Tax season refers to the time of year when tax prepares will prepare and submit tax returns to the various taxing authorities. After the returns have been submitted, the authorities will access the returns, note any deficiencies and demand payment for the calculated amount of taxes owing.
North American tax season
However, the financial systems in Canada are heavily influenced by American systems. As such, CRA and IRS have begun to coordinate with one another to increase inter-authority transparency. A result of the coordination is each taxing authority can collect taxes with greater ease and control.
During tax season, it is common for both personal and corporate taxes to be assessed. This is because individuals and most corporations tend to have calendar year ends.
In addition, to the calculation and processing of both corporate and personal taxes, informational returns will be prepared and submitted to the taxing authorities.
Are you ready for the tax season?