The tax filing season 2023 is just around the corner, and you probably have a mountain of receipts and paperwork to sort through. It is not always fun or easy to prepare for taxes. But, with the right attitude and approach, filing your taxes can be much less stressful than most people think. So, if you’re looking for some helpful tips on how to get started with tax filing season 2023, look no further!
Here are the strategies that will help make filing your taxes easier than ever before:
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Get Ready for Tax Season 2023 by Following These Tips
1. Register for a CRA account
Register for a CRA account as soon as you are eligible. You can do the registration online and for free. By registering for an online profile, you will be able to access your tax information online at any time.
Once you’ve registered for a CRA account and have received confirmation of your social insurance number (SIN), the next step is to file your tax return. You can use this same CRA account when filing next year’s taxes to avoid having duplicate information entered twice by mistake.
2. T4s Access on CRA account
CRA stands for Canada Revenue Agency. If you’re a Canadian citizen or permanent resident, the CRA is responsible for administering all federal taxes in Canada.
The easiest way to register for a CRA account is online by visiting their website at cra-arc.gc.ca and clicking on “Register” under “My Account.” You’ll need some basic information about yourself; your name, address, phone number, social insurance number (SIN) and date of birth to create an account. Once this step is complete you can access many other tools that will make filing your tax filing process easier.
If it’s been a while since receiving your T4s from work or another source such as investments or rental properties then now would be a good time to check them over carefully before preparing them using TurboTax Online Self-Employed edition software so there aren’t any surprises on April 30th when most people file their income tax return form with CRA
3. Set up deposits for quicker refunds
If you’re expecting a tax refund, it’s best to have the money deposited directly into your bank account.
That way, you can use it immediately instead of having to wait for a cheque in the mail.
If applicable, you can also set up automatic deposits for HST returns and RRSP contributions
4. Collect receipts for employment purposes
The tax season is one of the most stressful times of year for many people. With so much information to keep track of, it’s easy to miss some important details that could help you save money on your taxes.
5. Keep track of student loan interest
Keep track of your employment income and expenses throughout the year so when tax time arrives, all your records will be readily available in one place, and easily organized by category. This is especially important if there are any deductions related to work-related costs such as travel or tools used by employees at their job sites. It’s also wise not only because these deductions may reduce their taxable incomes but also because they often qualify them for certain tax credits like RRSP contributions.
6. Collect your medical expense receipts
- Keep a record of your medical expenses and the amount you paid in order for the IRS to determine if they are deductible. This includes prescriptions, doctor visits and hospital stay.
- Make sure that each receipt is for the right amount paid, as well as being dated correctly.
- Keep all your receipts until at least 3 years after the end of that tax year when they were incurred.
7. File your taxes even with no income
Even if you had no income last year, it’s still important to file your taxes. You’ll get a refund of any taxes you paid in the previous year and may be eligible for benefits like the Canada Child Benefit or GST/HST credit.
It’s also important to note that there are penalties for not filing your taxes on time and these can be costly. The Canada Revenue Agency (CRA) will send out notices when it is time for you to file your taxes: one in April, another near the end of June, and possibly one more around Labour Day weekend.
8. Make sure you file on time
It’s important to file your taxes on time. If you don’t, you may have to pay a penalty and may not be able to claim certain deductions that are available only during the tax year in which they were incurred.
The filing deadline is April 30th. If you miss this date by even one day, it could cost you dearly.
9. Make use of tax software like Tax Chopper.
Tax software is a great way to save time and money. Tax software can help you find deductions and credits that you may not be aware of, which could make all the difference when it comes to paying your taxes.
Tax software also allows users to check their return for errors before filing, which means fewer returns will get rejected by the IRS. Finally, many tax programs allow users to file their returns electronically; however, saves both time and money.
How to file your taxes in 2023?
There are many ways you can file your taxes in 2023. You can use tax software or a professional tax filing services Mississauga to prepare the taxes for you. If filing on your own, it’s important that you know the due date and be sure not to procrastinate as this will result in penalties and interest charges from the IRS (Internal Revenue Service). Tax Chopper is one example of online tax preparation software that allows users access their account 24/7 so they can check their status at any time during the process.
Conclusion
Prepare your taxes in a timely manner and make sure they are accurate. Use the tips we’ve given you to help keep things organized and easy to understand. If you have any questions about what you should be doing this year, Pro Finance E&E is the right place to reach; give us a call at 905 867 8515. We’re here to help!
