It is never too late to prepare to file your income tax. Although the safest method to pay your taxes is to work with a CPA, you can also decide to do it yourself—albeit, with some risk. Because when business owners decide to file taxes on their own, they often make these mistakes:
You can avoid calculation mistakes by consulting a professional. The mistakes are costly if you overpay your taxes, and can put your business in future tax liabilities if you underpay them when audited by CRA.
Though there are some excellent software tools available, you cannot solely rely on them. Some software tools will claim to catch missing deductions. This is true to some extent, but not entirely. For an accurate estimate for deductions, you will need to consult a Chartered Professional Accountant (CPA).
-Overlooked Income Sources
In your tax form, you need to add all your income from all sources—part-time jobs, interest from wealth, investment returns, and others. You can get penalized if you do not include every source of income in your tax return. It is here that the experience of a Chartered Professional Accountant (CPA) can help you. But be sure to inform them of all your income sources.
When filing your own tax, you can make a mistake of not claiming all the dependents. But talking to a Chartered Professional Accountant (CPA), like CP Lehal & Company, can help you claim credits for children and elderly parents. This can result in an increased tax refund or reduced tax liability.