software called NETFILE. It enables parts of your return to be filled in automatically, including your T3, T4, and T5 slips information.
File No Matter What
Whether you are expecting a return, it’s a good practice to make sure that the CRA is keep informed of your income situation; otherwise, payments on a benefit like the Canada child benefit (CCB) can be possibly delayed. This also covers those without income. So, might as well fill a return for you to enjoy the benefits of all the government tax credits that are appropriate for you.
Changes For This Year
Many of the tax credits are now being modified or eradicated. For instance, when it comes to your kids’ sports or arts, it is no longer available to be credited. This includes textbook credit for students in universities. However, there are also available tax credits. The Canada caregiver credit (CCC) provides tax relief to tax payers with a physical or metal impairment. This means that Canadians can now apply for disability tax credit which is completed and certified by a medical practitioner. Besides, medical expenses is also credited of you are in need to conceived a child through medical intervention.
Tips For Self-Employed
For self-employed income tax, if there is an increased in tax situation for this year, and you have been paying installment for your income tax installment payments, you most figure out your outstanding balance before the desired deadline. To make it easier for you, you can make use of the new CRA Biz App to view your transactions and make balance payments.
When To Get Professional Advice
Tax season can be nerve-racking and mind blowing for most of us. This is when accountant and professionals spent long hours to extend their help to tax payers. The CRA is an amazing resource to clear your worries and answer your questions. Besides, help is also available for Canadians with low-income through the Community Volunteer Income Tax Program clinic. For you to locate the closest clinic, you might consider checking this page and see if you are qualified: http://www.cra.gc.ca/volunteer.
What Do With Your Return?
Perhaps, you’re already planning what to do with your return. While the smartest move for once you get your return is invest it in your RRSP or Registered Retirement Savings Plan. This way, you are ensuring a stable finance for your retirement years.
