Among those Canadians that plan to file before the deadline, 63% say they just haven’t got around to it yet; meanwhile 9% (nearly 1 in 10 Canadians) say they’re procrastinating as they’re worried they owe money.

Of those that say they’ll miss the deadline, 22% say it’s because they just haven’t got around to it, while 3% say it’s because they have procrastinated out of concern for owing money.

Of the 4% of Canadians that say they don’t plan to file their taxes for 2023, it’s evenly split between those that say it’s because it’s not a priority for them and those that say they’re avoiding filing as they’re worried they owe money.

“The Canada Revenue Agency reports that every year around 10% of Canadians fail to file their taxes, but we’re seeing an increase in delayed filing this year, and many who anticipate they will miss the filing deadline, altogether,” said Yannick Lemay, Tax Expert, H&R Block Canada. “We know that for some people the fear of owing money is a big contributing factor, although the vast majority of people that have filed so far have received a refund. Our message to all Canadians is to file your taxes before the April 30 deadline. Avoiding filing is never the answer as you may end up owing more money through late-filing penalties and fees – and you may be pleasantly surprised by the tax credits and benefits you’re entitled to.”

Canadians may be making tax assumptions without fully understanding the applicable benefits and credits: Only 18% of Canadians say they have a true understanding of the tax credits and benefits they may be entitled to. By avoiding or procrastinating filing your taxes, you risk missing money you may otherwise be entitled to. Many Canadians could be pleasantly surprised in getting a refund or year-round benefits (GST, Canada Carbon Rebate, Child Tax Benefit, etc.) that offset any amount owed.

Repercussions of filing after the April 30 deadline: Filing the 2023 tax return late could cost Canadians more. For those who filed any of their past 3 years of tax returns late and received demand letters from the CRA, you could be subject to a 10% late filing penalty on what you owe (rather than the standard 5%) and an additional 2% (rather than the standard 1%) every month for a year until you file and pay.

Risk of missing out on putting money back in your pocket year-round: It’s important to remember that there’s a huge upside to filing taxes. Beyond the hundreds of tax benefits and credits that are available, many Canadians aren’t aware that even if you have limited or no income, filing taxes provides access to essential federal and provincial government tax credits and programs.

Year-round benefits Canadians can access through filing income taxes:  Federal and provincial governments offer a number of significant benefits that you can only access if you have filed a current income tax return. This includes the GST/HST credit, Employment Insurance, the Canada Child Benefit, the Canada Carbon Rebate, disability tax credits, the Canada Workers Benefit, and many more. Canadians must also file a current tax return to apply for affordable housing.

Options if you owe but don’t have the funds to cover it. If it’s confirmed you owe money but you might not have the means to make the full payment, be proactive in speaking with your tax expert about how best to approach the Canada Revenue Agency (CRA) and negotiate a payment plan or instalments that can work for you.

The post Nearly 1 In 4 Canadians Have Yet To File Their Taxes With A Few Days Left Until The April 30 Deadline appeared first on Muskoka411.

Not only are all of these really annoying, they are all signs of scams!

Scammers continue to pose as the Canada Revenue Agency (CRA) and other government departments and agencies, to trick you into giving them money or personal information. Unfortunately, they’re still having some success. The amount of money that people have lost to scams and fraud has increased over the years.

Not cool, scammers… not cool!

The two most important things individuals have in defence of scams are awareness and time.

Knowing what to expect when the CRA contacts you can help you tell the difference between real communications from the CRA and scams.

Scammers will try to pressure you and get you to act quickly. Why? Because the more time you have to think about what you’re being asked to do, and the more time you have to go to official Canada.ca web pages to check if it’s legitimate, the more likely you are to recognize it as a scam. The CRA scam alerts page can help you stay up-to-date and avoid the latest scams that may target you.

Remember – when it comes to scams, time is on your side! Take a minute to think about the text, email, letter, or phone call you received. What are you being asked to do? Does it seem unusual, or too good to be true? Are you being pressured with aggressive language or threats?

If it turns out to be a scam, you can report it through the options on the Scams and fraud page, which also includes additional tips and helpful information.

By staying informed, you can avoid scams, and can proudly say – not today, scammer… not any day!

If you suspect that you may be the victim of a scam or fraud or you have been tricked into giving personal or financial information, contact all of the following:

• your local police service
• your financial institution
• credit reporting agencies

You should contact the CRA specifically if you:

• think your CRA user ID or password has been compromised
• find changes to your banking, address, business, or personal information made in your CRA My Account that you did not request
• find a benefit application made for you without your knowledge
• want to disable online access to the CRA’s sign-in services
• want to enable online access to the CRA’s sign-in services after it has been disabled

The post Tax Tip – Not today, Scammer! Find Out If It’s Really The CRA Contacting You appeared first on Muskoka411.

