Most of us leave this annual chore to the last minute. But preparing and filing your taxes early ensures you get your refund sooner and lets you take full advantage of the numerous tax breaks and credits offered by the Canada Revenue Agency (CRA). Tax-filing procrastinators risk missing the April 30 filing deadline, which will cost them penalties. To make the tax filing process faster and easier, consider the following:
Electronic filing: Take advantage of CRA digital services and electronic filing using NETFILE. Key preparation steps include finding your eight-character NETFILE access code, available in February, in your CRA My Account and ensuring all T-slips are received. Check your CRA account early to confirm you can log in. If there's a problem, you can call them early and avoid phoning later in the tax season, when call volumes are high, and delays are common.
Get free tax help: Free tax clinics are available in person or virtually. Find out about the Community Volunteer Income Tax Program by going to CRA's free tax clinics page.
Tax credits of note for homeowners: First-Time Home Buyers' Tax Credit up to $10,000 of their home's purchase price. Multigenerational Home Renovation Tax Credit permits you to claim 15 per cent of the renovation value up to $50,000 of qualifying expenses. If you work remotely, you may deduct a portion of your utilities and maintenance costs. If you rent out part of your home, you can deduct proportional costs for property taxes, mortgage interest, and insurance.