Five Tips To Help You Get Ready For Tax Season
With the New Year upon us, now is the best time to prepare for tax season. Hiring a tax professional is advisable as they recommend tax-saving strategies and promote overall financial well-being. As trusted tax accountants in Vancouver, BC, CERTUS Accounting & Tax Services wants to ensure the same and to do so, we have put together a list of five tips to help you ready for tax season.
Tip #1: Know your deadlines
If you are determined to file your taxes on time, make sure to get the right form, find out the deadline, and submit the documents when required. There are penalties involved for not filing your tax returns within a deadline.
Tip #2: Keep your notice of assessment handy
Your notice of assessment contains valuable information such as your RRSP limit, unused RRSP contributions, unused credits, etc. Having the notice of assessment handy will help when buying RRSP and will help with your tax preparation.
Tip #3: Organize and gather your tax documents
Always have a look at your prior year tax returns and check what tax documents you received for the previous year. Chances are you will be receiving the same documents in the current year. This will help with gathering documents for your current taxes. Most tax documents arrive at certain times. For example: T4, T4A, T4AP, T4AOAS, T5, T5008, etc. are supposed to be issued by February 28 every year. RRSP slips and T3 slips are supposed to be issued by March 31 every year. If you do not receive your tax slips on or shortly after the above dates, please contact your slip issuer (employer, bank, etc.)
Tip #4: You have sixty days after year-end to contribute to RRSP
If you need to determine how much to contribute to RRSP, it is best to contact a tax professional early. Depending on your RRSP deduction limit, it is easy to over contribute to your RRSP by making last-minute RRSP contributions. The penalty for over-contribution is quite steep, so it pays to plan early.
Tip #5: Prepare your documents
A good time to set up your tax appointment is when you have all your documents ready. This will ensure quicker processing time for your tax return. If you are self-employed, your tax filing deadline is June 15, so there is plenty of time to prepare your taxes. Self-employed individuals can start filing taxes as early as the end of February. For all other taxpayers, the deadline is April 30. If you only have employment income, March is a good time to file your taxes. If you have RRSP and Investment Income (T5, T3), it is likely that you will receive your documents in April, so an appointment to do taxes in April would make sense.
If you’re looking for tax accountants in Vancouver, BC, reach out to CERTUS Accounting & Tax Services. Our mission is to deliver tax and accounting services you can rely on and advice you can trust to help you navigate complex business or life situations.
We serve clients across Vancouver, Surrey, Coquitlam, Richmond, Burnaby, Maple Ridge, Chilliwack, Squamish, Sunshine Coast, West Vancouver, White Rock, and North Vancouver, British Columbia.