Staying organized can help you avoid interest and penalties
By now, you have most likely received various envelopes in the mail over the last few weeks with tax slips required to file your personal tax return. These tax slips are very important, not only because they are required to file your tax return, but they summarize the income you have earned in 2018.
If you received income from a Trust or Partnership in 2018, it is important you know that you may have not received all your tax slips yet. Trusts and Partnerships have later deadlines to report income to beneficiaries or partners. The deadline for a trust to report income to its beneficiaries on T3 slips is 90 days after the trust’s year end, or March 31, 2019, for trusts with a 2018 calendar-year reporting period.
To help ensure that all of your sources of income are reported, you may find it useful to keep track of your expected slips and identify if you are missing any slips before filing your return. Staying organized with your tax information will prevent erroneous omissions in reporting income, thereby avoiding interest charges on underpaid tax and penalties by the Canada Revenue Agency (CRA).
Be sure to contact Ritchie Shortt & Tully LLP if you have any questions!