By Noel D’Souza, CFP®
Director, Communications
If the thought of tax season makes you squirm, you’re not alone, but being prepared, filing on time and knowing what you can deduct will help you get the job done with more left over in your pocket.
As usual, this year’s income tax filing deadline is April 30th for most individuals. If you’re self-employed you have until June 15th to file (June 16th this year since the 15th falls on a Sunday), but any amounts owing to Canada Revenue Agency (CRA) are still due by April 30th.
While a couple of months would seem like plenty of time, the natural tendency to put off unpleasant tasks can leave you in a last-minute scramble to find receipts for children’s activities, medical expenses or other deductible expenses. A lot of tax time stress comes from a time crunch that is avoidable.
If you break the process down into manageable chunks, when it comes time to deliver your documents to your accountant or sit down to file from your computer, you will feel calmer and more organized.
Here are 5 tax filing tips to save you time and money:
1. If you haven’t done so in the past, register for My Account at the CRA website and sign up for direct deposit to get your refund back as soon as possible. If you must make tax instalment payments going forward, you can also set up Pre-Authorized Payments through this portal.
2. Find and organize your receipts. You need to find documentation for any expenses you intend to claim.
Receipts to track down: medical, childcare, education and tuition, charitable and political donations, and expenses for renovations to make your home accessible. And don’t forget your Registered Retirement Savings Plan (RRSP) and First Home Savings Account (FHSA) contribution receipts – some of the best tax deductions Canadians have! 
If you are missing receipts, contact the issuer as soon as possible so there is time to get a replacement before the filing deadline (another reason to start gathering receipts sooner rather than later). If you are e-filing your return you may not have to initially send in your physical receipt, but if asked for documentation later you will need to provide it to support your claim.
This is also a good time to set up a system to organize your 2025 receipts to make next year’s tax time a breeze!
3. Make a list of all your sources of income including your investments. If you haven’t already, you should receive your T4 slips and investment transaction slips (T3 and T5) any day now. Some financial institutions don’t mail out slips anymore, so be sure to check online as well. Taxable income sources also include money you cashed out of an RRSP, rent received on an income property, income from a hobby business, money from the sale of property etc.
The majority of Canadians are now using one of the many CRA-certified tax software programs to prepare and submit their annual tax return. CRA maintains a list of approved software, including some free (or pay-what-you-want) packages. Popular options include TurboTax, Wealthsimple Tax, and UFile. Having said that, working with an accountant can still be a smart option if you are self-employed, own your own business, have experienced a major life change, or have complex investment income.
In recent years, you can download your tax slips from CRA directly into your tax software. This is a great time saving measure and helps ensure you don’t accidentally miss filing any t-slips. It’s still a good idea to do a quick sanity check of what is downloaded versus your own records, in case there is a mismatch. You might also want to wait a little later in tax season before doing this download to ensure your investment management company has filed all the relevant information with the government.
4. Get your tax knowledge up to speed. Tax rules and deductions can change year to year. Spend some time on the internet but be sure to visit reputable websites and check the date on the information. You can start with our blog post 10 ways to minimize your tax bill. You can also visit the CRA website to see what’s new.
Some notable changes in 2024:
- The Home Buyers’ Plan (HBP) withdrawal limit has increased from $35,000 to $60,000 for withdrawals made after April 16, 2024. In addition, the 15-year repayment period will now start in the fifth year following the year that the first withdrawal was made.
- If you are a seller in the sharing and gig economy and use a digital platform, the platform operators will now provide you with an annual copy of the income you have generated to help you file your taxes.
- The big headline change for 2024 – the proposed change in the capital gains inclusion rate from one-half to two-thirds – seems like it will be a non-issue. The change was originally to take effect on June 25, 2024, but was subsequently postponed until January 1, 2026.However, the newly chosen Federal Liberal Leader and Prime Minister, Mark Carney, announced on March 9, 2025, that he would not be moving forward with the increase to the capital gains inclusion rate, and the Federal Conservative Leader has made similar statements.
5. Give yourself time to file. If you are doing your own return, don’t try to do it piecemeal around your busy schedule. Give yourself uninterrupted time and have everything you need at hand. It will take the same amount of time whether you do it in March or the day before it’s due, but by doing it early you eliminate the deadline pressure that can cause you to make mistakes or have you pulling out your hair if you have an issue when filing.
Missing the deadline doesn’t mean you don’t have to file – it just means it will probably cost you more in interest, penalties and aggravation later!
6. This one’s a bonus tip. A robust red wine pairs nicely with a job well done. Once you’ve filed your return, put your feet up and enjoy!
NOTE: The author is not able to address comments/questions regarding an individual’s specific tax situation. To work with a Money Coach to address your tax planning needs, we encourage you to book a complimentary initial consultation.
This post previously appeared in 2016. It has been updated with current data and/or information and republished.
