Essential Tax Documents and How to Keep Track of Them!
Tax season is a universally dreaded time for a good chunk of the population. Beyond having to crunch numbers and face financial considerations, there’s much more to it – Paperwork. It’s officially tax season when you begin hunting for documents which you only have a vague memory of! Confusing terminology, confusing sources, and even more confusing uses makes hunting these documents a dreaded chore.
If you’re looking to be proactive for the upcoming tax season, here are some key documents that you need to keep track of throughout the year –
T4 – Statement of Remuneration Paid
The T4 is a quintessential of tax forms, a kind of default that everyone needs to reach out for, no matter what. This forms documents personal taxation, summarizing income from jobs and projects, along with deductions and contributions. As an employee, you should be receiving this form by your employer itself! Your tax accountant can help you further decode a T4 form, thus helping you understand your exact income, obligations, and deductions.
T4A – Statement of Pension, Retirement, Annuity and Other Income
As the form naming scheme suggests, the T4A form documents all of your additional income sources. These could be anything from endowments or even pension, annuity, and retirement benefits. Often, it might be tricky to understand if something falls in the category of T4 or T4A! As a thumb rule, any income received beyond your normal job may fall under the purview of T4A. However, thumb rules do not make for safe finances. Be sure to contact your tax accountant in case of any ambiguity!
T5 – Statement of Investment Income
If you’re an investor, you’ll need to provide a T5 form too! This is a form that summarizes income from investments, specifically dividends and interests. It also accurately documents your total gains and losses from investment. Tracking T5 has benefits beyond compliance – it can guide you towards better investing habits! Tax Accountants specialize in navigating the complex nature of investment income, and may even assist in reducing potential obligations!
While Taxation seems daunting, you have an ally right by your side in the form of comptable impôt ACCOTAX. This expert can help keep track of the multitude of forms and documentation required and may even be able to procure them for you!
Keep track of your tax forms, and make the most out of the tax season with an expert accountant!
