Benefits of filing your T1 Income Tax Return / T1 Personal Tax Return

If you are a Canadian Resident, whether as a student on a work permit a refugee a permanent resident, or a Canadian citizen, it is very important to understand that it may be in your interest to file your Income Tax Return (T1 tax return filing) irrespective of the fact whether you have to pay taxes or not. 

Apart from other various criteria, the Canadian Income Tax Act lays down that it is mandatory for those having taxable income to file their T1 Income Tax Return for the year. In addition to this, Canada offers several benefits or refunds which are also linked with your or your family's income tax return, therefore it is very essential that you must file your income tax return.

Benefits / Advantages of filing your income tax return

• To pay taxes for the year you owe.
• To claim a refund of excess deduction of income tax
• To get/continue to get the Canada Child Benefit
• To claim the Canada Worker's Benefits
• To get the benefit of refundable GST / HST Credit
• To get the benefit of Canada Training Credit
• To get the benefits of the Canada Carbon rebate (formerly known as the Canada Climate Incentive)
• To claim the benefits of payment of rent or property taxes under Ontario Trillium benefit which also includes Ontario GST / HST credit.
• To claim or to carry forward of your unused tuition fee credit to future years.
• To transfer the benefit of unused tuition credit to your parents
• To claim the benefit of tax exemption on your Capital gains you earned during the year on disposal of your principal residence.
• To claim the benefit of splitting your pension income by electing the option to split pension income and reduce the taxes.
• To report the income to update the benefit of the RRSP pool for current and future years so that the tax liability may be reduced by investing in the RRSP.
• To set off the losses under one source of income head with the income under the other source of income head
• To carry forward the losses of current year to future years so that the same can be set-off against the future year’s income and can help in reducing your future taxes.
• There are several other benefits/claims that you can get by filing your tax return.

The due date for filing your tax return is 30th April 2024

It is the right time to contact your T1 tax return filing consultant to file your T1 Tax Return for the year 2023 without waiting for the last date to panic. In the case of those who or their spouse are self-employed, the due date for filing the tax return is June 15, 2024. (Please note that June 15, 2024, is Saturday, therefore you will get an additional 2 days i.e. until Monday, the 17th of June 2024 to file your income tax return). 

Due date of payment of taxes you owe

If you owe any taxes, you must pay them on or before April 30, 2024, in order to avoid any interest and penalties.

If you need any kind of help in personal t1 tax return filing, the AccountTax Pros can assist you and can act as your Tax Accountant in Canada to file your tax return (T1 personal tax return or T2 Corporate Tax return) and to get you the maximum benefits and refund based on your eligibility