Five tips to stay ahead of Tax Season.
September 29, 2022
Everyone's tax situation is unique. Where you live, how old you are, and how much you earn are just some of the many factors that can impact your taxes.
As you think about your taxes, here are five tips to help keep you on top of things year-round to help make the filing process easier come tax season.
1. Take big life moments into consideration.
If you got married or divorced, had a baby, or lost a loved one, life’s most momentous events can impact your finances. This is because your tax situation depends just as much on what has changed in your life. Make sure you do your research to understand how these changes can impact your taxes, and what additional tax credits or deductions you may be eligible for.
2. Don’t leave any credits or deductions on the table.
Beyond the personal identifiers and information that you need to account for when doing your taxes, there’s also frequent changes and adjustments by federal and provincial governments. These changes can be cause for any increases or decreases to your taxes. Make sure you're aware of any tax credits or deductions that you’re eligible for and can take advantage of to maximize your tax refund.
3. Plan for tax surprises.
There can be good surprises and bad surprises, and a surprisingly large tax bill is likely to fall in the latter category. Be aware of things that happened in your life that was out of the ordinary compared to years past to better understand how it may change your taxes. Saving for a rainy day is a good habit to develop for any surprises, including if you discover that you do owe money upon filing your tax return. A little bit goes a long way!
4. Stay organized all year-round.
Set up a system to organize receipts and track expenses to make taxes easy – and make sure you’re keeping a physical and digital copy. You don’t have to wait until the tax season is in full swing to do this either. If you get into the habit of doing this monthly, it saves the added headache when you do get around to doing your tax return and trying to track down receipts that are eight-months old. You’ll thank yourself later.
5. Get help from an expert.
Taxes are unique and each individual’s tax situation is going to be different. While speaking to a friend or family member can help, getting advice from a certified Tax Expert can provide guidance no matter what your situation, and can help reassure you that you’re getting the maximum refund.
If one thing in life is certain, it's that your taxes will never stay static. H&R Block Tax Experts are always here to help you figure out how tax changes will impact your return.
If you want to be a Tax Expert and help Canadians make money, learn more about H&R Block Tax Academy where you can enroll in an online tax course and get one step closer to become a certified tax wizard.