With the Coronavirus pandemic happening, it’s highly recommended that we stay in. If you’re thinking of things to do, here’s a timely one you can consider: taxes.
Tax season is here! This can be a time of mixed emotions. For most, doing taxes feels complicated and boring (More than half of Canadians hired pros to do their taxes), and yet, everyone gets excited about receiving a tax refund (who doesn’t like getting their money back!?).
Whether you do your taxes yourself or not, this is a great time for you to get a better understanding of your finances over the year. You’ll learn where you stand financially and if you should make some adjustments – is it time to look for ways to earn more, or find ways to spend less? Look at it as an opportunity to get a step closer to your financial goals.
The top missed tax credits
No matter how much it is, getting any refund feels great. Here are some of the top missed tax credits and deductions that experts say Canadians miss:
- 🏥 **Medical** – Expenses relating to medical issues that are not covered by your healthcare, from routine dental visits to prescriptions to doctors’ fees, could be claimed.
- 🧒 **Childcare** – Not just daycares, but even overnight camps and summer day camps, could also be eligible for a deduction.
- 📦 **Moving** – If you’ve relocated for work, you may be eligible to claim a wide range of moving expenses for you and your family.
- 📚 **Student Loan** – Interest paid on a student loan is an often-overlooked credit.
How to not get more tax credits
While there are many legit tax credits and deductions, some creative tax filers tried to claim a few uncommon things, and got rejected:
- 🐈 **Animal family** – People have tried to claim cats as dependents and an aquarium as a medical expense (because watching fish swim is calming).
- 💇 **Good hair days** – A restaurant server tried to claim that his weekly haircuts helped him get bigger tips.
- 🏖️ Vitamin D deficiency – Someone tried to claim an all-inclusive trip to a five-star resort in Bermuda as a medical expense.