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Personal Tax Return

Wondering how I can file a personal tax return, how to get ready and file taxes, payment and filing due dates, reporting income and claiming deductions. Filing your personal tax return doesn’t have to be stressful or complicated. At MJ professionals, we specialize in preparing and filing accurate, compliant, and timely personal income tax returns tailored to your unique financial situation.

Whether you’re employed, self-employed, retired, or earning rental or investment income, our experienced tax professionals are here to help you maximize deductions, identify credits, and minimize your tax liability, while ensuring full compliance with all relevant tax laws and regulations.

Our personal tax return services include:

Preparation and filing personal tax returns (T1 return)

  1. Tax planning and consultation
  2. Pension, RRSP and other retirement income
  3. Support with CRA correspondence and audits

 

Preparation and filing personal tax returns (T1 return)

Filing personal tax returns on time is crucial to avoid CRA fines and penalties, claim benefits and carryover your credits and deductions. In Canada you must file your personal tax return by the end of April and pay taxes if any to avoid interest and penalties.

We offer our full range of personal tax return services to all individual with various source of income which includes:

  • Employment (T4 Slips)
  • self-employment (Business income including Uber income and contract payment T4A).
  • Investment income
  • Rental income
  • Pension and retirement income

If below situation (Do I need to file income tax return?) applies to you, you must file personal income tax return in Canada by April 30. However, if you or your spouse had business or self-employment income, deadline to file personal tax return for both is June 15.  Regardless of filing deadline, taxes must be paid by end of April.

Do I need to file income tax return? 

You must file your personal income tax return if following situations apply:

  1. You owe taxes to Canada Revenue Agency (CRA) or want to claim refund
  2. The CRA sends you a request to file your personal tax returns.
  3. Sold capital properties (including your principal residence) or realized a taxable capital gain
  4. You are self-employed and your net self-employment income is more than $3,500
  5. You want to carry forward your credits and deductions (this includes tuition credits and other specific expenses that you could not use in the current year)
  6. You want to receive benefits and credit
  7. You opened Fist Home Saving Account (FHSA) in current year and want to keep your FHSA participation room up to date.

 

This is the quick overview of  late-filing penalty of personal tax return:

Late‑Filing Penalty (Individuals)

  • 5% of your balance owing for that tax year, plus 1% for each full month late—up to a maximum of 12 months.
  • If you were penalized in any of the past three years (e.g. 2021–23) and then file late for 2024 after the CRA formally requests the return, the penalty increases to:
    • 10% of your balance, plus 2% for each full month late, up to 20 months.
  • Even if you can’t pay in full, filing on time avoids the late-filing penalty, though interest on unpaid tax will still apply.

 

Important notes to consider regarding personal tax return Late‑Filing Penalty

  • Interest is compounded daily on all outstanding amounts, including both tax owing and any penalties.
  • Tax instalment penalties apply if instalment interest exceeds $1,000, which triggers a separate charge.
  • Taxpayer relief provisions allow CRA to cancel or waive penalties and interest within a 10‑year lookback period, for situations like extraordinary hardship

Source: CRA

 

If you are not sure about anything, please contact us (Contact US site)

Are you new comer to Canada?

You are considered as new comer to Canada if you immigrate anytime within a calendar year (January to December). The CRA offers range of financial supports through benefits, credits and other programs.  To be eligible for such benefits and credits, you must file income tax return in the year you immigrated to Canada. There are common misconception saying, I don’t have to file income tax return because I had no employment or other income. This is wrong as you will not be entitled to any benefits and credits (specially tuition credit if you are a student) if don’t file income tax return. For more information about new comer in Canada, please follow this link. Income tax return for students and income tax return for other than students