For more than a third (35%) of Canadians, the recent announcements around the strike by CRA employees has created a sense of uncertainty; however, Canadians are divided in their response to the potential strike action.  Around one in five (19%) Canadians report that they are more inclined to hurry to file their taxes due to the uncertainty around the implications of the strike action.  Conversely, 15% say that they are less inclined to hurry to file their taxes as they believe that the strike might lead to an extended tax filing deadline.

‘Instant refund’ tax filing appeals to Canadians who are concerned about a potential refund delay

Nearly one in five Canadians (17%) are worried that any potential CRA strike action could lead to a delay in getting a potential refund.  Of the 35% of Canadians that have not yet filed, 6% report that they are more inclined to file as soon as possible to get a refund. This way, they feel reassured that they will already have received their refund in the event that strike action creates delays in processing refunds.

“We’re now in the final throes of the countdown to the tax filing deadline. We urge all Canadians to file their taxes as soon as possible if they haven’t already,” said Peter Bruno, President of H&R Block Canada. “If you run out of runway and end up scrambling last minute to gather the necessary documents, receipts and other relevant information, it’s much more likely that you could miss out on the numerous tax credits and benefits that you may be entitled to. H&R Block also offers an ‘Instant Refund’ filing option for anyone who qualifies that is looking to get their money right away. Filing on time is also critical to avoid potential disruptions to benefits or quarterly instalments payments, such as the Climate Action Incentive, Canadian Child Benefit or GST/ HST.”

The post More Than A Third Of Canadians Have Yet To File Their Taxes Despite The Looming May 1 Deadline appeared first on Muskoka411.

Here are the answers to the top questions CRA is asked at tax time.

My Account is the fastest and easiest way to view and manage your tax and benefit information.

To register, go to My Account for Individuals and select an option to access My Account. You will need to provide:

• your social insurance number (SIN)
• your date of birth
• your current postal or zip code
• an amount you entered on your income tax and benefit return (the amount requested changes, and it could be from the current tax year or the previous one)

You will need to enroll in multi-factor authentication and provide an email address.

To have full access to My Account, you need to enter the CRA security code we issued to you after completing the first step of the registration process.

If you are a resident of British Columbia or Alberta, you may be able to access My Account using your MyAlberta Digital ID or your BC Services card.

If you own a business, you can register for My Business Account.

My Account is an online portal where you can find most of your tax information and access many of your tax slips. You can also use My Account to:

• change your personal information, such as your address, phone number, and marital status
• register for direct deposit
• make a payment
• track the status of your return
• apply for child benefits
• receive mail and email notifications
• view uncashed cheques
• use the Express NOA service
• and so much more!

By registering for direct deposit, your money will be deposited directly into your account at a financial institution.

You have several options to register for direct deposit:

• Financial institutions – You can register through many Canadian financial institutions. This includes banks, credit unions, and trust companies.
• My Account – You can register yourself if you are registered for My Account.
• By phone – You can register by calling the CRA at 1-800-959-8281. You will need your:
  • SIN;
  • full name and current address, including postal or zip code;
  • date of birth;
  • most recent income tax and benefit return as well as information about the most recent payments you received from the CRA; and
  • banking information: three-digit financial institution number, five-digit transit number, and your account number.

You can easily find your balance owing or refund amount by signing in to My Account. If you have a refund, you will also find the refund method, the date it was sent, and the amount refunded.

The fastest way to get your notice of assessment (NOA) is through the Express NOA service. With Express NOA, you can view your NOA in your NETFILE certified software, right after the return has been received and processed by the CRA. To use the Express NOA service, you must be registered for My Account and have full access.

If you are registered for My Account, you can view your notices of assessment and reassessment online. Sign in to access and print your NOA immediately.

For other options to get your NOA, go to our Notice of assessment – Get a copy page.

You can view all the ways to make a payment to the CRA on Make a payment for individuals. Our options include payments made online, in person, or by mail.

If you own a business, you can find payment information on Make a payment for a business.

If you cannot pay an existing debt in full, you may be eligible for a payment arrangement. Payment arrangement options have been expanded to reflect current realities. The Payment Arrangement Calculator features have also been added to My Account and My Business Account. This self-service tool allows you to schedule a series of payments to propose a pre-authorized debit (PAD) agreement without having to contact the CRA. If the PAD agreement doesn’t meet the parameters established by the CRA, you will need to contact us to discuss and set up a valid payment arrangement.

To find out how long we take to handle a request, use the Check CRA processing times tool. This tool gives you a target completion date and can calculate completion times for various CRA services. It often provides the same information that a CRA call centre agent can access for callers who ask about the status of their file.

