Tax software VS hiring a professional, which is the best option for you?

Trying to file your own taxes can be daunting. Between the old receipts and your T-slips, even people with straightforward returns may still choose to hire an accountant.

With self-filing software now, most people are able to file their own taxes without a professional but knowing when to reach out for help is key.

For the younger generations, filing their taxes might be more comfortable online  because that’s just how they were brought up, while older generations had to transition to e-filing from doing it by hand. 

When deciding whether to hire help or do it yourself, look at the level of complexity of your taxes. 

If it’s a full-time employment T4 slip and straightforward registered savings contribution slips, without additional credits or deductions, online filing software can work well.

Websites such as TurboTax and Wealthsimple, among others, can help streamline returns. The Canada Revenue Agency has also compiled a list of free or pay-what-you-want tax software on its website. 

The CRA can be a tax filer’s best friend. The agency not only provides a list of online sites for simple online filings but also details help through its newsletters and how-to guidance. 

Something to keep and eye out for is lifestyle tax. Such as you’ve started a new business, had a baby, got married, separated or divorced, or a death in the family. All these have tax implications and can complicate your filing. Even so, mistakes can happen and returns can be amended.

Despite online resources, some people may still not be comfortable or confident enough to trust themselves with filing online.

That’s especially true with complications such as investment income, large capital gains or owning rental properties. This is when hiring an accountant could be beneficial, bringing not only peace of mind but also knowing the job has been done right, as well as find areas for savings. It’s also about hiring the right accountant and trusting them with your finances.

The choice between filing on your own or hiring an accountant depends on your level of comfort and a basic understanding of math.

If you are looking for assistance with filing your taxes, we invite you to contact our firm. We offer consultations with trusted personal tax accountants who are well-versed in the complexities of Calgary’s tax laws and dedicated to optimizing your tax outcomes. Reach out today to ensure that your financial needs are expertly and professionally handled.