What is T1 General Form (Income Tax and Benefit Return)
T1 seasons are coming up soon, but how many people know exactly what it is? What about the difference between T1s and T4s?
You will find out about T1 General Forms through this post. Come back again in two weeks to read our blog on T4s as well.
What is a T1 General Income Tax and Benefit Return?
T1 General Form, also known as the Income Tax and Benefit Return, is a document used to file a personal income tax return that all working Canadian residents must file.
A T1 General Form becomes proof of your tax situation and income. It makes it possible to apply for government benefits, refundable credits, mortgages, or other credit purchases. Some examples are the GST/HST credit or the Canada Child Tax Benefit. You can only be paid these benefits if you have a T1 return filed.
When does it have to be filed?
T1 Generals are due by the end of April of the following year, which will be April 30th. However, the deadline may be extended to June 15th if you or your spouse earned income from a business during the year.
Also, it is not required to file a T1 return for those who have a tax balance payable of $0 or negative in the calendar year. For more information on this, you may access this document from the Government of Canada, which has all circumstances where you are not required to participate in the Canadian tax filing process.
A T1 General Form includes your total income, income, tax payable, deductions, non-refundable credits, employment and self-employment income, interest, dividends, capital gains, rental income, foreign income, and so on. Categories will depend on the case, as everyone is in different situations in terms of employment, capital, etc.
If you need to correct the information you put in the form, make sure to notify the CRA immediately through a phone call and get assistance. Usually, you can request corrections by submitting adjustments or amendments to your return after you receive your Notice of Assessment. Then, you might get a refund cheque or have to pay back an amount. If you have contacted CRA before you got contacted, you might be granted relief through the Voluntary Disclosure Program (VDP).
The information process may need clarification, so it is better to seek help from your accountant or contact CNC Accounting to provide it.