Question 1

What is the deadline for filing a personal income tax return in Canada?

Accepted Answer

The deadline for most individuals to file their T1 personal income tax return is April 30 of the following year. Self-employed individuals and their spouses have until June 15 to file, but any taxes owed are still due by April 30. Missing the deadline results in a late-filing penalty of 5% of the balance owing, plus 1% for each additional month, up to 12 months. ANG Tax & Financial Group ensures your return is filed accurately and on time — contact us well before the deadline to avoid penalties.

Question 2

Who needs to file a T1 personal income tax return in Canada?

Accepted Answer

You must file a T1 return if you owe taxes, if CRA requests a return, if you want to claim a refund, or if you want to access benefits like the GST/HST credit, the Canada Child Benefit (CCB), or the Ontario Trillium Benefit. Even if you had no income, filing may be beneficial. Our team assesses your specific situation and ensure you claim every benefit and credit you're entitled to.

Question 3

What is a T2 corporate income tax return and who must file it?

Accepted Answer

A T2 is the corporate income tax return filed annually by every Canadian corporation — including inactive ones. This includes Canadian-controlled private corporations (CCPCs), professional corporations, and holding companies. The T2 is due six months after the corporation's fiscal year end. Tax owing (installments) is due within two to three months of year end depending on the corporation type. Our team prepares and files T2 returns for corporations across Canada, optimizing deductions and minimizing your tax liability.

Question 4

What is the difference between a T3, T4, and T5 tax slip?

Accepted Answer

These are information slips that report different types of income. A T4 (Statement of Remuneration Paid) is issued by employers reporting employment income, CPP, and EI deductions. A T5 (Statement of Investment Income) reports dividends, interest, and other investment income. A T3 (Statement of Trust Income) reports income earned from a trust or estate. All of these must be reported on your T1 personal tax return. Our team handles all slip types and ensures nothing is missed.

Question 5

Can I claim home office expenses on my tax return?

Accepted Answer

Yes — both employees and self-employed individuals may be able to claim home office expenses. Self-employed individuals can deduct a portion of rent, utilities, and maintenance proportional to the workspace. Employees can deduct home office expenses if they work from home more than 50% of the time and meet CRA requirements, using either the flat-rate method ($2/day, up to $500) or the detailed method with employer certification (T2200). Our team ensures you claim the maximum allowable deduction accurately.

Question 6

Do I need to file a tax return if I have no income?

Accepted Answer

You are not required to file if you have no income and no taxes owing, but it is often beneficial to do so. Filing makes you eligible for the GST/HST credit, the Canada Child Benefit, provincial benefits like the Ontario Trillium Benefit, and contributes to your RRSP contribution room. We recommend filing every year — even a nil return — to ensure you don't miss out on benefits you're entitled to.

Question 7

What deductions and credits can reduce my personal income tax?

Accepted Answer

Common deductions include RRSP contributions, childcare expenses, moving expenses, union and professional dues, carrying charges, and employment expenses. Common non-refundable tax credits include the basic personal amount, spousal amount, age amount, disability tax credit (DTC), tuition credits, medical expenses, and charitable donations. Our team reviews your full financial picture to ensure every eligible deduction and credit is applied — the average client finds savings they weren't aware of.

Question 8

What is the GST/HST return and when do I need to file it?

Accepted Answer

If you are a self-employed individual or business with more than $30,000 in annual revenue, you are required to register for GST/HST and file regular returns. The filing frequency (monthly, quarterly, or annual) depends on your revenue. Filing late or underreporting HST results in penalties and interest. ANG handles GST/HST registration, preparation, and filing for sole proprietors and corporations throughout Mississauga and Ontario.

Question 9

What does a bookkeeper do, and why does my business need one?

Accepted Answer

A bookkeeper records and categorizes all financial transactions — revenue, expenses, payroll, and bank activity — so your business has accurate, up-to-date financial records. Clean books are essential for filing accurate tax returns, managing cash flow, making informed business decisions, and being CRA-audit-ready. Disorganized records often result in missed deductions, higher taxes, and CRA penalties. ANG's bookkeeping team provides full-cycle monthly bookkeeping for businesses across Canada.

