Spring is the time to clean up your yard, your house and your paperwork. Filing your taxes is just one of those things we all need to do and there is no better time like spring.
Tax tip: Make sure you file your tax return on time even if you cannot pay the taxes owing. CRA will levy a punitive penalty for late filing and this penalty attracts daily interest charges
If you are a sole proprietor, organize your paperwork by month and by expense type; add up the total for each expense for the year making sure to separate out the HST paid. Create a spreadsheet (using Excel or pencil and paper)of your home expenses – categories down the side (heat, hydro, mortgage interest,property taxes, insurance, R&M,water, telephone) and months along the top. Total the columns and the rows. Create a spreadsheet of personal deductions such as medical(show information for each medical practititioner and for each family member). Add up all your invoices for the year making sure to separate out the HST collected. Bring this information along with your slips to your accountant to prepare your tax return.