Are you a resident of Canada and the deadline for paying your taxes is quickly approaching, but you’re not sure what to do? You have no notion of how to file a tax return or what the methods of filing tax returns are. Then you don’t need to worry at all. You are at the right place.
In this blog, we will discover modern and novel techniques to file Canadian tax returns. Additionally, you will get a general overview of how to determine whether you need to submit a tax return and what paperwork you would need to do so.
The Canada Revenue Agency is in charge of managing income tax in Canada (CRA). The tax year for Canadian citizens runs from January 1 to December 31. For the preceding calendar year, you must pay any unpaid income taxes by April 30. Citizens running their own businesses must file a tax return with their partners before June 15. Although late applications are welcomed, there can be a charge or penalties.
The mandatory document must be filled out each fiscal year by individuals or businesses with important revenue details and submitted to the Canada Revenue Agency (CRA).
Now let’s take a look at different methods for filing the tax return in Canada.
Canadians can file tax returns in many possible ways.
Canada is the world’s leading IT nation. It is expanding, becoming more diverse, and luring new technology developments. So it should come as no surprise that filing your taxes online is simple and hassle-free.
In order to provide diversity and convenience to its citizens, the Canada Revenue Agency (CRA) has introduced tax filing software. The software that has received approval from the Canada Revenue Agency (CRA) goes by the names NETFILE and ReFILE. You may simply submit your taxes, whether at home, at work, or even while making supermarket purchases.
However, there are some restrictions and eligibility criteria for filing a tax return on NETFILE. So do check the official website regarding the eligibility criteria.
The most common and straightforward method is by mail. Citizens can fill out all the necessary paper work or documents and mail them to the local office or the Canada Revenue Agency (CRA) office. You can easily download all the documentation from the official Canada NETFILE website.
You may also get assistance from local agents and specialists to file all of your tax returns simply and efficiently. You may hire an agent who will assist you in resolving this issue, even if you are a working person who rarely has time to complete the tax filing and documentation.
The government of Canada’s official website published on May 6, 2021, stated that you can also file the tax return on paper manually and then submit it on the desk.
You can also ask for help from any close relative or family member to help you file your taxes. It is free of cost and speedy to do all documents. Furthermore, you can also give them access to your tax account so they can easily complete it and submit it.
How will you determine if you need to file a tax return in Canada?
Sometimes you might be confused if you are eligible for tax returns or not. Undoubtedly, it is a difficult task to understand and determine. The following list will help you grasp the information.
What documents do you need to file a tax return?
Canadian citizens might need these 2 documents:
To apply for a social insurance number, you need a work or study permit. Moreover, it also needs the approval of those working on and off campus.
An individual tax number (ITS) is an important document that you need if you are studying on a scholarship and are not eligible for a social insurance number. UBT will ask you to submit your file in the winter or late February.