4 Reasons to Hire an Accountant To Do Your Taxes

Not sure where to start when it comes to filing your taxes? We hear you. Hiring an accountant to do your taxes is beneficial, especially if you're a small business.

An accountant makes sure that you’ve claimed, deducted, and filed everything you need to so that you’re getting the most out of your return. Not only does it take the stress off of you, but you can rest easy knowing that your accountant has everything taken care of by the April 30 deadline.

Still not convinced that you should hire an accountant? Here are 5 scenarios where hiring a tax professional makes sense for you.

You own a business

Owning a business comes with many responsibilities, and you might find it difficult to schedule the necessary amount of time to file your taxes. Depending on the complexity of your finances, gathering all the necessary information and filing your taxes can take anywhere between 6 and 30 hours.

If you own a business, your taxes will be much more complex as you have to consider revenue, expenses, profits, and losses. In this case, hiring an accountant who specializes in working with small business owners is advisable.

Your income situation has changed

If you started a business or side hustle in the past year, then hiring a tax accountant is a smart idea. A dramatic increase (or decrease) in income affects your tax situation and bracket, especially if the income isn’t automatically tax deducted.

You aren’t up to date with the latest tax law changes

Canadian tax laws are complex and always changing, which can affect your tax situation. There might be new deductions you’re eligible for or you may have even moved to a different tax bracket. It’s important to review the changes so that you’re getting the most out of your tax return.

If you don’t have time to review the changes before filing your return then hiring an accountant might be worth your money. Accountants are experts on these changes and it’s our job to maximize the number of deductions you can claim.

You’ve missed a year or more of filing your taxes

Have you missed a year or two of filings? An accountant can help you get caught up and rectify any penalties or amounts owing to you. In Canada, not filing taxes when you are required to is considered a crime and there are penalties if you miss filing.

If you cannot file your taxes on time for whatever reason, you should take action and file them as soon as possible. You can backfile taxes up to the last 10 years, however, the longer you wait the more difficult your situation can become.

Late filing penalties, interest and other fees will continue to add up the longer you go without filing your taxes and some benefits will not be paid to you if you don’t file.

Don’t postpone your filing any longer. Hire a professional to get you caught up on your taxes, so that you can finally reap the rewards of your tax return.