If you need more information, you can check out CRA’s Questions and answers about filing your taxes page. You can also learn about online filing, deadlines, and more on CRA’s Get ready to do your taxes page.

The post Tax Tip – Here Are The Top Questions CRA Gets At Tax Time appeared first on Muskoka411.

The CRA wants to make sure each taxpayer receives the benefits and credits they are entitled to. There are many advantages of filing an income tax and benefit return every year.

The deadline for most Ontario residents to file their income tax and benefit returns for 2022 is April 30, 2023. Since this date is a Sunday, a return will be considered filed on time if the CRA receives it, or it is postmarked, on or before May 1, 2023. A payment will be considered made on time if the CRA receives it, or a Canadian financial institution processes it, on or before May 1, 2023.

Simplified Northern Residents Travel Deduction – The CRA is launching the Simplified Northern Residents Travel Deduction, a pilot project to make it easier for northern residents to determine the lowest return airfare, one of the three amounts required to claim the travel deduction come tax time. Available the week of February 20, 2023, on canada.ca/lowest-return-airfare, the simplified version features tables that identify the lowest return airfare amount found from airports with regularly scheduled commercial flights to a designated city. The airfare tables contain more than 135 airports, almost all of which are located in the prescribed zones.

Canada Dental Benefit – The new interim Canada Dental Benefit is available to eligible families earning less than $90,000 per year. It provides financial support for parents and guardians of children under 12 years old if they receive dental care in Canada and do not have access to private dental insurance. For more information, go to Canada Dental Benefit.

One-time top-up to the Canada Housing Benefit – The government introduced a one-time $500 payment to help lower-income renters facing housing affordability challenges. Applications are open until March 31, 2023. For more information, go to One-time top-up to the Canada Housing Benefit.

First-time home buyers’ tax credit – The amount used to calculate the first-time home buyers’ tax credit has increased to $10,000 for a qualifying home purchased after December 31, 2021.

Home accessibility tax credit – For 2022 and later tax years, the annual expense limit of the home accessibility tax credit has increased to $20,000.

Climate action incentive payment (CAIP) – If you are eligible, you will automatically get the CAIP four times a year. Since it generally takes two weeks to process electronic returns, we recommend that you and your spouse or common-law partner (if applicable) file your 2022 returns electronically by March 10, 2023, to help in receiving the April 14, 2023, issuance. If you don’t receive the April issuance, the payment will be included in a subsequent payment after your returns are assessed. For more information, go to Climate action incentive payment.

Organ and tissue donation initiative – Beginning with the 2022 tax year, you can indicate whether you want to receive information about becoming an organ and tissue donor if you are a resident of Ontario. By ticking the “yes” box in the consent section of your return, you authorize the CRA to give your name and email address to Ontario Health so that they may contact you or send you information about organ and tissue donation. For more information, go to Consent to share contact information – Organ and tissue donor registry.

Disability tax credit – For 2021 and later tax years, an individual diagnosed with type 1 diabetes is considered to have met the two times and 14 hours per week requirements for life-sustaining therapy. For more information, go to Disability tax credit.

Payment arrangements – If you cannot pay an existing debt in full, you may be eligible for a payment arrangement. Payment arrangement options have been expanded to reflect current realities. The Payment Arrangement Calculator has also been added to My Account and My Business Account. This self-service tool allows you to submit a potential payment arrangement without having to contact the CRA. If the proposed payment arrangement does not meet the CRA payment policy, a CRA officer will reach out to complete the arrangement.

You will be able to file your 2022 income tax and benefit return electronically starting on February 20, 2023. If you haven’t already, why not join the nine out of 10 Ontario residents who filed their 2021 tax returns online? When combining online filing with direct deposit, you can receive your tax refund in as little as eight business days. Last year, over 13 million refunds were issued by direct deposit to Canadian taxpayers, which was 78% of all refunds.

There are many advantages to filing your taxes. Canadians who had a tax refund in 2022 received an average of $2,092. Another advantage to filing is that you may be eligible to receive federal and provincial benefit and credit payments. Last year, eligible Ontario residents received an average of:

• $6,700 in Canada child benefit (CCB) payments
• $460 in goods and services tax/harmonized sales tax (GST/HST) credit payments
• $183 in Climate action incentive payments

To receive benefits and credits, you need to file an income tax and benefit return – even if you have no income to report for 2022 or if your income is tax exempt.

Steps to get ready for filing – Not sure where to start? Visit our Get ready to do your taxes page for the latest tax information. CRA has eight steps that will help you prepare to file.

