Hello! It’s my favourite time of the year – income tax filing season!
We are closing in on the 2022 personal income tax filing deadline at May 1, 2023 (usually April 30th but it falls on a Sunday this year) and I am writing to summarize some important facts for this tax season.
RRSP
You have until March 1, 2023 to make an RRSP contribution that can be used as a taxable income deduction and reduce your income taxes payable for 202
Are You Self Employed?
Your tax return is not due until June 15, 2023 but your taxes owing are still due by May 1,2023.
Are you a U.S. Citizen?
2022 personal tax returns are due April 18th but there are extensions available. Talk toyour U.S. tax expert.
Did a family member die in 2022 or 2023?
Their 2022 personal tax return is due at the regular May 1, 2023 deadline if they died before November 1st. If they died between November 1st and December 31st, then their terminal tax return is due six months after the date of death. If they died in 2023 their tax return is not due until 2024 for the 2023 tax year.
Tax Receipts and Summaries
Please do not start your tax return until April 10th each year. You can continue to receive tax slips until the first week of April as the mailing deadline for some tax slips is March 31st.
At Manulife Securities, our dealer, our targeted mailing for 2022 tax slips is as follows:
- RRSP contribution receipts – mailed weekly from January until mid-March
- T4RSP and T4RIF slips – mailed end of February
- NR4 slip – mailed end of February until mid-March
- Premier program, Masters program and AMP program fee summaries – mailed end of February
- T3 Summary of Trust Income slip – mailed end of March
- T5 Summary of Investment Income slip – mailed end of February
- T5008 Summary of Trading Gains and Losses – mailed end of February
- T5013 Distributions from Limited Partnerships – mailed end of March
- T1135 Foreign Asset Verification Report – mailed end of February
Any additional tax reports not mentioned here will be mailed in the same time periods.
Note that many of these tax slips are now available directly from CRA in your personal income tax portal online with CRA. You can download the tax slips directly into tax software. Paper copies of the tax slips are becoming less relevant.
How We Can Help Support You in Tax Season
Our practice strives to provide seven day a week tax support during April and tax time each year. While our entire team will answer questions, please direct your technical tax questions to me (Kurt) only. As a Tax Chartered Accountant, I am the only one qualified to provided tax advice on the team.
If you Have an Accountant
We can greatly accelerate the work of your accountant when they are preparing your personal, trust or corporate tax returns each year. Put them in touch with us directly and we can create specialized reports for them to use in preparing your tax returns. This will be faster than them relying on monthly brokerage statements.
Tax Planning
I continue to offer our team quarterly tax planning newsletters throughout the year. Good tax planning strategies all year long leads to less tax paid at the April filing deadline! We will always talk tax savings in our meetings with you!
Income Tax Installments
If your net personal taxes due in April are more than $3,000 consistently, you will start to get letters from CRA to make quarterly tax installments. Similar results will happen if you have a corporation. You need to make these installments unless your tax situation and income level have changed. Talk to your accountant or us if fine tuning of your installments is required.
Final Thoughts
Personal tax return season can be a stressful time of year. We are here to help, so lean on the team if you have questions.
We continue to endorse tax software if you prepare tax returns by yourself. We do not support anyone preparing tax returns manually any longer due to the complexity of calculations and integrated planning between spouses.
Happy tax season,
Kurt Rosentreter, CPA, CA, CFP, CLU, FCSI, CIMA, CIM, FMA, TEP
Senior Financial Advisor, Manulife Securities Incorporated
Portfolio Manager, Manulife Securities Incorporated
President, Upper Canada Capital Inc.
Life Insurance Advisor, Manulife Securities Insurance Inc.
2848 Bloor Street West, Etobicoke ON M8X 1A9
Stocks, Bonds and mutual funds are offered through Manulife Securities Incorporated. Insurance Products and Services are offered through Upper Canada Capital Inc. and Manulife Securities Insurance Inc. Banking products and services are offered by referral arrangements through our related company Manulife Bank of Canada. Please confirm with your Advisor which company you are dealing with for each of your products and services.
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