Wealth Management

Tax Season is Quickly Approaching

 

 Hello everyone and I hope you have enjoyed our weekly columns that Tyler has put together with regards to Wealth Management.  I will continue with a few write-ups with regards to Income Tax as the 2019 Tax preparation season is upon us.

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 2019 Tax filing officially opens Monday, February 24 for electronic services and while a few of us will have all of our paperwork in order for that date I do caution you from filing too soon and missing something such as a misplaced T4 or RRSP contribution slip not yet received.

 One of the most common mistakes and causes for having to refile a tax return that we see is receiving an additional slip after filing.  This happens most often when you have moved and have not notified your employer of your new address, or receive T3 slips (most commonly from investments in Mutual Funds or Segregated Funds) that do not legally have to be mailed out until March 31.

 One of the most common errors we encounter at our office with regards to tax, does not occur in Tax Season!  Usually in October (6 months after filing deadline has passed) Canada Revenue Agency begins their “Matching Program”.  This is software that is designed to compare what you have filed for income based on your various “T” slips to what CRA has actually received from employers, banks, credit unions etc. and looks for discrepancies.  If they find an error the software adds the missed information from the slip, and sends you a Notice of Reassessment with a balance owing.  By far the most common cause of this is when a Taxpayer does not receive a T4 slip either because they have moved and the employer has sent to the wrong address, or when you have multiple part time jobs and have not collected all of your T4s prior to filing.

 This is a very easy issue to fix.  If you are unsure if you have received all of your T slips and suspect you may be missing one you can either call the employer and ask for a new one to be sent to you or you can also call CRA General Inquiries at 1-800-959-8281 with your Social Insurance Number, and details from your last year’s return and they will mail you a copy of every T slip that has been submitted to them.

The filing deadline for 2019 Taxes is April 30, 2020 and we would be happy to assist you with any questions or concerns, as well as assisting you with filing of your 2019 Income Tax Return.

 Next week we will look at common deductions such as Charitable Donations and Medical Expenses.

 If you have questions please feel free to call our office at 204-877-3541.

Robin Patmore, Branch Manager

Andrew Agencies Ltd.

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