Register for My Account – Over 6.4 million Ontario residents are already registered for My Account. My Account is CRA’s online portal for individuals where you can find your tax information and access many of the slips you need to file your income tax and benefit return.

You can also:

• change your personal information, such as your address, phone number, and marital status
• register for direct deposit
• make a payment
• track the status of your return
• apply for child benefits
• receive mail and email notifications
• view uncashed cheques
• and so much more!

You will also be able to access digital services such as Auto-fill my return and Express NOA in certified tax-filing software.

Learn about your taxes – The CRA has launched a free online learning tool to help you do your taxes on your own. This tool provides you with lessons that help you understand what taxes are, why we pay them, how to understand your paycheques, pay stubs, and income tax slips, and finally, how to do your taxes for the first time.

Need help doing your taxes? – If you have a modest income, a simple tax situation, and require assistance, a Community Volunteer Income Tax Program (CVITP) volunteer may be able to do your taxes for free. The CVITP helped over 186,400 Ontario residents complete and file tax returns last year. To find a clinic, please visit our Free tax clinics page.

Did you know that you can find most of the information you need online? We encourage you to find answers to your tax-filing questions through our digital services before calling us, as it will save you time. You can check out these resources:

• Benefit payment dates – Find out when you will receive your benefit payments.
• Tax tips – Find information that could help you with your tax questions.
• Ways to do your taxes – View several ways to do your taxes, including options that are free!
• Questions and answers about filing your taxes – Find answers to common questions Canadians ask us at tax time.
• Charlie the Chatbot – This service can be found on the CRA homepage and many other of our pages on Canada.ca to provide you with quick answers to your tax-filing questions.

The post What’s New And What To Remember When Filing Your Taxes In Ontario This year appeared first on Muskoka411.

If you filed on paper last year, the CRA should mail you the 2022 income tax package. You should receive your package by February 20, 2023. Others who want to file on paper can:

• order or download forms online at canada.ca/cra-forms
• order forms by calling the CRA at 1-855-330-3305 starting January 24, 2023

Go to Filing your income tax and benefit return on paper to see the products included in the package.

The deadline for most Canadians to file their income tax and benefit return for 2022 is April 30, 2023. Because April 30, 2023 falls on a Sunday, your return will be considered filed on time if the CRA receives it or it is postmarked on or before May 1, 2023. Similarly, your payment will be considered on time if it is received by the CRA or processed at a Canadian financial institution on or before May 1, 2023.

The climate action incentive payment (CAIP) is paid quarterly. If you are eligible, you will automatically get the CAIP four times a year. To receive your payment on April 14, 2023, you and your spouse or common-law partner (if applicable), have to file your income tax and benefit returns (even if you did not receive income during the year), and have them assessed on or before March 24, 2023. If your tax returns are assessed after this date, your payment will be included in a subsequent payment after your returns are assessed.

If you reside outside a census metropolitan area (CMA) and expect to continue to reside outside of a CMA on April 1, 2023, both you and your spouse or common-law partner (if applicable) must complete the CAIP section on page 2 of your returns. For more information, go to canada.ca/child-family-benefits.

This year, you may also be eligible for the CAIP if you are a resident of Newfoundland and Labrador, Nova Scotia, or Prince Edward Island. The same eligibility rules and filing requirements would apply to you. You will not be eligible for an April 2023 payment because the federal fuel charge will only apply to these provinces as of July 1, 2023. If you are eligible, you will automatically receive your first payment in July 2023.

Did you know that 92% of returns are filed electronically? Electronic returns are generally processed within two weeks. However, for paper returns, our service standard is to process them within eight weeks of receipt. If you file electronically and are signed up for direct deposit, you may get your refund in as little as eight business days. If you’re registered for My Account, you can also use Auto-fill my return to quickly fill in parts of your return with information the CRA has on file. If you choose to file your return electronically, you will use the CRA’s NETFILE service. Visit canada.ca/netfile-software to see a list of NETFILE-certified tax software products, some of which are free.

Digital services are fast, secure, and convenient. In My Account, you can also easily change your return and the personal information the CRA has on file, submit documents and track the progress of your enquiries to the CRA, and check if you have any uncashed cheques. Go to My Account for individuals at canada.ca/my-cra-account to see the full list of services offered. To see all our digital services, go to E-services for individuals.

• Get free tax help
  If you have a modest income and a simple tax situation, volunteers at a free tax clinic may be able to complete your tax return. Free tax clinics are available in-person or virtually. Find out about the Community Volunteer Income Tax Program (or the Income Tax Assistance – Volunteer Program in the province of Quebec) by going to canada.ca/taxes-help.
• File my Return
  You may be eligible to use File my Return if you have a lower or fixed income. If you are eligible to use this telephone service, you’ll receive an invitation letter with the 2022 income tax package the CRA sends you. Starting February 20, 2023, this service will let you quickly file your return by answering short questions through a secure, dedicated, and automated telephone service.

