Personal Income Tax Checklist

The following is a tax checklist for you to use when doing your income tax return.

1. Common Slips that are required:

T4

Employment Income

   

T4A

Pensions/Annuities

   

T4A(P)

Canada Pension Plan

   

T4(OAS)

Old Age Security

   

T4PS

Profit Sharing

   

T4RIF

Registered Retirement Income Fund Withdrawals

   

T4RSP

Registered Retirement Savings Plan Withdrawals

   

T4E

Employment Insurance Benefits

   

T5

Investment Income

   

T3

Mutual Fund and Trust Income

   

 

T2202

Education Deduction Certificate

   

T2200

Employment Expenses

   
 

RRSP Contributions

  
 

Tax Shelter Slips

  

 

Note common problems - RRSP slips, T5 slips that come late, OAS slips missing.

Check your T5 slips. Often companies send out duplicate slips, and even slips that are totally in error. This is particularly true if you have an account with a brokerage firm.

Do you have Mutual Funds or Trusts (not RRSP's). These slips (T3) are often delayed until the end of March.

Do you have T5/T3 slips for money that is really your children's. This can be declared as your children's income, not yours.

 

 

2. Capital Gains:

If you have sold stocks, bonds, mutual funds, (not held in an RRSP) land, cottages (not principle residence), farms or business - you must declare the gain or loss in the year of the sale. You must have details of the cost of the assets disposed of as well as the 1994 capital gain election details if applicable.

 

3. Husband/Wife and/or children filing returns?

If you are having someone do one return remember that the tax preparation firm will require information from all returns. Many deductions are lost every year because the left hand does not know what the right hand is doing. This is especially true with low income spouse's, low income children (often with tuition fees).

 

4. Tuition fees:

May be deducted by a parent if the child cannot use them. Tuition fees of less than $100 per institution cannot be deducted.

 

5. Medical Expenses:

If the medical expenses are greater than $2,011 or 3% of the net income a portion may be deductible.

Deductible Expenses:

  • Glasses, Dental work, Drugs etc.
  • Premiums for private insurance i.e. Blue Cross/Travel
  • Nursing Home expense
  • Certain renovations to the home of a disabled person

Common Problems:

  • Can the low income spouse claim the deductions?
  • Did you add up the expenses and then deduct the reimbursement from insurance plans, Blue Cross etc.

 

6. Charitable Donations:
  • Usually you should declare all donations on one tax return.

Common Problem:

  • Make sure that all the slips have an official tax number on them. If they do not they are not deductible.

 

7. Carrying Charges:

  • Investment Counselling
  • Safety Deposit Box
  • Accounting Fees
  • Management Fees
  • Interest on money borrowed to buy Investments (not RRSP)
  • Canada Savings Bond payroll deduction charges

Technically income tax preparation is not deductible but accounting fees are.

 

8. Other things to check:

  • Alimony
  • Child Care Expenses
  • Moving Expenses
  • Claims for the Infirmed
  • Disability Deductions
  • Union/Professional Dues
  • Property Tax/Rent
  • Tax Installments
  • Political contributions
  • Business/Rental Income

 

This is not intended as a complete checklist but we hope it helps.