PERSONAL TAX INFORMATION

 
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EEXISTING CLIENTS

If applicable and available, please bring in: 

  • Updated client information sheet (download)

  • T4’s, T4A’s, T4(P)’s, T4A(OAS), T4E’s, T4(RSP)’s, T3’s, T5’s, T5113’s and T5007

  • Pension benefits not covered in T4(P)’s 

  • Separation or divorce agreement (you will be audited for spousal support)

  • Stock trading transaction statements for the year

  • Interests and/or Dividends

  • Capital gains or losses information

  • Rental Income and Expenses

  • Any other income we haven’t mentioned here

  • RRSP receipts (not the broker statements, the official CRA receipts)

  • Charitable donations receipts

  • Tuition and education receipts for you, your spouse, dependent children

  • T2200 signed by your employer https://www.canada.ca/en/revenue-agency/services/forms-publications/forms/t2200.html

  • Receipts for Childcare expenses (if this is an individual we need their SIN)

  • Medical expense receipts including premiums you paid for extended medical insurance

  • Union dues

 
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NEW CLIENTS

Any relevant documents listed above, plus

  • A full copy of your last year’s tax return if possible

  • Write down any questions you may have and we can discuss your tax situation.

 

RRSP’S

  • Registered Retirement Savings Plan (RRSP) This is a savings and investment account you use to save for retirement.   Whilst the CPP and OAS you collect will keep a roof over your head, you will not be able to enjoy activities that require payment such as concerts, plays, travel.  This means no fun!  So buy them – as much as possible.

  • It is recommended by financial experts that you should contribute at least 10% of your gross earnings to an RRSP account. This is tax-deductible and can help save you a lot of taxes now (which you will of course pay later, but hopefully at a lower rate!

  • While you should put in as much as possible, if you put too much money in, you may carry up to $2000 in an over-contribution forward a year without penalties. Anything over $2000 is penalized heavily so be careful.  Ask us.

  • If you cash out part of your RRSP before retirement, you must declare the money as income. We caution you that the tax they withhold when you take the money is often not enough.

MARITAL STATUS

No matter how old, or young, if you earn money you are required to report it to the CRA - and pay tax on it.  Every taxpayer in Canada files their own tax return.  

However, if you are married, we like to prepare the returns together.  There are several things to consider:

  • Who claims child care?  

  • Donations can be put together as one person will get more of a refund

  • All the medical expenses should be claimed by one person.

  • Tuition fees can be transferred.

  • Pensions can be shared.   

  • Investment income can be shared.

Alimony:

  • Alimony is deductible by the person paying it and taxable to the person receiving it. For it to be alimony, the payments must be monetary and paid directly to the ex.

  • If the divorce decree designates the payments are excludable as income to the receiver it is not deductible from the paying party income. Someone must pay the tax. 

  • Payments must be received by or directly for the benefit of the receiving ex-spouse. 

  • Obviously, you cannot claim alimony after the death of your ex-spouse. 

  • Alimony cannot be for the child’s benefit (this would be considered child support) and may be paid out in three years.

    Children:

  • Child Support: payments made for child support are not deductible by the spouse paying the support nor is it considered income by the spouse receiving.   Remember – someone always has to pay the tax.  In this case, the paying spouse has, or will.

  • Dependency Exemptions: the custodial parent is entitled to the dependency exemption for the children unless that right is waived in writing. If the non-custodial parent wants to claim that right, they must have permission in writing from the custodial parent.

  • Medical expenses may be claimed by the parent paying, regardless of the dependency exemption.

  • Deductible Fees: the cost of getting a divorce is not deductible. However, legal fees related to property settlement can be added to the tax base of the property. Fees that you pay for obtaining alimony and tax advice is not deductible.