If you need a quick answer to a question, you can ask Charlie the friendly chatbot. Charlie will help you find the information you need to file your return! You can find Charlie on the CRA homepage and many other of our web pages on Canada.ca.

To get answers to frequently asked questions about tax filing, such as deadlines or tax tips, you can also go to CRA’s Get ready to do your taxes or Questions and answers about filing your taxes pages. The CRA will update these pages in late January 2023.

The post Here’s What You Need To Know If You’re Filing Your Taxes By Paper appeared first on Muskoka411.

How to make sure the caller is a CRA employee and not a scammer
A legitimate CRA employee will identify themself when they contact you, providing you with their name and phone number to call them back, if needed.

If you’re suspicious, you can make sure the caller is a CRA employee before providing any information over the phone.

Here’s how:

1. Tell the caller you would like to first verify their identity.
2. Request and make a note of their:
   o  name
   o  phone number
   o  office location
3. End the call. Then check that the information provided during the call was legitimate by contacting the CRA. Please do this before you give any information to the caller.

Once you complete these three steps, you can call the CRA employee back to discuss the reason for their call.

Note that our individual tax, benefits, and business enquiries lines offer an automated callback service. When wait times reach a certain threshold, you have the option for a callback, rather than waiting on hold. If you opt for a callback, we will give you a randomized four-digit confirmation number. This number will be repeated back to you by the call centre agent at the time of the callback. This is to provide you with assurance that the call comes from a legitimate CRA employee.

When to be suspicious
Red flags that suggest a caller is a scammer include, but are not limited to, the following:

• The caller does not give you proof of working for the CRA. For example, their name and office location.
• The caller pressures you to act now, uses aggressive language, or issues threats of arrest or sending law enforcement.
• The caller asks you to pay with prepaid credit cards, gift cards, cryptocurrency, or some other unusual form of payment.
• The caller asks for information you would not enter on your return or that is not related to money you owe the CRA, for example, a credit card number.
• The caller recommends that you apply for benefits. Do not provide information to callers offering to apply for benefits on your behalf! You can apply for benefits directly on Government of Canada websites or by phone.

For more tips and helpful information, visit our Be Scam Smart page.

CRA may review your return
One reason CRA may contact you is if they are reviewing your income tax and benefit return. This could include reviewing your GST/HST, T4, or T5 information. You may receive a letter or a phone call telling you that the CRA is reviewing your return. If your correspondence preference is set to electronic mail, CRA will send you an email telling you that your letter is available in My Account.

Scammers are also trying to trick people into clicking links by sending fraudulent emails and text messages. To know what to expect when the CRA contacts you, what they may or will not ask for, as well as examples of recent CRA-related scams, visit the Scam prevention at the CRA page.

In most cases when CRA is reviewing a return, it is a routine check. Replying and sending all of the information requested as soon as possible will help them review your file quickly and easily.

It’s also important that you call the number printed in your letter for either of the following situations:

• You can’t get the documents we’re asking for
• You need more time to reply

By calling, CRA can give you more time to respond if you need it. CRA can also help you if you have any questions. If you don’t reply, CRA may disallow a claim of yours and you could have a balance owing.

If you own a small business or are self-employed, CRA may call you or send you a letter to offer free tax help through our Liaison Officer service. CRA will only use email to contact you if you provide your email address and consent to the CRA.

Reporting a potential scam
You should report a scam if you suspect either of the following:

• you have been the victim of fraud
• a scammer has tricked you into giving personal or financial information

To report a scam, visit the Canadian Anti-Fraud Centre page, follow the instructions on our Be Scam Smart page, or call 1-888-495-8501. If you think you may be the victim of fraud or you unknowingly provided personal or financial information, contact all of the following:

• your local police service
• your financial institution
• credit reporting agencies

You should contact the CRA if you:

• think your CRA user ID or password has been compromised
• want to disable online access to the CRA’s sign-in services
• want to enable online access to CRA sign-in services after it has been disabled

The post Tax Tip – Not Sure If It’s The CRA Calling? Here’s How To Find Out appeared first on Muskoka411.

Each year, the (CRA) issues millions of payments in the form of refunds and benefits. These payments are issued by either direct deposit or by cheque. Over time, payments can remain uncashed for various reasons, such as the taxpayer misplacing the cheque or even a change of address which did not allow for delivery.

