2022 Tax Changes

Medical expense tax credit - has been expanded to allow expenses related to service animals who are specially trained to perform specific tasks for a patient with a severe mental impairment that help the patient cope with the impairment. Eligible expenses paid in 2022 include the cost of the animal, the care and maintenance of the animal (food and veterinary care), reasonable travel expenses paid for the patient to attend a school, institution, or other facility that trains in the handling of these animals, and reasonable board and lodging expenses paid for the patient’s full-time attendance at a school, institution, or other facility.

 

Climate Action Incentive (CAI) payment - can be claimed by eligible individuals who are residents of Ontario. Schedule 14 is completed to claim the amounts you may be entitled to based on your family composition. A 10% supplement is available to residents of small and rural communities who live outside a Census Metropolitan Area (CMA), as defined by Statistics Canada.

 

Registered Disability Savings Plan holders - a temporary federal measure now allows an immediate family member to be the planholder of the disabled person's RDSP, even if they aren't yet designated as the person's legal representative.  This measure will last until the end of 2023.  If you are a qualifying family member who became a planholder before the end of 2023, you can remain the planholder after 2023.

 

Client tax organizers

In order to proceed with preparing your tax return, please provide a completed client tax checklist along with all relevant documentation to us as early as possible.  The checklist is available here (PDF version).

 

While we will do what we can to provide feedback on planning opportunities while preparing your return, January to April isn't the time for tax planning. We are happy to offer personal or small business tax planning consultations after the tax season.

 

Important dates

• February 28, 2023 - Last day for filing employee T4 slips and  T5s for dividends (extended as February 28 falls on a Sunday)
• March 1, 2023 - Last day to contribute to your own RRSP for the 2020 tax year
• March 15 / June 15 / September 15 / December 15 - Personal income tax installment due dates
• March 31, 2023 - T3 Trust Return filing due date

 

Please note that We will do our best to file all client tax returns by the April 30th due date but returns received after April 15th will be processed in the order received.

 

June 15, 2023 - Personal income tax filing due date for self-employed individuals.  Please note that any payment of taxes owing is still due on April 30th, 2023 (we recommend paying an estimated amount to minimize interest charges).

 

Electronically filing your return

Except for certain situations, all personal tax returns must be electronically filed.  An authorization form must be signed prior to filing of return.

 

CRA review requests - after your taxes are filed

Each tax year, CRA continues to increase the number of requests for backup documentation to support claims reported on personal income taxes.  Should you be contacted by CRA to provide additional information after your taxes have been filed, please contact our office as soon as you receive notice as there are strict timelines for providing backup to the CRA.

 

Other services 

Our services don't end at tax time!  We are available all year for any of your professional advisory needs including:

 

• Bookkeeping
• Personal and business tax planning
• Business consultation
• Corporate tax returns and Notice to Reader financial statements
• Part-time controller or virtual CFO services