Generally people will start filing their taxes when they are 18 because once they turn 19 they may be eligible to receive GST cheques and Trillium benefits. This will depend on their net income amount.
When your child(ren) is younger than 18, they can earn up to $13,229 in income for 2020 and not pay any taxes. How can you find this out? Look at their T4(s) and in Box 22 (income taxes paid). If there is an amount there, you should file to get that money back. If your child(ren) made over $13,229 they need to file.
Box 16 on the T4 is CPP deducted, if your child is under 18 there should not be an amount in this box. If there is an amount showing it will come back in their refund.
REMEMBER, money taken out of RESP’s is considered to be taxable income as well.
Commentaires