How To Get Ready For The 2019 Tax Season
It’s coming up to that time of year again—no, not spring—we’re talking about tax season! While for some this is a time of dread, it doesn’t have to be. Many accountants in Kelowna can advise how best to deal with your particular financial situation, but to help you be as prepared as possible we’ve created a simple overview to help you get started. Follow our handy guide and you’re sure to be well-equipped to get it done with and avoid worrying about being audited.
Getting together all the necessary paperwork and receipts you’ve had over the past year will save you a ton of time. Taxes are one deadline you don’t want to miss since not filing them, or filing them late, could land you in some hot water with the Government of Canada. Getting your T4 slip from your employer as soon as it becomes available is a good start to getting your paperwork ready. Your documents from the previous year’s return will also help for filing this year’s return. It will give you a reminder of what you submitted last year, in addition to pertinent info to enter this year.
If you haven’t already been charitable over Christmas, now is the time to do it. Why? The Canadian Revenue Agency (CRA) gives you generous deductibles for donating to charities. However, it’s important to keep in mind as to what qualifies as a “charity” with the CRA. You can learn more about how to claim donations and which charities count against your return by clicking here. When you make a donation, be sure to hang on to the receipts for your tax claim.
Account For All Your Deductions
Deductions will reduce how much you actually have to pay in taxes, so they’re important to account for. These could be work-related, like business trips, or more personalized, like moving expenses or job-hunting. However, it might be better to claim the standard amount on the tax form depending if the total amount you spent is less than the standard claim amount. A Kelowna accountant can help you decide what’s right for you based on your situation.
Doing It Yourself… Or Not
There are several different ways to file your taxes nowadays depending on your preference. Many people opt to use some of the paid tax software like TurboTax or TaxTron since they typically make it fairly straightforward to file taxes. However, they phase out versions each year so you’ll have to pay for the newest version when that happens to stay up to date with tax laws. If the idea of potentially missing something on your taxes frightens you though, don’t worry, Kindret Business Solutions can ensure your business doesn’t miss a thing.
Taxes are unfortunately a necessary evil, but following our key tips should get you started. While it’s tempting to be “generous” on your forms, be aware that getting audited is a thoroughly intensive process—always be honest on your tax forms. In addition, make sure to check over your tax return before you submit it, you wouldn’t want to miss out on getting more money back for yourself. Check out our other blog articles to discover more helpful tax tips!