Whether you are a business owner, an independent contractor, an employee, or even a student with a part-time job, it is extremely useful to know about as many different ways to improve your tax refund as possible to maximize the amount of money that stays in your pocket or is reimbursed to you. At Leskun & Son Accounting, we specialize in accounting, bookkeeping, and tax services in the Fraser Valley area of British Columbia.
How to Maximize Your Tax Return
With tax season upon us, it is important to look into the various ways of making sure that your tax return is completely optimized. Some of the best ways to improve your tax refund include:
Look into Family Tax Benefits
If you have children, you may be entitled to childcare expense claims. Depending on the age of your children, how many children you list as dependents, and your family’s net income, you can significantly increase the amount that you see on your tax refund. If you have a spouse with a physical disability or mental impairment, you also might be eligible to receive a certain amount from the Canada Caregiver Credit.
Disability and Medical Expense Credits
If you have a disability, the Disability Tax Credit is a great resource. It is a non-refundable tax credit and it can reduce the amount of taxes that eligible persons need to pay. On top of this tax credit, many medical expenses are also tax deductible. Most of these expenses will require prescriptions from a doctor but, when documented properly, they can be a great way to maximize your tax returns.
Maximize Your RRSP Contributions
Your RRSP contributions have great potential to be deducted from your annual taxes. By contributing to these accounts, you can save for your future at the same time as saving on your taxes.
Keep Track of Student Loan Payments
If you are paying into your student loans, you might be able to claim the interest being charged. While this only works with certain types of student loans, it can be a great way to drive down the amount you might owe the CRA.
To find out more information about different ways to improve your tax refund, or if you have questions for one of our professional accountants about any other tax or accounting issues, please contact Leskun & Son Accounting at 1-877-826-1219 or fill out a contact form on our website.