Question 10

What is the difference between bookkeeping and accounting?

Accepted Answer

Bookkeeping is the day-to-day recording of transactions — invoices, expenses, payroll, reconciliations. Accounting takes that data further: preparing financial statements, analyzing performance, planning taxes, and providing strategic advice. At ANG, our team handles both — your books are maintained by our bookkeeping division and reviewed by tax professionals who also advise on tax strategy and compliance.

Question 11

How often should I update my books?

Accepted Answer

For most businesses, monthly bookkeeping is the standard and is strongly recommended. It keeps your records current, ensures GST/HST returns can be filed on time, and gives you up-to-date financial data for decision-making. Waiting until year-end creates rushed, error-prone work and often means missed deductions. ANG provides monthly bookkeeping packages that include bank reconciliation, financial statements, and HST tracking.

Question 12

What accounting software does ANG use?

Accepted Answer

Our team works with QuickBooks Online, Xero, and Sage — the most widely used cloud accounting platforms for Canadian small businesses. We can work within your existing setup or help you migrate to the right platform for your business size and industry. We also handle initial setup, chart of accounts customization, and staff training if needed.

Question 13

Can ANG clean up my books if they are behind or disorganized?

Accepted Answer

Yes — this is called catch-up or clean-up bookkeeping, and it's one of our most requested services. Whether you're one month behind or several years behind, our team will bring your records current, reconcile all accounts, and ensure everything is CRA-ready. We frequently help business owners who are facing a CRA audit or need prior-year financial statements prepared. Contact us to discuss your situation — no judgment, just solutions.

Question 14

What financial statements does my business need?

Accepted Answer

The three core financial statements are the Income Statement (profit & loss), the Balance Sheet (assets, liabilities, and equity), and the Cash Flow Statement. These are prepared from your bookkeeping records and are required for filing your T2 corporate tax return, applying for business financing, and understanding your business's financial health. ANG prepares professional financial statements as part of our bookkeeping and corporate tax services.

Question 15

When is my corporation's T2 tax return due?

Accepted Answer

Your T2 corporate income tax return is due six months after the end of your corporation's fiscal year. However, if your corporation has a balance owing, it must be paid within two months of year-end (or three months for Canadian-controlled private corporations that claimed the small business deduction). Late filing results in a 5% penalty plus 1% per month on the balance owing. ANG manages all deadlines and corporate installments for clients across Mississauga and Ontario.

Question 16

What is the small business deduction and does my corporation qualify?

Accepted Answer

The small business deduction (SBD) reduces the federal corporate tax rate from 15% to 9% on the first $500,000 of active business income for Canadian-controlled private corporations (CCPCs). To qualify, your corporation must be a CCPC with active business income below the threshold. The SBD is one of the most significant tax advantages for incorporated small businesses. Our team ensures your corporation is structured to maximize this deduction.

Question 17

Should I pay myself a salary or dividends from my corporation?

Accepted Answer

The optimal mix depends on your personal income level, RRSP room, CPP objectives, and the corporation's cash needs. Salary is deductible to the corporation and creates RRSP contribution room but is subject to payroll taxes. Dividends are paid from after-tax corporate income and are taxed at a lower personal rate but don't generate RRSP room. Most owner-managers benefit from a blended strategy. Our team models the optimal compensation split for your specific situation.

Question 18

What is a holding company and should I have one?

Accepted Answer

A holding company (holdco) is a corporation that owns shares in an operating company (opco). It's used to accumulate wealth inside a corporation at low corporate tax rates, protect assets from business liability, facilitate income splitting with family members, and enable tax-efficient estate planning. Whether a holdco makes sense depends on your income level, business profitability, and long-term goals. ANG advises on corporate structure for business owners across Canada.

Question 19

What is a corporate tax installment and when are they due?

Accepted Answer

If your corporation expects to owe more than $3,000 in federal tax in the current or previous year, it must pay taxes in monthly installments throughout the year rather than in one lump sum. Installment amounts are based on the prior year's tax liability or an estimate of the current year. Missing or underpaying installments results in arrears interest. ANG tracks and manages installment schedules for all corporate clients.

