Main methods of filing tax returns
In order to facilitate taxpayers, the Canadian Taxation Bureau has launched three options, namely online declaration, telephone declaration and mail declaration. Taxpayers can choose the appropriate tax declaration method according to their own situation. Specifically, how to complete the tax declaration, taxpayers can choose to declare themselves, buy officially recognized computer software for tax declaration, and hire professional accountants to help with tax declaration.
The advantages of Telefile and Net file are convenience and quickness, but taxpayers need to have an access code given by the tax bureau.
Code), the tax bureau will send this code to your home every year after you report the first tax and the tax bureau begins to have your tax return records. Generally speaking, it is not necessary to attach any supporting documents, such as vouchers or receipts, to file tax returns by telephone or online, unless the Inland Revenue Department has special requirements. The inland revenue department usually issues a tax assessment notice in about two weeks.
Assessment) and tax refund.
How to file tax returns by telephone: Prepare all kinds of tax documents, call the toll-free number1-800-959-110, answer the operator's questions in turn, report all the items and corresponding amounts in your tax documents, and then complete the tax return.
Method of online tax return: For details, please refer to the website of Inland Revenue Department /yimin 12580 Basic personal allowance, old age allowance, spouse allowance, eligible dependant allowance, CPP contribution, EI premium, tuition and education fees, medical expenses, charity expenses, etc.
Here are some explanations for the more complicated tuition and education fees:
As a deduction item, the individual's tuition (tuition for himself) needs to be paid to an educational institution of Canadian university or college level or the Department of Employment and Immigration (.
Minister of employment
AndImmigration) certified vocational training institutions, each educational institution with tuition fees exceeding 100 yuan can enjoy tax exemption.
Deductible tuition fees include admission application fees, library and laboratory fees, testing fees, compulsory computer service fees, books and handouts in correspondence courses, certificates and diplomas. Other surcharges, such as sports and health care services (but excluding student club activities) can also be deducted, but general accommodation expenses cannot be deducted.
In addition, if you go abroad to study in a university, the registered course should last at least 13 weeks and be a full-time course. If you get a degree, the tuition fee may also be deducted, but it depends on whether the university is recognized by the Canadian tax bureau. If foreign universities are not on the list approved by the tax bureau, they need certain procedures to apply.
In addition to tuition fees, you can also declare education fees. As a full-time student (full-time
Students), can declare the education allowance in 400 yuan every month. Part-time students
Students) The course lasts at least 3 weeks, with at least 12 hours per month, and the monthly tax allowance is 120 yuan. In 2006, a new textbook reduction (textbook tax) was added.
Credits) stipulates that students who are eligible for full-time education funds will be exempted from 65 yuan every month, part-time (part-time)
Time) The amount of student assistance is 20 yuan per month.
If the students themselves don't need to offset all the tuition, education and textbooks, the rest can be transferred to their spouses, parents or grandparents first, but the tuition, education and textbooks that a child can transfer cannot exceed 5,000.
It should be pointed out that the fees for children's tutoring or cram schools cannot be deducted; Non-sports tuition fees such as piano learning and talent learning cannot be deducted, but if the talent music school issues T2202,
Or the tuition receipt of T2202A can be declared.
Deduction obtained (deduction)
The comprehensive income obtained by adding income from various sources can be deducted from some personal expenses allowed by the tax law.
Taxable income can only be obtained after tax deduction. These personal expenses that can be reduced in tax law are called "deductions". Declarable income deductions include: RRSP, annual membership dues of trade unions and professional professional associations, disability support, child care expenses, moving expenses, maintenance expenses and other employment expenses.
Annual trade union fees and membership fees of professional associations (annual trade union, professional or similar fees)
Membership dues) can be declared and deducted. Salary-related expenses paid during the year, such as annual membership fees paid to trade unions or civil servants' associations, annual fees paid to professional professional associations according to provincial laws and regulations, annual professional fees paid to maintain professional civil servants' qualifications required by provincial laws and regulations, professional insurance premiums, etc., can all be declared as tax deductible. However, the annual membership fee does not include admission fee and special fee (special fee).
