CPABC: Four things you need to know for this tax season
VANCOUVER, British Columbia, Jan. 22, 2020 (GLOBE NEWSWIRE) — It’s time to file your income tax return. The Chartered Professional Accountants of British Columbia (CPABC) have put together a series of tax tips to help British Columbians navigate through their income tax returns for the 2019 tax year. Here are four general filing tips to help British Columbians get started on their income tax filings:
1. How much income tax do I have to pay?
The amount of taxes you have to pay is based on your annual income. Be sure to check out your federal and provincial income tax rates before filing your income tax return. To reduce your taxes, check to see if you are eligible for any tax credits or tax deduction measures.2. What is the deadline for filing my personal income tax return?
The deadline for filing personal income tax returns and paying any taxes owing for the 2019 tax year is Thursday, April 30, 2020. However, if you are self-employed, the filing deadline for you (and your spouse or common-law partner) is Monday, June 15, 2020.Be sure to pay any taxes owed on or before April 30 to avoid arrears interest charges. If you owe taxes and your return is late, you will be assessed a penalty and interest on the unpaid balance of taxes due.3. I have unused tax credits from my 2018 tax return, can I apply them in my tax return this year?
If you were unable to use certain deductions or tax credits from a previous tax year, you might be able to use them for the 2019 tax year. Some common items include:Charitable donations: unused charitable donation deductions may be carried forward five years;Interest on student loans: unused student loan interest expenses may be carried forward five years; andHome office expenses: excess undeducted home office expenses of an employee or a self-employed individual may be carried forward indefinitely and applied against income from the same office or employment, or from the same business. 4. Can I transfer income tax credits to my spouse?You can transfer some income tax credits to your spouse or common-law partner. Transferable credits include the age credit, disability credit, pension income credit, and your own education and tuition fee credit. If you are able to reduce your taxes payable to zero without using all of your available credits, you might consider transferring some of these unused credits to your spouse’s return. Don’t let your credits go to waste.Learn more about the changes for the 2019 tax year and other tax tips with CPABC’s RRSP and Tax Tips at www.rrspandtaxtips.com.NOTE TO JOURNALISTS: CPAs are available for interview.Please credit Chartered Professional Accountants of British Columbia (CPABC) for use of the content and include the following disclaimer: Tax rules relating to these tax tips are complex. This is not intended as tax advice and you should not make tax decisions based solely on the information presented in these tips. You should seek the advice of a chartered professional accountant before implementing a tax plan or taking a tax filing position.About CPA British ColumbiaThe Chartered Professional Accountants of British Columbia (CPABC) is the training, governing, and regulatory body for over 37,000 CPA members and 5,000 CPA candidates. CPABC carries out its primary mission to protect the public by enforcing the highest professional and ethical standards and contributing to the advancement of public policy.For media inquiries, contact:
Vivian Tse, Public Affairs Manager