Credits
What is a deduction?
An amount that reduces your total taxable income (e.g., RRSP contributions).
How often do you need to file taxes?
Annually (once a year).
What is income tax?
A tax you pay on the money you earn (e.g., from a job, investments, or business).
What is a tuition tax credit?
A credit that students can claim based on eligible tuition fees paid, which can reduce their taxable income.
Who needs to file taxes?
Everyone with income, even low-income earners or students, should file taxes to get potential refunds or credits.
What is taxable income?
The portion of your income that is subject to taxes, after deductions.
What is a medical expense deduction?
A deduction that allows you to claim eligible medical expenses paid for yourself or dependents, which can reduce your taxes.
What happens if you miss the tax filing deadline?
You may face penalties, interest on unpaid taxes, and lose out on certain benefits.
What is an audit?
A review of your tax return by the CRA to verify that the information is correct.
What is the GST/HST credit?
A tax-free quarterly payment for low- to moderate-income individuals or families to offset the goods and services tax.
What is the difference between filing taxes online and by mail?
Filing online is faster and more efficient, while filing by mail takes longer and requires sending physical documents.
What is a tax bracket?
A range of income that is taxed at a particular rate. Higher incomes are taxed at higher rates.
What is a non-refundable tax credit?
A tax credit that can reduce your taxes owed but cannot create a refund.
What is the tax deadline in Canada?
April 30th
What is a TSFA?
An account where your investments grow tax-free, and withdrawals are not taxed.