Do I have to file my previous years’ taxes before sending in this year’s return paperwork?
The short answer is that you do not to file a tax return for a previous year you missed prior to filing a tax return for this year. You can go ahead and file your return this year without filling in the blanks from past years when you didn’t file.
However, if you missed filing a return for a previous year (especially if you suspect you’ll owe money to the Canada Revenue Agency) then I highly recommend you also file your paperwork for past years you missed. There is a penalty for filing taxes late and this penalty grows each month. The sooner you file your tax return paperwork the less the penalty will hurt.
Filing your tax return also helps you if you’re eligible for benefits such as GST credits. When you don’t file your tax return these benefits stop.
If you’re behind on filing your taxes or you realize a mistake was made when filing on a previous year, you have the option of using the Canada Revenue Agency’s Voluntary Disclosure Program (VDP). This can help you get things squared away with the CRA if you’re falling behind or fear that a mistake has been made on a past year’s return.
Comments are closed, but trackbacks and pingbacks are open.