Income Tax Returns for Year 2020

[Ciel]

Kind of top-of-mind items for those who are keen to put 2020 invoices and receipts into their tax return holding areas in December:

Seniors (ONTARIO)who use public transit passes/fares and have registered their cards online can print reports of their transit passes to claim a public transit tax credit. The only demographic group still eligible for the claim, as everyone else lost this tax credit. Other provinces or territories, check your income tax package for your region for any information on such credits.

2020 is the first year to claim the Canada Training Credit-for skills/education upgrading. It can reduce any claims for tuition and education amounts by the amount of your CTC claim.
https://www.canada.ca/en/revenue-age...ng-credit.html


Also new, a digital news subscriptions credit (for 5 years only; max. claim $500 in a year) for qualifying subscriptions to Canadian journalism news.
https://www.canada.ca/en/revenue-age...criptions.html

Places issuing paper donation receipts tend to start mailing them in January or February. If you donated online, your organization may have sent you an electronic donation receipt by e-mail-print off two copies (1 for you and 1 for your tax return) or indicated when mailed receipts will be sent to you. Sometimes, you get receipts in the mail within a month of remitting a donation.

Paper income tax packages are mailed out to residents who filed with them in a previous tax year. It's highly unlikely you'll find spare packages at Canada Post offices, because if you do, take one if needed--there's no chance of a restock as the packages go quickly.

Third Year for the Climate action incentive credit (Alberta, Saskatchewan, Manitoba, Ontario)-line 45110
https://www.canada.ca/en/environment...k/alberta.html
https://www.canada.ca/en/environment...katchewan.html
https://www.canada.ca/en/environment.../manitoba.html
https://www.canada.ca/en/environment...k/ontario.html

Those who worked from home in 2020--there are some allowable expenses to add to your 2020 claim as the pandemic shifted work to homes for many people. https://www.canada.ca/en/revenue-age...t-changes.html

[Ciel]

If you start a new job in January 2020, make sure you fill out a TD1 form for personal exemptions. If you work more than one part-time job, make sure your TD-1 form at your oldest job is the one where you CLAIM personal exemptions (first $3000 income free from CPP source deductions etc.). The TD1 form at your second or other jobs (where you are employed by someone else) should not claim any personal exemptions because you will then put yourself owing source deductions to CRA (so jobs 2 & 3 will have CPP EI income taxes deducted on all income).
Good thing to ask your employer if 4% vacation pay (ON) is accrued (held back by employer until you take vacation days) or paid on every pay period.

Employers are to send out T4 slips by Feb. 28. Many workplaces might require employees to access a work portal to print off their T4 slips.

Post-secondary students of all ages-you will have to access your student portals at your school and print off your tuition and education receipts (you pay per page). They are usually available by Feb.28. Your schools will indicate an earlier date if applicable. Parents expecting to use some tuition or education amounts on their returns from offsprings' educations-have a Feb. 1 chat with your students about those forms you need THEM to give to YOU. Talk about when you reasonably can expect them. Reading week for post-secondary students is usually the second or third week of February...

[tjthemanto]

I think CPP deduction from your pay check is also going up in 2021.

So your take home net pay will be a bit smaller in 2021 as in 2020.
Of course in retirement your CPP payment will be more due to it.