T1 General Form: What It Is and How to Fill It Out Step-by-Step

The T1 General Form is the foundational personal income tax return used by Canadian residents to report income, claim deductions, and calculate taxes owed or refunds due. Whether you are filing for the first time or are a seasoned taxpayer, understanding this form and how to complete it correctly is essential for compliance with the Canada Revenue Agency (CRA) and maximizing your tax benefits. This detailed guide breaks down the T1 General form and provides a step-by-step approach to filling it out accurately.

1. What Is the T1 General Form?

The T1 General is the official federal tax return form for individuals. It summarizes your total income from all sources, claims deductions and credits, and calculates your tax payable or refund for the tax year. This form is required for residents of Canada who earn income, regardless of whether tax was withheld at source.

2. When to File the T1 General

• For most individuals, the deadline is April 30 following the tax year.
• Self-employed individuals and their spouses/common-law partners have until June 15, but any balance owing is still due April 30.

3. Step-by-Step Guide to Filling Out the T1 General

Step 1: Identification and Personal Information

Enter your full name, Social Insurance Number (SIN), current address, date of birth, and marital status as of December 31 of the tax year. Make sure the information is accurate to avoid processing delays.

Step 2: Report Total Income

Report all income earned during the year, including:

• Employment income (reported on T4 slips)
• Self-employment income
• Investment income (interest, dividends, capital gains)
• Rental income
• Other income such as pensions, social benefits, and foreign income

Use appropriate schedules and forms (e.g., Schedule 3 for capital gains, T2125 for business income) as required.

Step 3: Claim Deductions

Deductions reduce your taxable income. Common deductions include:

• Registered Retirement Savings Plan (RRSP) contributions
• Childcare expenses
• Union and professional dues
• Moving expenses (if eligible)
• Support payments made

Step 4: Calculate Net Income and Taxable Income

Subtract your deductions from your total income to calculate your net income. Further adjustments may apply to determine your taxable income.

Step 5: Calculate Federal and Provincial Taxes

Based on taxable income, calculate your federal and provincial/territorial tax payable using the tax rates provided in the guide or through tax software.

Step 6: Claim Non-Refundable Tax Credits

These credits reduce your tax payable and include:

• Basic personal amount
• Spousal or common-law partner amount
• Age amount
• Disability tax credit
• Medical expenses

Multiply the eligible amounts by the lowest tax rate (currently 15%) to determine the credit.

Step 7: Determine Balance Owing or Refund

Subtract your total credits and any amounts already withheld (e.g., payroll deductions) from your tax payable. If the result is positive, you owe money. If negative, you are entitled to a refund.

Step 8: Sign and Date Your Return

Ensure you sign and date your T1 General before submitting it. Unsigned returns may be delayed or rejected.

4. Tips for Accurate Filing

• Use certified tax software for ease and accuracy.
• Double-check all amounts and SINs.
• Keep all receipts and documents for at least six years.
• File early to avoid last-minute issues and potential penalties.

5. How to File Your T1 General

You can file your T1 return electronically using NETFILE-certified software, by mail, or through a tax professional. Electronic filing is faster and often results in quicker refunds.

6. After Filing

The CRA will send a Notice of Assessment summarizing their review of your return and indicating any balance owing or refund. Review it carefully and keep it for your records.