When preparing to file your personal tax return, it’s important to be aware of the credits and deductions relevant to your personal situation. This will help ensure you don’t pay any more tax than necessary. It can be hard to keep track of all the deductions that can help you reduce your tax bill or recover some of the taxes you’ve already paid.
Below is a summary of some available deductions that you might be missing as part of your annual tax return filing:
- Interest paid on student loans.
- A summary of the interest that is deductible can be acquired from your student loan provider.
- Amounts paid for medical expenses (includes dental, medications, physiotherapy, etc.).
- Consider getting a summary from your pharmacy for the entire year. This simplifies the process of determining your deductible amount from prescriptions.
- Amounts paid for childcare during the year.
- Day camps and day sports schools where the primary goal is to care for children generally qualify as eligible childcare costs.
- Any charitable donations or political contributions made during the year.
- Amounts paid for moving expenses (if you moved at least 40km closer to a new job or attend school).
- Union or professional dues related to your employment that were not reimbursed by your employer.
- Home office expenses incurred if you worked from home during the year.
- To use the detailed method, you will need to have form T2200 or T2200s signed by your employer. This form indicates the nature of your employment and the expenditures that you incurred while working from home.
- Interest paid on any loans for the purpose of earning income from business or property in non-registered accounts. Income from property includes income earned on investments.
- Portfolio management fees related to investments held in non-registered accounts.
To ensure you have a complete picture when preparing your taxes, here are some helpful tips:
- If you have non-registered investments with an investment advisor, ensure you have the complete year-end package with you when preparing your taxes. This will help ensure you capture all your slips, gains and losses, and deductible management fees.
- If you have a spouse or common-law partner, prepare your returns together – especially if you have children – to ensure deductions and income are claimed on the correct spouse’s return.
Armstrong Jones LLP is here to assist you with your personal tax filings. If you are looking for help filing your personal tax return or have any questions on any of the items above, contact us online or call us at 613-695-9087.
