Welcome to the 2021 Tax Season! And this year may be the year you decide to file for yourself online or learn how. Now days tax filing online has been made for you to DIY, with so many tax filing software choices. If you end up needing help with tax filing software, most companies have a free or cheap solution to support you online with your tax situation online via an online agent.
Say Goodbye to hiring an accountant or paying someone to do your taxes. There is so much free software for taxes for Canadians to choose from to file their taxes online.
The tax return filing deadline for the 2020 tax year is April 30, 2021.
HOW TO FILE YOUR TAXE Return ONLINE
There are two main ways to file your taxes online: either using Netfile or file.
NETFILE is the transmission service provided by the CRA ( Canadian Revenue Agency) and is used for individual filers to send in their tax returns without the paper (physical)
To prepare your online tax return using NETFILE, you must use a CRA-certified tax preparation software such as TurboTax and several others.
Tax return submissions through NETFILE go directly to the CRA in a secure format.
I think 2021 might bring havoc to the phone lines, and I’m expecting a delay if you end up with questions for Canada revenue agency cra; regardless of how you do this year’s tax returns,
If you don’t feel confident in your ability to use NETFILE or have a complicated tax return, DO reach out to a tax preparation agent or firm who can help you complete your tax return.
Did you know the Canada revenue agency CRA offers a service called “FILE MY Return,” which lower-income families can use to file their income tax for FREE? Watch your postal mail for a letter in February 2021 to proceed with this tax return service.
Feel free to contact the CRA directly at 1-800-959-8281.
Free tax software Canada
There are Six Main Tax software in canada to help you prepare and file your tax return. Tax preparation is done by you, or in some cases; you can upgrade and pay what you want to have a tax agent help file your tax return
Some of these software programs may also be based on your income level in canada
Try it yourself for FREE, and then you can decide to upgrade if you get stuck or have questions when it comes to tax information. There is always to find help to prepare and file your taxes such as turbotax.
1. SIMPLE TAX
This Simple Tax software offers only One Main Product, and basically, you pay anything you want from their service – It’s up to you.
How it works is basically after you submit your return to the Canada Revenue Agency, the company will ask for a donation. Choose to contribute from $0.00 to $49.99.
SimpleTax was founded back in 2012 and was acquired by wealth simple recently in 2019.
Benefits of this Tax Software
- Up to 20 returns per account
- Easy to use Canadian tax software
- Prompted Step by Step guidance with Robot assistance.
- Guaranteed Calculations ( If you pay the penalty or interest because of their error, you will be reimbursed.
- If you calculate or find a bigger refund, they will give you your money back.
- Fast Refund – as little as eight days to get income tax return direct deposited into your bank account
- Pay what you want.
- Certified software ( from the CRA )
- No installation of software
2. U- FILE – Free Version
uFile has a partnership with the Canadian Federation of Students.
uFile is an income tax software you can directly access online using a computer or any mobile device. The windows version will require you to download and install a program on your computer.
FREE Tax software if you are
- a Student – regardless of income
- Newcomer to Canada and are filing your first Canadian Tax Return
- If you are tax return is is a single employment income ( T4) or have a mention come
- Low-Income Taxpayer with a total family income that is less than $20,000
If you do not qualify to use the service, the paid version starts at $19.95 per tax return
Benefits of tax software:
- Auto-fill my return
- UFile supports over 230 forms and slips.
- Pension income splitting
- Tax return storage up to 9 years
- Refile is you need to resubmit your previously filed return.
3. Studio Tax
StudioTax: File your taxes online for free if your total income is less than $20,000; individuals residing in Northwest Territories, Yukon, and Nunavut
if you are behind in preparing your tax return for years earlier than 2019, it is still free software,
Moving forward with 2020, you will now have to purchase a single licence ( up to 20 returns) for $15.00 to Netfile and print your tax return with your online account
The tax software is available for download on both Windows and Mac computers, and you can also NOW, in the year 2021, use a mobile phone app to start to file your taxes
After you install the program, you can file your income tax using NETFILE certified and file with the CRA
Benefits of StudioTax Tax software
- It is netfile certified
- You are in charge of the security ( It doesn’t leave your computer)
- Up to 20 returns per year
- Includes different tax scenarios
4. TURBOTAX FREE Version
TurboTax is one of the most well known and one of Canada’s most popular online tax return software.
While TurboTax offers a free, standard, premium and self-employed versions of their software, the free version covers all the main basis and is recommended for simple tax returns.
You can use TurboTax on any device including smartphones. found on ios and android
Is TurboTax really free in Canada?
Yes there is a free version you can use
Can I use the free version of TurboTax?
Yes if you can do it yourself without assistance of phone support,
Benefits of TurboTax software:
if you choose turbotax software to file your tax return , Here is a few of the benefits to expect with the program.
- 20 free returns per year.
- Auto-fill My Return
- Maximum refund guarantee = larger refund
- 100% accuracy guarantee or they will repay any penalties caused by a TurboTax calculation.
- Instant access to your notice of assessment after submitting your return using NETFILE.
- REFILE if you need to make adjustments to your return.
- Securuty: TLS encryption to secure your personal information.
This Cloud Tax software founded by Nimalan Balachandran and this tax software is certified by the Canada Revenue Agency.( CRA)
They offer both a FREE and and paid tax returns
Benefits of Tax Software ( FREE )
- Use the program both on the computer and mobile (ios and android)
- Secured data
- Option to have online tax storage
- Has Auto fill my return option
Cloud Tax Pro starts at $29 per return
- Benefits to Self Employed
- Rental Properties
- Investment income
Cloud TAX PLus
is for Business Accounts with Corporations
Cloud Tax is not available to Quebec, or the Northern Northwest Territoris, Yucon and Nanavut
GenuTax is a software that can only be downloaded on a Desktop computer.
is a NETFILE-certified tax software that is only available as an installation file on Windows computers.
They request a voluntary donation to support the company, so pay what you want for a donation.
Benefits of Tax Software features
- This tax return software is free to use, and can handle most tax situations such as small business, rental income, and capital gains.
- Limited customer service is available through email
- Prepare up to 20 tax returns every year.
Why do Canadians file their tax return Electronically?
Most of the time, anyone can file electronically – They are very user friendly and will help guide you through the process, so you don’t need to feel like you need to be a tax expert.
Get Faster Refunds: Electronic tax return results in faster refunds as few as ten days.
It’s an inexpensive alternative to hiring a tax professional or accountant to do simple returns.
Which free tax software is best in Canada to file your Taxes online !
First to decide which software is best for you to think about the following Questions.
Do you have a computer or a moible device . If you only have a mobile device, you won’t beable to download the software, unless the program is mobile friendly application
Next you want to consider Security ( more than ever make sure you feel confident on your information.
If you are a newbie to doing your own income tax, I would suggest a software program where they offer help, even a small cost if you run into any problems.
If you have self employment or rental income, you may want to make sure the program supports this type of employment and help, and definitely if you a corporation, your options may be even more limited on which program to choose.
The Two biggest known tax software companies is Turbo TAX and SimpleTAX . they are both canada revenue agency certified and both programs make it easy when it comes to filing your taxes online every year
Auto fill my return ?
What does Auto fill my Return Mean in the tax software system.
It just means it will use your numbers to jump from page to page for you, so you are not having to re calculate and jump page to page to gather the information online tax returns