Survey reveals reliance on employers to get it right
Nobody likes losing money, but what if it was happening consistently month after month?
For millions of Canadians, that could be the case but they wouldn’t even know because they never check deductions from their paycheques for tax, insurance, and pension contributions, according to a new report from H&R Block.
With tax filing deadline approaching, the firm asked almost 1800 members of the Angus Reid online forum if they check the details to ensure employers have made the correct deductions. But just 13% said they did while 27% said they don’t need to because they trust their employers not to make payroll errors.
Most would not spot a mistake even if they checked their paycheque or T4 details because they don’t know how much tax and other deductions should be made anyway – only 12% said they have a clear understanding of their tax bracket and how that impacts each paycheque. Only 9% of respondents said are confident they would spot an error on their paycheque.
The survey also found that more than a third of Canadians aren't confident in knowing how to maximize their tax return and while 65% of taxpayers expect a refund this tax season, almost four in ten don't feel confident in knowing how to leverage all available tax credits and benefits they may be eligible for, to maximize their refund.
"Filing taxes is both a great way to save money and put money back in your pocket – in the form of a tax refund and access to credits and benefits," said Yannick Lemay, Tax Expert, H&R Block Canada. “There are a lot of changes this tax season that benefit Canadians. Our advice is to work with a tax expert make sure you know every tax credit, benefit and deduction you're entitled to, based on your unique situation – and file as soon as possible to get your maximum refund."