The CRA will be notifying some recipients of the Canada child benefit and related Provincial/Territorial programs, GST/HST Credit and Alberta Energy Tax Refund (AETR) recipients of any uncashed cheques they may have by email notification. Approximately 25,000 e-notifications will be issued in August and another 25,000 in November 2022, followed by the next 25,000 in May 2023.

Since the CRA launched this initiative in February 2020, approximately two million uncashed cheques valued at $802 million were redeemed by Canadians between February 10, 2020, and May 31, 2022.

In 2020, the CRA introduced a feature where taxpayers can view their uncashed cheques and collect unclaimed benefit and credit payments that belong to them. Through My Account, Canadians can check to see if they have an uncashed cheque with the CRA, some dating as far back as 1998. As government cheques never expire or stale date, the CRA cannot void the original cheque and re-issue a new one unless requested by the taxpayer. These upcoming e-notifications are to encourage taxpayers to cash any cheques they have in their possession. The average amount per uncashed cheque is $158. It can pay to sign up for the CRA’s online services!

Any taxpayer, regardless of whether they receive a notification, can check if they have a cheque by logging into My Account. Taxpayers will see an option under “related services” entitled “uncashed cheques.” From here, they will be able to easily check if they have a CRA cheque, uncashed for six months or more. Then, all they have to do is complete and securely submit the displayed form online in My Account. Through the Represent a Client Service, representatives can also view uncashed cheques on behalf of their clients.

Canadians can ensure they never miss a payment from us again by registering for direct deposit. In My Account, taxpayers can sign up for direct deposit to get any payment quickly and directly into their bank account.

If a taxpayer is not signed up for My Account or email notifications, they can find out if they have any uncashed cheques by calling 1-800-959-8281.

The post $1.4B In Uncashed Cheques Sitting In The CRA’s Coffers appeared first on Muskoka411.

1. File your return on time
First things first, make sure you file your return and file it on time. It’s important so that you can receive the benefits and credits to which you may be entitled. CRA uses the information from your income tax and benefit return to calculate your benefits and credits. If you’re already receiving benefits and credits, filing by the deadline will help avoid delays or interruptions to your payments.

You should file a return every year, even if you don’t owe tax on your income or had no income to report. If you have a spouse or common-law partner, they should also file an income tax and benefit return. You should file your return by the deadline, so you aren’t charged late-filing penalties on any money you owe.

The deadline to file an income tax and benefit return for most individuals is April 30, 2022. Since April 30, 2022 is a Saturday, your return will be considered filed on time if the Canada Revenue Agency (CRA) receives it or it is postmarked on or before May 2, 2022. If you or your spouse or common law-partner are self-employed, you have until June 15, 2022, to file your income tax and benefit return.

If you have a balance owing, it is due by April 30, 2022. Your payment will be considered paid on time if it is received by the CRA or processed at a Canadian financial institution on or before May 2, 2022.

If you filed your 2020 income tax and benefit return and qualified for interest relief because you received COVID-19 benefits, you have until April 30, 2022, to pay any outstanding income tax debt for the 2020 tax year to avoid future interest charges. This applies to the tax owing for the 2020 tax year only, and not for previous tax years.

Even if you owe tax, don’t risk having your benefit and credit payments interrupted by not filing. If you cannot pay your balance owing, we can work with you on a payment arrangement.

If you want to file your income tax and benefit return yourself, CRA has a step-by-step guide that makes filing easy.

If you have a modest income and a simple tax situation, volunteers at a free tax clinic may be able to file your taxes. Free tax clinics are available in person and virtually. To find out if you’re eligible and to find a tax clinic near you, go to CRA’s free tax clinics page.

2. File your return online
To get your refund faster and avoid any delays, sign up for direct deposit and file your return online. CRA encourages you to file online through any of the following:

• NETFILE-certified tax software
• the services of an authorized service provider who can use our EFILE service
• the Community Volunteer Income Tax Program

If you choose to file online using NETFILE, a variety of software products exist to meet your needs and some are free. If you’re using NETFILE-certified tax software and you’re registered for My Account, you can use Auto-fill my return and Express NOA (notice of assessment). Auto-fill my return lets you fill in parts of your return with the information we have on file. Express NOA allows you to view the NOA in your tax software, right after the return has been received and processed by the CRA.

To use information from your tax return to authenticate when you call the CRA, you’ll need an eight-character alphanumeric access code before filing. This unique code can be found to the right, beneath the notice details box on the first page of your previous NOA. Your access code will let you use information from your 2021 tax return when confirming your identity with the CRA. Your access code isn’t mandatory when filing your 2021 tax return, but without it you’ll have to rely on other information for authentication purposes. You can view your NOA in the CRA’s secure portal, My Account.

