Filing Your First Taxes & Claiming Benefits

In Canada, filing an income tax return is mandatory for every resident (permanent residents and citizens) who earned income or wants to claim government benefits — even if you had no income. The tax year runs from January 1 to December 31, and you file your return by April 30 of the following year. The Canada Revenue Agency (CRA) administers federal taxes, and each province has its own tax authority. If you owe taxes and file late, you pay penalties and interest. If you are owed a refund, you still must file to get it. As a newcomer, you file your first tax return for the year you became a tax resident (usually the date you arrived in Canada). You report your world income (income from all sources, including outside Canada) for the part of the year you were a resident. Filing your taxes is also how you claim valuable benefits: the Canada Child Benefit (CCB) — up to $7,000/year per child under 6; the GST/HST credit — a tax-free payment for low-income earners; the Climate Action Incentive; and provincial benefits like the Ontario Trillium Benefit. To file, you need a Social Insurance Number (SIN), your T4 slips (employment income) from each employer, T5 slips (investment income), and receipts for deductions (RRSP contributions, childcare, medical, tuition, charitable donations). You can file online using CRA-certified tax software (TurboTax, UFile, SimpleTax — now Wealthsimple Tax, which is free), by mail using paper forms, or through an accountant/tax preparer ($50–$200). Free tax clinics are available for low-income earners through the Community Volunteer Income Tax Program (CVITP). Register for CRA My Account online to track your refunds, view your RRSP/TFSA contribution room, and set up direct deposit for faster refunds.