If you are unsure how to do your own taxes, number-crunching isn’t really your thing, or your tax situation is more complicated than you think you can handle, it’s the right time to hire a professional. In fact, there are plenty of good reasons to seek out an accountant to provide the right accounting services in Canada for you. If you do decide to hire an accountant, please ensure they are accredited and have tax experience. The most common credential is Chartered Professional Accountant (CPA). Here’s are some of the reasons when it may make sense to bring in a professional:
1. When your tax situation has significantly changed.
Did your income or expenses increase drastically from last year? Did you have a kid, and did you finally launch and profit from your side hustle? Did you make or lose money off of buying and selling NFTs or receive an inheritance from your grandparents? All of these instances will affect your tax situation, meaning they change your tax bracket, how you file, and, ultimately, how much you will owe. Work with an accountant who has experience working with people in similar situations and can walk you through the tax implications of your present life.
2. When you run your own business.
Revenue, expenses, profits, and losses — there are a lot of moving parts and even more numbers involved in running a business, which can make filing taxes incredibly complex. In this case, you should hire an accountant who specializes in working with entrepreneurs and small business owners.
3. When you are move to the country
If you recently immigrated to Canada and have never before filed taxes in the country, it’s advisable to consult someone who is familiar with handling your situation. You may not need a full suite of accounting services from an accountant, but a simple consultation will provide the guidance and tips you need to get started.
4. When you feel you are overwhelmed
If you have begun to gather all of the documents and forms you need to file your taxes and already feel overwhelmed, you may want to seek help. Tax season has a hard deadline, and it may come at a time when work is extremely hectic; maybe you have a newborn or are facing a family emergency. If you find the costs manageable, it could be well worth your money to work with a professional accountant to save yourself the additional stress of filing your taxes.