Question 20

What are my obligations as an employer for payroll in Canada?

Accepted Answer

As an employer, you are required to deduct and remit Canada Pension Plan (CPP) contributions, Employment Insurance (EI) premiums, and federal/provincial income tax from each employee's pay. You must also contribute the employer's share of CPP and EI. Remittances must be submitted to CRA on a schedule determined by your payroll size — monthly, twice monthly, or weekly. You must issue T4 slips to each employee by the last day of February each year. ANG manages all of this for employers across Mississauga and Ontario.

Question 21

What happens if I miss a CRA payroll remittance?

Accepted Answer

Missing or late payroll remittances to CRA result in automatic penalties: 3% for amounts 1–3 days late, 5% for 4–5 days late, 7% for 6–7 days late, and 10% for more than 7 days late or a repeated failure. A second failure in a calendar year results in a 20% penalty. CRA takes payroll non-compliance very seriously and may conduct payroll audits. If you're behind on remittances, contact us immediately — we can help bring your account current and negotiate with CRA.

Question 22

What is a T4 slip and when must it be issued?

Accepted Answer

A T4 (Statement of Remuneration Paid) is an information slip that employers issue to employees summarizing their annual employment income and deductions (CPP, EI, income tax). T4s must be issued to employees and filed with CRA by the last day of February for the preceding calendar year. Penalties apply for late or inaccurate filing. ANG prepares and files T4 slips and the T4 summary for all employer clients.

Question 23

What is a Record of Employment (ROE) and when do I need to issue one?

Accepted Answer

A Record of Employment (ROE) is issued when an employee experiences an interruption in earnings — such as being laid off, terminated, resigning, going on maternity/parental leave, or taking a leave of absence. The ROE must be issued within 5 business days of the interruption. ROEs are required by Service Canada for employees to apply for Employment Insurance (EI). ANG prepares and submits ROEs through ROE Web for all payroll clients.

Question 24

Does my business need to register for WSIB?

Accepted Answer

Most Ontario businesses with employees are required to register with the Workplace Safety and Insurance Board (WSIB) within 10 days of hiring their first worker. Some industries are exempt, including certain professional services. WSIB premiums are based on your payroll and industry classification. Failure to register or remit WSIB premiums results in penalties. ANG handles WSIB registration and reporting as part of our payroll services.

Question 25

What should I do if I receive a letter from the CRA?

Accepted Answer

Do not ignore it. CRA correspondence includes assessment notices, review requests, audit notifications, and collections letters — each requires a different response. Read the letter carefully to understand what CRA is requesting and the deadline. Contact us immediately. Our team reviews CRA correspondence daily for clients and respond on their behalf. Acting promptly is critical — missed CRA deadlines can forfeit your right to dispute an assessment.

Question 26

What triggers a CRA audit in Canada?

Accepted Answer

CRA uses risk profiling, industry benchmarks, and random selection to choose audit targets. Common triggers include large or unusual deductions relative to income, home office or vehicle expenses that seem high, repeated losses from a business, large charitable donations, unreported income identified through third-party data matching, and discrepancies between T4/T5 slips filed by payers and what you reported. Our team ensures your returns are CRA-defensible from the start.

Question 27

What is a CRA Notice of Assessment (NOA)?

Accepted Answer

A Notice of Assessment (NOA) is the document CRA sends after processing your tax return, confirming the taxes assessed, any refund or balance owing, and your RRSP contribution room for the following year. Review it carefully against your filed return. If you disagree with CRA's assessment, you have 90 days from the date of the NOA to file a Notice of Objection. ANG reviews NOAs for all clients and advises on disputes where warranted.

Question 28

What is a Notice of Objection and how do I file one?

Accepted Answer

A Notice of Objection is a formal dispute filed with CRA when you disagree with an assessment or reassessment. It must be filed within 90 days of the date on the NOA (or one year from the filing deadline for personal returns, whichever is later). The objection triggers a review by CRA's Appeals Division. If unresolved, the dispute can proceed to the Tax Court of Canada. ANG's team prepares and files Notices of Objection and represent clients through the appeals process.

Question 29

What is the Voluntary Disclosures Program (VDP) and should I use it?

