Self Employed Tax Return Canada – T2125 Step by Step Guide | How to File Income Taxes in Canada

Video Description

Whether you’re self-employed or working a side hustle for SkipTheDishes, UberEats, DoorDash. You need to know how to file incomes taxes in Canada. I’ll show you step-by-step how to file taxes in Canada for employed, Download my T2125 Tracking Spreadsheet: https://bit.ly/3KLTjge to help you fill out your taxes even faster plus audit backup for the CRA You’ll learn how to file the T2125 Statement of Business and Professional Activities. Join this channel to get access to perks: https://www.youtube.com/channel/UCYHyCMjZTya2rB3L7w8kN2w/join 💰 FREE MONEY - STOCKS & CRYPTO: ► $50 SIGNUP BONUS - WEALTHSIMPLE TRADE: https://wealthsimple.sjv.io/0JXbBJ ► FREE $30 To Buy Crypto in Canada: https://bit.ly/3hNnRTh 😎 INVESTOR SUPPORT: ► My Real Time Portfolio: https://bit.ly/3otgiDY ► Best Monthly Dividend ETFs: https://bit.ly/3dp7KaW 📚 BEST PERSONAL FINANCE BOOKS: ► Building Wealth and Being Happy: https://amzn.to/3hJKgkh ► Unshakeable: Your Financial Freedom Playbook https://amzn.to/3oVwc89 ► The Richest Man In Babylon https://amzn.to/3qxNWa0 🛒 MY FAVOURITE GEAR: ► Wireless Mouse: https://amzn.to/38xV9Qz ► Blue Snowball Mic: https://amzn.to/3a0KUoQ ► Wireless Charger: https://amzn.to/3g0LEhG ✅ AMAZING DEALS: ► $5 Credit from SkipTheDishes: https://bit.ly/3bc19Rh ► $30 Credit from DoorDash: https://drd.sh/50Vpl1TntklxaDgl ► $10 off your first Uber Eats order: https://bit.ly/3mo7tcm ► $250 Signup Bonus for Questrade: https://bit.ly/3mgW7G3 ► Earn Cash Back with Rakuten: https://bit.ly/3aLmGQy ► Paid Surveys: https://bit.ly/3q9XJ6Q ► $50 Signup Bonus (Use Orange Key 45041594S1) Tangerine Bank: https://www.tangerine.ca/en ► FREE Gift Cards from Drop: https://b.ewd.io/code?c=tlxf6 ****** WATCH NEXT: ▶ WealthSimple Trade Review 2022 | WealthSimple Trade Plus vs Basic | Best Investing App in Canada? https://youtu.be/1r0qG49g448 ▶ 7 Common TFSA Mistakes YOU MUST Avoid in Canada | Tax Free Savings Account Canada https://youtu.be/sXQ_uvVvGv4 ****** 0:00 What is a T2125 4:07 Calculating Taxable Income – T2125 5:35 T2125 Step by Step Guide T2125 is a Canadian taxpayer's form for reporting self-employment and professional income taxes. Most sole proprietorships fill the T2125 every year, along with the annual T1 personal income tax. You must fill the T2125 with the T1, which covers income from regular employment To learn how to file taxes in Canada, you need the T2125 form to calculate the tax for your self-employment and professional income, which then gets included as part of the T1 form. The T2125 form is filled by anyone with self-employed income or anyone who generates income from a small business. If you repaid federal COVID-19 benefits (CERB, CESB, CRB, CRCB, or CRSB) in 2021 that you received in 2020, the amount repaid will be reported in box 201 of your T4A slip or on your T4E slip along with other employment insurance (EI) amounts repaid. First time tax filing Canada can be complicated The Canadian tax return is due April 30, 2022, and payment is due April 30, 2022. For a self-employed person and their spouse or common-law partner with business expenditures that relate mostly to a tax shelter investment, the return is due April 30, 2022, and payment is due April 30, 2022 If you have a balance owing for 2021, the CRA will charge compound daily interest starting May 1, 2022, on any unpaid amount owing for 2021. This includes any balance owing if the CRA reassesses your return. One of the key items to focus on as you learn how to file income tax return Canada for first time students As you learn how to file income tax return, you will pay taxes on your income at both the federal level and the provincial/territorial level. In Canada, the tax system is progressive or graduated, meaning the more money you make, the more income taxes you pay How you figure out how to file tax return online Canada, as a resident of Canada, it is your responsibility to pay taxes on the worldwide income you earned during the year and to file your tax return with the government. Income can take many forms: employment income, investment income, commission income, retirement income The Home Buyers’ Plan (HBP) allows you to borrow money from your RRSP to buy or build a home for yourself or for a related person with a disability. There are several conditions that apply to the Plan. If you sell capital property, such as stocks on the stock market, for more than you paid, the amount of the difference is considered a capital gain. Disclaimer: This channel is for education purposes only and opinions expressed in this video are based on personal research and should be treated as such. These are not instructions, suggestions, nor directions as to how to handle your money. The facts and figures presented in this video are up-to-date based on the recording. These may have changed based on when you watch the video, please, always do your own due diligence! #TaxFiling #TaxSeason #TaxReturn