It's Tax Season!

Yes!  It's tax season once again!  I am all geared up for this season and am accepting all personal tax returns.  

There are a few items that are needed and are often forgotten in order to ensure that your tax return is done correctly.  

  1. Notice of Assessment from last year.  This is important for many reasons:  it lists and confirms any carry-forwards that you had from last year including tuition credits, explains if there were any changes made by Canada Revenue Agency when they assessed your tax return, and gives the proper RRSP contribution limit for the year.  These pieces of information are imperitive in order to make sure that your tax return is right. Make sure you keep this in a safe place every year to put together with your tax forms for the next year.
  2. Transit receipts.  You can claim your transit costs for the year - this includes the passes and ticket books.  Keep the receipts - the receipt that clearly states what was purchased and not just your debit or credit card receipt.  It's also a good idea to keep the ticket book stubs and the monthly passes.
  3. Child fitness receipts, Child arts receipts and childcare receipts. Even though there is a limit of $500 per year on the fitness and arts receipts for your children, we still require all the receipts for the year.  It is not acceptable to just say that you had $500 in fitness and $500 in arts or music.  Canada Revenue will ask to see the receipts if you are one of the lucky people to have their taxes reviewed or audited.  The same goes for child care receipts.  If you don't bring the receipts, it will not get claimed.
  4. Safety Deposit Box fees.  If you have investments and have a Safety Deposit Box you can claim those fees for the year.  Put the receipt in with your tax papers as soon as you get it.  
  5. Medical Expenses and Donation Receipts.  These receipts may not add to up much or they may add up to quite a bit.  Either way, you want to make sure you claim them.  I'm of the mind that every little bit helps and any deduction is a good deduction!  Remember though that charity lottery tickets are NOT deductible.  Make sure that your donation receipts have the Canada Revenue Agency registered charity numbers on them - if they don't they may not be a registered charity and are therefore not deductible.  
  6. RC62 form.  This is received by parent's with children under the age of 6.  Many people forget to include this slip with their taxes and your taxes cannot be completed without it.  It should be received by Feb 28th along with all of the other T slips.  

If you include everything that your accountant needs, your taxes can be done quicker and more efficiently.  This is beneficial to both you and your accountant.  If you have questions about whether you should include a certain expense receipt you should always ask your accountant. 

Happy Taxes! 

© Double-Entry Bookkeeping & Tax Services 2019