T1 General
Encyclopedia
The T1 General or T1 is the form used in Canada
by individuals to file their personal income tax return
. Individuals with tax payable during a calendar year must use the T1 to file their total income from all sources, including employment
and self-employment
income, interest
, dividend
s, and capital gain
s, rental
income, and so on. Foreign income must also be declared and included in the total income. After applicable deductions and adjustments, the net income and taxable income are determined, from which the federal tax and the provincial or territorial
tax are calculated to give the total payable. Subtracting total credits, which include the tax withheld
, the filer will either receive a refund
or have balance owing, which may be zero.
The T1 and any balance owing for each year are generally due by the end of April of the following year.
Canada
Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...
by individuals to file their personal income tax return
Tax return (Canada)
Normally, Canadian Individual tax returns for any specific year must be filedby April 30 of the following year. There is no provision for generally extending this deadline, but there are a few exceptions....
. Individuals with tax payable during a calendar year must use the T1 to file their total income from all sources, including employment
Employment
Employment is a contract between two parties, one being the employer and the other being the employee. An employee may be defined as:- Employee :...
and self-employment
Self-employment
Self-employment is working for one's self.Self-employed people can also be referred to as a person who works for himself/herself instead of an employer, but drawing income from a trade or business that they operate personally....
income, interest
Interest
Interest is a fee paid by a borrower of assets to the owner as a form of compensation for the use of the assets. It is most commonly the price paid for the use of borrowed money, or money earned by deposited funds....
, dividend
Dividend
Dividends are payments made by a corporation to its shareholder members. It is the portion of corporate profits paid out to stockholders. When a corporation earns a profit or surplus, that money can be put to two uses: it can either be re-invested in the business , or it can be distributed to...
s, and capital gain
Capital gain
A capital gain is a profit that results from investments into a capital asset, such as stocks, bonds or real estate, which exceeds the purchase price. It is the difference between a higher selling price and a lower purchase price, resulting in a financial gain for the investor...
s, rental
Renting
Renting is an agreement where a payment is made for the temporary use of a good, service or property owned by another. A gross lease is when the tenant pays a flat rental amount and the landlord pays for all property charges regularly incurred by the ownership from landowners...
income, and so on. Foreign income must also be declared and included in the total income. After applicable deductions and adjustments, the net income and taxable income are determined, from which the federal tax and the provincial or territorial
Provinces and territories of Canada
The provinces and territories of Canada combine to make up the world's second-largest country by area. There are ten provinces and three territories...
tax are calculated to give the total payable. Subtracting total credits, which include the tax withheld
Withholding tax
Withholding tax, also called retention tax, is a government requirement for the payer of an item of income to withhold or deduct tax from the payment, and pay that tax to the government. In most jurisdictions, withholding tax applies to employment income. Many jurisdictions also require...
, the filer will either receive a refund
Tax refund
A tax refund or tax rebate is a refund on taxes when the tax liability is less than the taxes paid. Taxpayers can often get a tax refund on their income tax if the tax they owe is less than the sum of the total amount of the withholding taxes and estimated taxes that they paid, plus the...
or have balance owing, which may be zero.
The T1 and any balance owing for each year are generally due by the end of April of the following year.
- This article is not intended to provide tax advice or any other advice.