Personal Income Tax - Filing Checklist

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Tax Department Correspondence -
Filing Tips

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Notices of Assessment or Re-Assessement ( 2013 & 2014 returns )

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Instalment Notices & Statements ( 2015 & 2016 )

 

Canadian Income

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T4 slips ( salaries, wages, commissions )

Filing Tips

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T4A slips ( CPP, OAS, pensions and other )

 

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T4E slips ( employment insurance )

 

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T5 / T600 slips ( interest, dividend income )

 

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Details of Savings Bond Purchases or Redemptions

 

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T3 slips / Transaction & Capital Gains Summaries ( mutual funds, trusts, estates )

Filing Tips

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T4RSP / T4RIF ( retirement income, withdrawals )

 

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T5007 slips ( WSIB benefits, social assistance payments )

Filing Tips

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T5008 slips ( stocks & security transactions )

Filing Tips

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T5013 slips ( limited partnerships )

 

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Rental Income and Expenses

 

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Self-Employed Business Income & Expenses

 

 

Foreign Income - Filing Tips

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Foreign Pensions and Social Security

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Investment Income

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Rental Income

 

Deductions and Credits

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RRSP Contributions ( 2015 and Jan.1 - Feb. 29, 2016 tax receipts )

Filing Tips

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Home Buyer Plan Statements ( details & receipts )

 

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Receipts for Union Dues, Professional Fees

 

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Child Care receipts ( with name, address and SIN of child care provider )

Filing Tips

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Moving Expenses ( details & receipts )

 

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Support Payments ( details & receipts )

 

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Interest Paid on Investment Loans ( statements or receipts )

 

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Employment Expenses ( details & completed T2200 form )

 

 

Other Credits

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Tuition Receipts ( self & dependents )

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Student Loan Interest Statements

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Public Transit Passes

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Children's Fitness Receipts

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Charitable Donation Receipts ( 2015 & prior )

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Political Contribution Receipts

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Medical Expense Receipts

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Rent Receipts / Property Tax Bills & Statements

 


 

Personal Income Tax - Filing Tips

 

Tax Department Correspondence

- Your Notice of Assessment from last year will allow us to verify your RRSP deduction limit, undeducted RRSP contributions, Home Buyer Plan balance and minimum payment, undeducted Tuition and Education Credits, and Capital Loss carry-forward balances, when preparing your current tax return.
- The latest Instalment Notice and remittance form ( mailed out in February ) will include your Instalment Summary on a second page, confirming the amounts that were credited to your account last year. It is this second page which we need.

Tax Slips

Do not separate the copies of your information slips (ie copies 2 and 3 of your T4). We will do that when assembling your return; placing one copy in our file and placing one in your copy of the return.
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Foreign Income

- Canadians residents must report income from all sources, both inside and outside Canada. The income (and any foreign tax deducted) is to be converted into Canadian dollars using the exchange rate in effect on the day the income was received. Where this daily calculation is not practical, the CRA provides an average exchange rate which can be used for the year.

2011 Average Exchange Rates: $US = 0.9891 ; E.M.U. Euro = 1.3767 ; British Pound = 1.5861

2012 Average Exchange Rates: $US = 0.9996 ; E.M.U. Euro = 1.2580 ; British Pound = 1.584

2013 Average Exchange Rates: $US = 1.0299 ; E.M.U. Euro = 1.3681 ; British Pound = 1.6113

2014 Average Exchange Rates: $US = 1.1045 ; E.M.U. Euro = 1.4671 ; British Pound = 1.8190

2015 Average Exchange Rates: $US = 1.2787 ; E.M.U. Euro = 1.4182 ; British Pound = 1.9540

- If you paid taxes to a foreign country, or had taxes deducted from the income, you must report the income before taxes, and then you may be eligible for a foreign tax credit when we calculate your federal and provincial taxes payable.
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Mutual Fund Investments

Keep all the year-end slips and statements you receive. The reporting of mutual fund transactions is probably the single most misunderstood item we deal with when preparing personal tax returns. These investments produce two distinct types of taxable transactions.
- The first is income distributions to investors (unit holders) which are typically reinvested in additional units of that fund. The taxable income associated with these distributions are reported on the T3 slips which are distributed by March 31st of the following year.
- The second type of transaction which has to be reported results from redemptions (and some transfers) of units during the year. This can be in the form of pre-authorized redemptions, (ie automatic monthly withdrawals), individual cash redemptions, or transfers between funds. For tax purposes, transfers between funds are usually considered the sale or redemption of one fund, and the separate purchase of the second fund. In the case of redemptions and transfers, the information IS NOT INCLUDED on the T3 slip. It is summarized on the Annual Transaction or Capital Gains Summary which is mailed out early each year, quite often separately from the T3 slip.
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Stock & Security Transactions

- Gains or losses from the sale of stocks and securities are NOT reported on the T3 and T5 slips. We have to calculate the gain or loss by comparing the net sale proceeds to the adjusted cost base of the investment. Some investment firms will produce a Capital Gains and Loss Summary for the year. In other cases, we will need to have the original purchase and sale confirmations.
- Income from stocks and securities (usually dividends) will be reported on T3 or T5 slips which are mailed out by the end of February each year.
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WSIB Benefits & Social Assistance Payments

- While individuals do not actually pay income tax on WSIB benefits and social assistance payments, they must report the income on their returns, as it does affect the calculation of many tax credits.
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RRSP Contributions

- The deadline for making 2015 contributions to your RRSP is February 29, 2016, and the deadline for 2016 contributions will be March 01, 2017. You will likely receive separate receipts for those contributions made in calendar 2015, and for those made from January 1 - February 29, 2016. All contributions for both periods are to be reported on your 2015 tax return, even if you only intend to deduct a portion against your 2015 income.
- Your 2015 RRSP deduction limit, and the total of any undeducted contributions from prior years being carried-forward, can be found on your 2014 Notice of Assessment, or you can use one of the automated RRSP information services until the end of April 2016. Have a copy of your 2014 return with you. You will have to give the Canada Revenue Agency (CRA) your social insurance number, your month and year of birth, and usually the amount entered on line 150 of your prior year tax return.
- By telephone [ 1-800-267-6999 ]
- Online [ My Account ].
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Childcare Expenses

- Childcare receipts should include the name, address and telephone number of the childcare provider. In the case of an individual, the receipt must also show their Social Insurance Number, and should be signed and dated.
- The childcare deduction is primarily for expenses which were incurred to allow a taxpayer or their spouse to earn income from employment or self-employment, or to attend school. The parent with the lower net income must make the claim.
- The cost of summer camps and sports schools may also qualify. Fees for ongoing sports and recreational programs such as soccer and baseball DO NOT qualify as Childcare Expenses - but may be eligible for the Children's Fitness Credit (see below).
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Children's Fitness Credit

- Parents are eligible to claim a tax credit for the cost of a child's registration or membership in a prescribed program of physical activity - such as hockey, soccer, and baseball.
- Eligible programs must be ongoing, supervised, suitable for children, and include a significant amount of physical activity that contributes to cardio-respiratory endurance, plus one or more of: muscular strength, muscular endurance flexibility, or balance.
- Eligible fees are based on when they are paid, regardless of when the program takes place.
- Receipts should contain the organization's name and address, name of the eligible program or activity, amount received, date received, amount eligible for the fitness credit, full name of the payer, full name of the child, and child's year of birth, and an authorized signature.
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