How to prepare for tax season as a self-employed person

What you need to report

In Canada, self-employed individuals must report all business income regardless of payment method: card, cash, e-transfer, or cheque. You also get to deduct legitimate business expenses.

What to gather before filing

Income records:

• All invoices sent and amounts received
• Any cash or e-transfer payments recorded in your system
• Bank statements showing deposits from clients

Expense records:

• Receipts for materials and supplies
• Fuel and mileage records
• Equipment purchases
• Software and subscription costs

HST/GST records (if you're registered):

• HST collected on sales
• HST paid on purchases (input tax credits)

The role of your accounting app

If you've been using Morgan AI consistently throughout the year, most of this is already done. You can export a complete income summary, expenses by category, and a tax summary report.

Working with an accountant

Give your accountant clean, organized records and you'll save significant time, their time is yours when you're paying by the hour.

Key dates (Canada)

• June 15: Last day to file your T1 as a self-employed person
• April 30: Deadline to pay any balance owing
• Quarterly installments: If you owed more than $3,000 last year, CRA expects quarterly payments