It’s tax deadline day, file by Wednesday and avoid late penalties

A local tax expert shared his advice for those who are self-employed ahead of their June 15 filing deadline.

For most people around the region, Wed., April 30, marks the final day to file taxes. This is a crucial deadline for anyone looking to avoid those late penalties and interest on any amounts owed.

According to the Canadian Press, those who file late could face a five per cent penalty on their outstanding balance, plus an additional one per cent for every full month the return is not submitted.

Self-employed people have some extra time to spare. June 15 is the deadline to submit their returns to the Canada Revenue Agency. However, any outstanding balances will begin accruing interest after the Wednesday deadline, shared the Canadian Press.

Rob Katzman, a local tax expert in Alliston Ont., told CTV News that if one spouse is self-employed, the extended June deadline applies to both partners, as well as others in the household.

“Because information has to be passed from one spouse’s return to the other, the spouse that’s regularly employed has to wait for the other spouse’s information,” Katzman explained. “Therefore, they both have to wait until June 15.”

Don’t miss out this tax season

Katzman encourages people to understand their eligibilities, so they don’t’ miss out this year. “If you have no income, you qualify for subsidies such as the GST rebate, the Trillium Rebate, the Canada Carbon Tax,” added Katzman. “If you don’t file your tax return, you’re not getting them. You’re just leaving money on the table.”

Speaking to an accountant is crucial to help you take advantage of other relatively new benefits, Katzman shared, like the First Home Saving Accounts (FHSA).

“It’s $8,000 per year once you start the plan up,” explained Katzman. “If you opened up an account last year but didn’t put any money in this year, you can put in 16 [thousand dollars].”

The CRA says they estimate receiving over 20 million tax returns this year.

To see what’s new this tax season, and understand it from a local tax expert in Simcoe County, click here.

With files from the Canadian Press and CTV’s Mike Lang.