HAPPY BIRTHDAY to A NEW LEAF!
A New Leaf celebrated 10 years in business on March 17th!
Thanks to all of our clients and everyone who has referred clients to us. We have been very fortunate!
THE TAX MAN COMETH…ARE YOU READY?
I have a confession to make! This issue should have been published a bit earlier. I had assistance with it and wasn’t able to proofread it sooner because I was completing my taxes!!
Does the thought of getting your forms and receipts organized so that you can file your 2015 taxes make your stomach churn? While the best advice is always to work ahead and NOT wait until the last minute to get organized, these suggestions will help you to simplify your tax preparation.
1. Start with last year’s return. Make a list of categories on your return which pertain to you. For instance, you might include basic items like T4s, investment income, RRSPs, medical receipts, charitable donations, and education expense (just to name a few!).
2. Purchase an expandable accordion-type file. The traditional brown kind works well for us, but feel free to be creative! Make sure it has MORE sections than you have items on your list, so that you have room to add additional categories. Don’t forget to label the outside of the envelope with the tax year.
3. Now, you will have a place for each form and receipt. Make sure to file them as soon as you receive them in order to prevent the headache of missing forms.
4. If you have a number of receipts in some slots, medical expenses for example, add up the total for all of the receipts and staple the calculator tape to the pile. Repeat the process for each category as required.
5. If you are a business owner, you will also have categories for business assets and expenses. We recommend that you keep a business tax folder separate from your personal taxes for ease of filing.
6. If there is room, set up separate slots for completed returns, refund/payment information and assessments.
7. If you are a tech-minded person, consider computerizing your financial records with one of the very effective programs available. Some clients scan in receipts and attach them to their respective files, but DON’T FORGET that you are still required to keep paper copies of your receipts for seven years. It is a good idea to hold onto ALL of your tax returns.
Now you can relax and calm that churning stomach…until you need to write the cheque!
P.S. Do YOU or someone you know need a professional organizer? TAKE OUR TEST and find out for yourself today!