CRA’s service standard is to issue your NOA within two weeks of receiving your income tax and benefit return online. Due to COVID-19 restrictions, the CRA may take 10 to 12 weeks to process paper returns. The CRA will process them in the order they are received. Canadians who file online and who are signed up for direct deposit may get their refund in as little as eight business days.

3. Claim all your benefits, credits, and deductions
You may be able to claim tax deductions, credits, and expenses on your return. CRA uses the information from your return to calculate your benefit and credit payments. CRA also use the information on your spouse’s or common-law partner’s return (if applicable). These benefit and credit payments include:

• Canada child benefit
• goods and services tax / harmonized sales tax (GST/HST) credit
• provincial or territorial benefits

You may be able to claim non-refundable tax credits for your medical expenses, for your student loan interest and if you have a disability, you may be eligible for the Disability Tax Credit (DTC). You can apply for the DTC by submitting a completed T2201 Disability Tax Credit Certificate form any time during the year. You may also be able to claim a deduction for child care expenses. If you worked from home due to COVID-19, you may also be eligible to claim a deduction for home office expenses. These claims can reduce the amount of tax you may owe. Find out what you can claim.

If you own a business or are self-employed, you may be able to claim certain business expenses. These include motor vehicle and business-use-of-home expenses. You may also be required to register and file a GST/HST return. Book a free virtual visit with a liaison officer either by phone or videoconference. They can help you understand your tax obligations and discuss business deductions before you file your return.

4. Enter all your income and COVID-19 benefit payment amounts
If you received benefits issued by the CRA in 2021, such as the Canada Recovery Benefit, Canada Recovery Sickness Benefit, or Canada Recovery Caregiving Benefit, you should have received a T4A information slip in the mail by the end of February. Residents of Quebec will receive a T4A information slip and an RL-1 slip.

T4A information slips from the Government of Canada for COVID-19-related benefits will also be provided online if you’re registered for My Account and have full access. To have full access to My Account, you need to enter the CRA security code we issued to you after completing the first step of the registration process.

You should have received your T4 slips from your employer by the end of February 2022. You may get slips from other payers, such as pension providers and financial institutions. If you don’t have all of your 2021 slips, ask your employer or payer for a copy. If you register for My Account, you may have access to online copies of your slips. If you’re still missing information, use your pay stubs or statements to estimate your income to report.

Information slips, including information for COVID-19-related benefits, are also available through the Auto-fill my return service in certified tax filing software. This service automatically fills in parts of an income tax and benefit return with information that the CRA has on file. To use the service, you must be registered for My Account and have full access. For more information, visit our COVID-19 benefits and your taxes web page.

Some income you earn may not be included on an information slip. You should report other types of income such as:

• Tips and gratuities earned at your place of work.
• Income earned through buying and selling cryptoassets.
• Income from sales of goods or services (such as side jobs) regardless of whether payments were in cryptocurrency or traditional monetary currency.

You should also report world-wide business income earned through the platform economy:

• Sharing economy – Using or sharing personal assets to earn revenue
• Gig economy – Freelance, or short-term contract-based work
• Peer-to-Peer (P2P) – Selling of goods from one person or party directly to another
• Social media influencers – Income earned through social media platforms via:
  • subscriptions to your channel(s)
  • advertising (clickbait and brand advertisements)
  • sponsorships
  • calls to action
  • merchandise sales or commission on sales
  • tips or donations
  • perks such as products, clothes, trips or other merchandise
  • referral codes
  • barter transactions (reciprocal exchange of goods or services without using money)

Reporting all of your income helps contribute to the social and economic well-being of Canadians in need. The tax you pay supports benefits and programs delivered through the tax system.

5. Make the right claims
Make sure you know what you can and can’t claim. Sometimes people mistakenly claim costs that aren’t eligible for tax deductions. If CRA finds a mistake, they’ll adjust your return. For more information, visit their common adjustments page.

If you filed your return, but you want to change it, you can:

• use Change my Return in My Account;
• use the ReFILE service in your certified tax software;
• submit a completed Form T1-ADJ, T1 Adjustment Request;
• ask your tax representative to request a change to your return.

Wait for your NOA before you request to change your return.

6. Simplify your life with My Account
My Account helps you easily manage your taxes from the comfort of your home. It lets you access your tax, benefit and credit information online. You can also use it to:

• track the status of your income tax and benefit return and your refund
• apply for benefits and credits
• update your address
• register for email notifications
• make a payment
• view your notice of assessment or reassessment

Make sure your information is up to date with CRA before you file. This will ensure you get your benefit and credit payments on time.

