If you're new to Canada, welcome! One of the first things you’ll hear about, after how polite everyone is, is taxes. It might sound intimidating at first, but once you understand the basics, it’s just another part of life here (like saying "sorry" even when it’s not your fault).

Who Has to Pay Taxes?

Simple answer: if you live in Canada and earn any kind of income, from a job, running a business, or even investments, you need to file a tax return every year. It doesn’t matter if you’re a citizen, a permanent resident, a student, or here on a work permit. If you're making money, the Canada Revenue Agency (CRA) wants to hear from you.

And yes, students, this includes you too! Even if you're just working part-time or on a co-op placement, you still need to file. Plus, filing can actually be a good thing. It helps you build your tax history, and you might be able to claim tuition credits, which could mean a nice refund or lower taxes later.

What if you didn’t earn any income?

Good news, you should still file! Filing keeps you eligible for government perks like the GST/HST Credit, Climate Action Incentive, and helps you carry forward tuition or other credits. It also keeps your CRA records active and that’s a good thing for your future in Canada. 

The Main Types of Taxes You'll See

1. Income Tax: Based on what you earn. Your employer usually helps by taking it off your paycheck before you even see it.

2. Sales Tax: When you buy almost anything, you’ll notice GST, HST, or PST added at the checkout (depending on where you live).

3. Property Tax: If you own a home, expect a bill from your city every year.

4. Payroll Deductions: Things like Canada Pension Plan (CPP) contributions and Employment Insurance (EI) come straight off your pay.

How and When to File

1. Tax Year: January 1 to December 31. (Nice and clean, no weird dates.)

2. Filing Deadline: Every year, your tax return is due by April 30. Mark your calendar, late filing can mean penalties, even if you owe nothing.

3. How to File:

a. Online using CRA’s services.

b. Through tax software (many are free!).

c. With help from a tax professional.

d. Or the old-school way: mailing a paper return.

Filing taxes might sound complicated, but now you know it’s really just about staying organized and on schedule. Even if you didn’t earn income, or you're studying, filing your taxes can open the door to some surprising benefits.

Suggested article: Let’s dive into how to actually file your taxes, the free tools you can use, and the smart little tips that make the process a whole lot easier.