Things You Need to Know Ahead of the Canadian Tax Deadline

As tax season comes to a close, it’s essential to be well informed to maximize your benefits and meet deadlines. Many Canadians don’t file their taxes at the end of February when tax season launches, but the April 30th deadline sneaks up on them. If you haven’t filed your 2023 taxes yet, here are seven things you need to know for the 2023 tax filing deadline.

Refund Averages and Benefits

Last season, over 18 million refunds were processed, with an average refund of $2,262. Remember, filing your tax return can also qualify you for significant benefits like the Canada Child Benefit (CCB), which aids in raising children under 18 and provides additional support for those with disabilities.

Important Deadlines

  • April 30, 2024: This is the final date for most Canadians to file and, if necessary, pay any owed taxes to the Canada Revenue Agency (CRA).
  • June 15, 2024: Self-employed individuals and their partners have until this date to file. Payments must still be made by April 30 to avoid interest on owed amounts.

Understand What to Report and Claim

It’s crucial to report all income forms, including self-employment earnings, foreign investments, and other assets. Equally important is to claim all eligible deductions, credits, and expenses to reduce your taxable income and potentially increase your refund.

Resources and Assistance

Need help figuring out where to begin? The CRA’s “Get ready to do your taxes” page and other resources like the CRA’s chatbot, Charlie, offer guidance. For more interactive help, the “Taxology” podcast demystifies tax filing in an engaging format.

Hiring a tax professional who offers bookkeeping services can be a fantastic resource for people who don’t have the time or skills to handle their tax returns. Tax returns must be done correctly, and it can be challenging and overwhelming when you’re not as experienced as a professional accountant.

Free Tax Clinics

Volunteers at free tax clinics can file your return for those with modest incomes and simple tax situations. Both in-person and virtual assistance are available, details of which can be found on the CRA’s Free Tax Clinics page.

Updates in Tax Measures

This year introduces new benefits and updates for various groups, including the Canada Workers Benefit, deductions for tradespersons, the First Home Saving Account, and specific credits for farmers and northern residents.

Provincial Tax Facts

Each province has its unique tax stats. For Alberta, for example, over 3.1 million residents filed online last year, and through the Community Volunteer Income Tax Program, more than 87,100 residents received help at free tax clinics. Alberta residents also benefitted from average payments of $7,080 in CCB, $500 in GST/HST credit, and $270 in Canada Carbon Rebate.

Expert Tips From Accounting By Sal

  • Keep Your CRA Information Current: Update your address, phone number, marital status, or direct deposit information with the CRA to ensure smooth return processing and quick receipt of refunds or payments.
  • Choose Your Filing Method: Whether you opt for online filing through NETFILE-certified software, enlist a tax preparer, attend a community volunteer tax clinic, or file a paper return, select the method that best suits your needs. For some, the CRA offers SimpleFile by phone as an invitation-only option.
  • Payment and Refunds: If you owe taxes, arrange payment by April 30, 2024, to avoid penalties. If you’ve overpaid, you can expect a refund. Once you’ve filed, you can track the status of your return and refund or receive your notice of assessment, which will detail your final tax obligation.

Leave Your Taxes to The Professionals

By keeping these seven essential points in mind, you’ll be well-prepared for the end of the tax season, ensuring you meet all obligations while maximizing potential returns and benefits. Accounting By Sal’s online accounting services can help take the stress out of tax season by preparing your taxes properly with a planned approach that has worked for thousands of clients.

As the Top Choice Award winner for two consecutive years, Accounting By Sal is the best choice as tax season comes to a close.

Written by: Imadmin
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