Tax Tips: Top Five Commonly Overlooked Tax Tips
By Contributor
It’s getting close to tax time crunch time as the 2016 deadline to file of May 2 looms closer.
The Nelson Daily, with help from H&R Block, is providing tips to readers leading up to the final day of filing to CRA.
Today the focus is on some things overlooked by taxpayers when filing taxes.
1. Medical expenses: If you pay an extended healthcare premium through a payroll deduction, this is considered a medical expense as well as any deductibles or out-of-pocket expenses that are not covered by your plan. If you purchase healthcare insurance to travel, this can also be claimed as a medical expense.
2. Disability tax credit: Many taxpayers feel they do not qualify but it may be worth asking your doctor to review the criteria on the T2201 medical disability form. This form is submitted to the CRA and they will determine whether you qualify.
3. Report your income: Any child under 18 who works part or full time during the summer months may be entitled to a refund of taxes paid if their income is below the basic personal amount. Even if no tax is deducted, reporting the income will increase the child’s RRSP contribution limit for future years.
4. Get your benefits: Those turning 19 before April 1, 2017 should be filing a 2015 tax return even if they had no income. This will allow them to collect the GST/HST credit for the quarter following their 19th birthday.
5. Determining dependents: Even with people names, pets are NOT dependents. But if your parents live with you, are over 65 and have a relatively low income, you may be able to claim them as dependents.
A tax professional at H&R Block at 810 Vernon Street, Nelson, BC, V1L 4G4 can talk about other credits and deductions that may affect you. Call (250) 354-4210 and ask for Ellen. Or to find the office nearest you visit www.hrblock.ca