7. Pay on time
If you have a balance owing, paying it in full by the deadline will ensure interest isn’t charged. If you can’t pay all of your tax debt at once, please contact CRA as soon as possible. CRA can work with you to find a workable payment arrangement. Until you pay an amount you owe, interest compounds daily. For more information, go to When you owe money – Collections at the CRA.

8. Keep receipts and documents
You should keep all your receipts and documents for at least six years starting from the end of the taxation year to which they relate, or if your income tax and benefit return is filed late, for six years after the day you file the return. In general, if you are an individual (not self-employed) and file your 2021 tax return on time, you are required to keep your receipts and documents that relate to the 2021 taxation year until at least the end of 2027.

If you are self-employed or a sole proprietor, you may need to keep some of your business records for a longer period of time.

Sometimes CRA reviews returns to make sure that income, deductions, and credits are properly reported. If you have to support your claims, having your receipts and records on hand will make it easier.

More helpful resources
Learn about online filing, deadlines, and helpful links by visiting CRA’s Get ready to do your taxes and Learn about your taxes pages.

For answers to common questions, check out CRA’s questions and answers about filing your taxes page. CRA will update this page periodically to incorporate changes that may affect you during tax-filing season.

If you need a quick answer to a question, you can use Charlie the chatbot. Charlie will help you find the information you need to file your income tax and benefit return. You can find Charlie on the CRA homepage and many other pages on Canada.ca.

SOURCE Canada Revenue Agency

The post Eight Things To Remember Before You File Your 2021 Income Tax And Benefit Return appeared first on Muskoka411.

How to make sure the caller is a CRA employee and not a scammer

A legitimate CRA employee will identify themselves when they contact you. The employee will give you their name and a phone number. Make sure the caller is a CRA employee before you give any information over the phone. This will protect you from giving money or personal information to a scammer.

If you’re suspicious, this is how you can make sure the caller is from the CRA:

1. Tell the caller you would like to first verify their identity.
2. Request and make a note of their:
   1. name
   2. phone number
   3. office location
3. End the call. Then check that the information provided during the call was legitimate by contacting the CRA. Please do this before you give any information to the caller.

Once you complete those three steps, you may call back the CRA employee to discuss the reason for their call.

Note that our individual tax, benefits and business enquiries lines offer an automated call back service. When wait times reach a certain threshold, you will be given the option of a callback, rather than waiting on hold. If you opt for a callback, we will give you a randomized four-digit confirmation number. This number will be repeated back to you by the call centre agent at the time of the callback. This is to provide you with assurance that the call is from a legitimate CRA employee.

When to be suspicious

Red flags that suggest a caller is a scammer include (but are not limited to):

• The caller does not give you proof of working for the CRA. For example, their name and office location.
• The caller pressures you to act now or uses aggressive language.
• The caller asks you to pay with prepaid credit cards, gift cards, cryptocurrency or some other unusual form of payment.
• The caller asks for information you would not enter on your return or that is not related to money you owe the CRA, for example, a credit card number.
• The caller recommends that you apply for benefits. You can apply for benefits directly on Government of Canada websites or by phone. Do not give information to callers offering to apply for benefits on your behalf!

For more tips and helpful information, visit our Be Scam Smart or Slam the scam pages.

We may review your return

One reason we may contact you is if we are reviewing your income tax and benefit return. This could include reviewing you GST/HST, T4 or T5 information. You may receive a letter or a phone call telling you that the CRA is reviewing your return. If you’re registered for email notifications, we will send you an email telling you that your letter is available in My Account. In most cases, our review is a routine check. It’s important that you reply and send all of the information requested as soon as possible. This will help us review your file quickly and easily.

It’s also important that you call the number in your letter in either of the following situations:

• You can’t get the documents we’re asking for
• You need more time to reply

By calling, we can give you more time to respond if you need it. We can also help you if you have any questions. If you don’t reply, we may disallow a claim of yours and you could have a balance owing.

If you own a small business or are self-employed, we may call you or send you a letter to offer free tax help through our Liaison Officer service. This will be the first contact. We will only use email if you provide your email address and consent to the CRA.

Want to report a potential scam?

You should report a scam if you suspect either of the following:

• you have been the victim of fraud
• a scammer has tricked you into giving personal or financial information

To report a scam, visit antifraudcentre.ca, follow the instructions on our Be Scam Smart page, or call 1-888-495-8501. If you think you may be the victim of fraud or you unknowingly provided personal or financial information, contact all of the following:

• local police service
• your financial institution
• credit reporting agencies

You should contact the CRA if you:

• think your CRA user ID or the password you use in personal dealings with the CRA has been compromised
• want to disable online access to your information on the CRA’s sign-in services
• want to re-activate online access to your information after it’s been disabled

SOURCE Canada Revenue Agency

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