Filing your Canadian tax return isn’t something to rush through. A single mistake—like a missed T-slip or incorrect deduction—can delay your refund, trigger a review by the Canada Revenue Agency (CRA), or cost you money in penalties.
Whether you're employed, self-employed, or juggling multiple income sources, here are critical things to double-check before submitting your Canadian tax return.
1. Ensure All Personal and Demographic Information Is Correct
a. Your Personal Information
Start by confirming all your personal details are accurate:
- Full legal name as shown on your government ID
- Social Insurance Number (SIN)
- Date of birth
- Address on file with the CRA
These details identify you to the CRA and prevent your return from getting lost or mixed up. Double-check your contact info too—an incorrect address can delay your refund or important notices. Even a small typo could delay your assessment or refund.
b. Banking Information for Direct Deposit
To receive your refund faster, ensure:
- The correct transit number, institution number, and account number are entered
- You’re using an eligible Canadian bank account
- Your banking info matches what’s registered with the CRA
c. Proper Filing Status
Canada doesn’t use “filing status” like the U.S., but your marital status affects your tax return. Make sure it’s up to date:
- Single
- Married
- Common-law
- Separated or divorced
Update the CRA if your status changed during the tax year.
d. Review Dependant, Family Information, and Eligible Credits
If you’re claiming dependants, ensure their names and details match official documents. Errors here can reduce your credits or cause delays if the CRA needs clarification. List all eligible family members carefully, even if you don’t claim them for every benefit.
If you’re claiming dependents (like children, or a spouse with low income), confirm:
- You’re the eligible claimant
- You’re claiming all applicable credits (Canada Child Benefit, disability amount, etc.)
Double-check your dependent’s SIN and relationship status.
2. All Income Sources Are Reported Accurately
a. Employment Income
Review your T4 slips carefully. Are all amounts correct? Cross-check the figures on your slips against your year-end summaries or pay stubs. Small errors here can lead to miscalculations and either owing more taxes or missing refunds.
b. Self-Employment and Business Income
If you run a business or freelance work, make sure all your income and expenses are recorded. Don't forget to include every dollar earned and claim only legitimate business expenses. Proper tracking can help reduce your taxable income legally.
c. Investment and Other Income
Include all investment income from T5 slips, rental income, or side gigs. Check that the amounts on your slips match your records. Omitting any can lead to penalties or audits.
Canada’s tax system requires you to report worldwide income. Be sure to include:
- T4s (employment income)
- T4A (freelance, contract, or pension income)
- T5s (interest and dividends)
- T3s (trust income)
- T5008 (capital gains/losses)
- CERB, CRB, or other COVID benefits (if applicable)
- Self-employment, rental, or foreign income
Missing a slip can trigger a CRA reassessment.
3. Maximize Deductions and Credits
Don’t leave money on the table. Review if you qualify for:
- RRSP contributions
- Childcare expenses
- Union or professional dues
- Tuition and education credits (T2202)
- Home office expenses (especially post-COVID changes)
- Canada Workers Benefit (CWB)
- Moving expenses (if applicable)
Use Schedule 1 and other supporting forms to ensure all are claimed correctly.
4. Review and Reconcile Your Tax Calculations
a. Cross-Verify Income Statements
Match totals from your tax slips with what you entered. Mistakes here can throw off your entire calculation. Many tax software packages will do this automatically—use those tools to prevent errors.
b. Check Calculations for Deductions and Credits
Double-check your math. Are your deductions accurate? Do your credits match your eligibility? A quick manual review or a second opinion from an accountant can save you from costly mistakes.
c. Assess Potential Tax Owing or Refund Amount
Estimate whether you will owe taxes or receive a refund. Adjust your withholdings or payments if needed. Better to correct a small mistake now than face penalties later.
5. Verify Documentation and Supporting Evidence
a. Gather All Relevant Tax Documents
Collect your slips, receipts, expense records, and last year's return. Having everything in one place makes the review easier. Missing key documents increases the risk of delays.
b. Keep Records Organized
Save digital copies or physical files carefully. Scan receipts or store them in labeled folders. You should keep original documents for at least six years in case CRA requests an audit.
c. Prepare for Possible CRA Review
CRA can audit your return, so maintain clear records. If questions come up, having organized files speeds up the process. Always respond quickly and truthfully if asked for additional info.
6. Review, Sign, and Submit
Before submitting:
- Review for typos, incorrect amounts, or missing forms
- Sign the return (if mailing it)
- Submit via NETFILE-certified software or CRA My Account for fastest processing
Don't forget to keep a copy of your return and all supporting documents for at least six years in case CRA requests a review.
7. Final Checklist Before Submission
Spending a few extra minutes now can save you headaches down the road
- Personal details are correct and up-to-date.
- All income sources are fully reported.
- Deductions and credits are maximized and properly documented.
- Calculations are accurate and match the slips.
- All supporting documents are gathered and organized.
Taking an extra minute to double-check your Canadian tax return could:
- Maximize your refund
- Prevent costly CRA reviews
- Avoid delays and penalties
If you're unsure, consider hiring a tax professional—they can spot mistakes and help you claim maximum benefits.
Need Expert Help Filing Your Canadian Taxes?
Our team specializes in accurate, CRA-compliant tax filing for individuals, self-employed professionals, and small businesses. Let Filing Taxes – Toronto Tax Professional help you prepare better for the 2026 tax season with ease. Contact us today at 416-479-8532 to book a free consultation. Schedule an NTR engagement appointment with us and take the first step toward proper management of your finances.
Disclaimer: The information provided on this page is intended to provide general information. The information does not consider your personal situation and is not intended to be used without consultation from accounting and financial professionals. Salman Rundhawa and Filing Taxes will not be held liable for any problems that arise from the usage of the information provided on this page.