Proper – and timely – planning can help make tax time as efficient as possible. Plus, it can help you save some extra cash.
“Taxes are inevitable, but using key strategies can keep more money in your pocket,” says Christine Van Cauwenberghe, head of financial planning at IG Wealth Management. “Filing taxes doesn’t have to be taxing. There are ways Canadians can save more of their hard-earned money this spring.”
Below are four ways to help you save both time and money this tax season.
■ Prepare your personal information
Efficiently filing your taxes means having all the required information on hand, whether it’s banking details, tax slips like T4s and T5s or other household information – especially if you’re also filing for your family members.
Check your mail, as well as online employment and education portals for these documents. The Canada Revenue Agency will also have much of the tax information you need. Make sure you have this information nearby for a smoother and more accurate filing process.
■ Maximize the value of deductions and credits
The government has several programs and credits available to Canadians, including the Registered Retirement Savings Plan, Tax-Free Savings Account, charitable donation credits and more. Make time to understand your eligibility and take advantage of any refunds you can get.
■ Make tax planning a year-round activity
Tax season comes once a year, but being organized and tax-smart throughout the year will help you when the time comes. It’s important to pay attention to key dates and contribution limits. Don’t wait until the last minute to prepare – it’s easy to forget things, and you may be left scrambling for the documents or details you need.
■ Make use of professional help
Financial advisors can help simplify tax season. From maximizing your tax credits and deductions to staying on top of important deadlines during the year, an advisor can suggest the best options for your unique circumstances to help save.
Find more information on financial planning during tax season at ig.ca or speak with an advisor. (Source: News Canada)