Accepted Answer

The CRA Voluntary Disclosures Program (VDP) allows taxpayers to come forward and correct previously inaccurate or incomplete tax information — or report income never previously disclosed — in exchange for partial penalty and interest relief. To qualify, the disclosure must be voluntary (CRA must not have already started an audit), complete, and involve a potential penalty. VDP is a powerful tool for individuals and businesses with unreported income, offshore accounts, or back-year filing issues. ANG assists clients with VDP applications confidentially.

Question 30

How far back can CRA audit my tax returns?

Accepted Answer

For most individuals and corporations, CRA can reassess returns within three years of the original Notice of Assessment — this is called the 'normal reassessment period.' However, CRA can go back further if there is evidence of misrepresentation (negligence or fraud) — in those cases there is no time limit. For returns involving offshore income or foreign assets (T1135), the reassessment period is extended to six years. Keeping organized records for at least seven years is strongly recommended.

Question 31

Can ANG represent me in a CRA audit?

Accepted Answer

Yes. As your authorized representative, ANG's team can represent you directly with CRA during audits, reviews, and appeals. We handle all CRA correspondence on your behalf, prepare the required documentation, and advocate for the most favourable outcome. Having an experienced professional represent you significantly reduces the risk of expanded scope, ensures your rights are protected, and takes the stress off you entirely. Contact us as soon as you receive an audit notice.

Question 32

How do I book a consultation with ANG Tax & Financial Group?

Accepted Answer

You can book a free initial consultation by calling us at 437-986-2509 or 647-829-9714, emailing accounting@angfintax.ca, or using the contact form on our website. Our office is located at 4 Robert Speck Parkway, Suite 1220, Mississauga, ON L4Z 1S1. We offer consultations in person, by phone, or via video call — whatever works best for you. There is no cost or obligation for the initial meeting.

Question 33

What should I bring to my first meeting with ANG?

Accepted Answer

For a personal tax consultation, bring your prior-year Notice of Assessment, T4/T5/T3 slips, receipts for deductions you plan to claim (medical, charitable, childcare, home office), and any CRA correspondence. For a business consultation, bring recent financial statements, your most recent T2 return (if applicable), corporate minute books if incorporated, and any CRA letters. The more context you can provide, the more tailored our advice will be.

Question 34

Does ANG work with both individuals and businesses?

Accepted Answer

Yes. We serve a full range of clients — from students filing their first T1 personal return to incorporated businesses with complex multi-entity structures. Our services include personal tax filing, corporate tax (T2), bookkeeping, payroll, tax planning, CRA representation, and financial advisory. Whether you're a salaried employee, self-employed professional, landlord, or business owner, we have the expertise to help.

Question 35

What areas does ANG Tax & Financial Group serve?

Accepted Answer

Our office is located in Mississauga, Ontario, and we serve clients across Canada — in-person or remotely. Many of our clients work with us entirely online, so location is never a barrier. Whether you're in the GTA or anywhere else in Canada, we can work with you.

Question 36

How much does it cost to hire an accountant for my taxes?

Accepted Answer

Fees vary based on the complexity of your return and the services required. A straightforward T1 personal return costs less than a complex return with self-employment income, rental properties, or foreign assets. Corporate T2 returns are priced based on complexity and whether bookkeeping is included. We provide transparent, upfront pricing after understanding your situation — no surprise fees. Contact us for a quote tailored to your specific needs.

Question 37

Is my financial information kept confidential?

Accepted Answer

Absolutely. We hold ourselves to a strict duty of confidentiality. Your financial information is never shared with third parties without your explicit consent, except as required by law. Our office follows secure document handling practices and uses encrypted communications for all file transfers. Your privacy is a foundational part of how we operate.

Question 38

Does ANG provide services year-round or only during tax season?

Accepted Answer

Year-round. While tax season (February–April) is our busiest period, our clients have access to expert support every month. Bookkeeping is ongoing. Payroll runs weekly or monthly. Tax planning happens throughout the year. CRA issues arise at any time. We are available for questions, consultations, and filing support 365 days a year — that's a deliberate part of our service model, not a marketing slogan.

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