Most people like to keep their financial information to themselves, and even when having their taxes done by a professional they are reluctant to offer any information about their financial status. Not doing so could cost you money in potential tax savings. It could also get you into trouble regarding your tax obligations.
If you have been using the same Toronto tax accountant for several years, then this pro will know what specific questions to ask you that is pertinent to your current return. If you have chosen a new tax preparer, or are using one of these tax experts for the first time then you must be open and candid with him concerning your financial affairs.
First be sure that you have gathered all of the pertinent documents that are required for the filing of your tax return. You will find during your meeting with your accountant that he will ask some specific questions. Be aware that he is not just making small talk, but is trying to ascertain what your tax status is.
You can assist him by giving him some background about you and those that may have an influence on your tax situation. For example, if you have someone in your home that has a disability, or you act as a care giver for an immediate family member, this may have some influence on your taxes.
If you are a senior and have done repairs to your home, then there may be a potential tax credit for you concerning this.
It is important to discuss your assets with this professional tax preparer as well. You may own property in another country that is for personal use, but you rent it out when you are not there. This could have some foreign investment implications that need to be dealt with in your tax matters.
If you are behind in your taxes or have had problems with the tax department in the past it would be a good idea to share the facts concerning this with your Toronto accountant as well. The CRA may be scrutinizing your returns, and your accountant should be aware of this.
Chances are you really don’t know all of the tax rules and the potential credits that are available to you, so you don’t know exactly what to share with your tax accountant. By choosing an experienced tax return provider you will be in a better situation to offer the right information as this expert will guide you with applicable questions.