Assessed) or other expenses that are not used to maintain the daily operation of the organization.
Child care (child care)
Expenses) can also be declared for deduction. Li Jinping pointed out that when both husband and wife have to ask someone to take care of their children, they can go to work, run a business and be "full-time".
Time), or "part-time job" when attending school, receiving vocational training or conducting research funding, the child care fee can be deducted.
According to the regulations of the tax bureau, the person who claims to deduct the child care fee is usually the spouse with lower income. Child care fees can include at home or in nurseries, boarding schools (boarding
Schools) and various activity camps (camps).
Moving expenses (moving)
There are also certain provisions for deduction. Li Jinping explained that this applies to business, employment or participation in the relocation of institutions in Canada. When the new home is more than 40 kilometers away from the new work unit or school, many expenses related to moving can be deducted from the salary earned by the new work unit or self-employment. If you are a full-time student, you can deduct the scholarship or research funds. The balance that has not been deducted in the current year can be deducted in the next year or later.
In addition to the part paid by the employer, the relocation expenses also include:
Reasonable travel expenses, including accommodation and meals spent by taxpayers and their families when traveling.
Luggage consignment fee, including storage fee.
Hotel expenses and meals near home and new home can be reimbursed up to 15 days.
The termination cost of the old house.
The cost of selling old houses includes the agency fee of real estate agents. In the case of selling the old house, the lawyer's fee and real estate transfer tax for buying the new house.
However, the moving expenses of immigrants from abroad to Canada are not deductible. Because moving expenses are usually only applicable to moving in Canada, moving from a foreign country to Canada or moving from Canada to a foreign country is generally not applicable.
Personal income tax rate in 2009
Canada implements a two-level tax system, namely, the federal tax system and the provincial tax system, that is, the federal and provincial governments levy taxes on the taxable income of individuals who live in or earn income in this province during the tax year. It is a progressive tax system, and different tax rates apply to different income segments. Generally speaking, the federal government and the provincial government make small adjustments to the income range and tax rate every year.
According to the information released by the Tax Bureau of Canada, the personal income tax rate table in 2009 is as follows:
Federal government:
Taxable income is limited by tax rate.
0 USD to 38,832,65438 USD +05%
$38,832 to $77,664 22%
$77,664 to $65,438+026,264 26%
More than $65438 +026264 29%
The personal allowance is $9,600, and the spouse allowance without income source is $9,600. This allowance is applicable to all income levels, but the lowest tax rate is adopted for tax calculation.
Government of British Columbia:
Taxable income is limited by tax rate.
0 USD to 35,765,438 USD +06 5.06%
35,765,438 USD +7.7% to 765,438 USD +0.433 USD.
765438 USD +0.433 USD to 82,065438 USD+04,65438 USD +0.5%.
82,065,438 USD +04% to 99,588,654,38 USD +02.29%.
Over USD 99,588 14.7%
New changes in tax returns in 2009
Liu Jun, Certified Public Accountant (CGA) of Kimberly Accounting Firm, said that on the whole, the tax policy this year is not much different from last year. Preferential policies are only introduced on a few projects, among which taxpayers are most concerned about:
1.Tax-free savings account (TFSA) opened in 2009.
Saving money with a registered savings account at first will make the investment income tax-free. A Canadian resident aged 18 can use a social security number (SIN) as the head of this account, and the deposit amount does not exceed 5,000 a year. Previously useless quotas can be rolled over to the next few years.
2. Registered savings plan for the disabled: applicable to the disabled under 59 years old. When filing tax returns, the income is included in the tax form 125, and the declaration form is included in line 232.
3. More medical expenses deduction-you can declare some additional medical expenses for yourself and your spouse, children born after 199 1 or other dependents, such as the expenses of some operations.
4. Investment tax subsidy-The Canadian government encourages people to invest. For example, if taxpayers invest their money in the fund, the government will give some subsidies, which are reflected in item 4 1 in T3 tax bill reflecting investment income.
Source: Global China News.
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