TELEFILE - File Taxes by Phone

If you have a simple Canadian income tax return, you may be able to file your income taxes by phone, for free. The TELEFILE service accepts basic income tax information, such as employment income, pension income, interest income and registered pension plan contributions.

To file using TELEFILE you complete your income tax return using the forms and schedules in your income tax package. You then call a toll-free number using a touchtone phone, and follow the instructions, using the telephone key pad to enter your income tax information.

The TELEFILE service is open from February 14, 2011 to September 30, 2011. Your 2010 income taxes are still due by midnight May 2, 2011. (Since the regular deadline of April 30 falls on a Saturday in 2011, returns are due the next business day.)

With TELEFILE you'll get an immediate confirmation that your return has been received, and the Canada Customs and Revenue Agency (CCRA) claims you'll get a faster refund, possibly within two weeks.

You may be able to use TELEFILE if: you received a T1 Special, T1S-A or T1S-C form, or the package for computer software users who would otherwise have received one of those forms you are filing an income tax return as a wage earner, student, senior, or simply for credits and benefits your taxes are simple, and you are filing basic income, deduction and credit amounts.

You can not use TELEFILE if: you are filing income taxes for the first time you are filing more complex tax information such as self-employment earnings, capital gains or rental income.

To use TELEFILE you need a personalized four-digit access code.

Check the income tax package sent to you to see if you received a TELEFILE access code. If you did not receive a TELEFILE access code, and feel your tax situation is very simple, then call the Help Desk toll-free at 1-800-714-7257.

Before you start, have your completed income tax return and schedules, your Social Insurance Number and your TELEFILE access code handy. If applicable, you will also need the Social Insurance Number for your spouse or common-law partner and his or her net income. During the hours of service, use a touchtone phone to dial the toll-free TELEFILE phone number 1-800-959-1110 from inside Canada or the continental United States. Follow the instructions, and enter your income tax information using the telephone keypad. Confirm that you wish to file the information as your tax return. Wait to receive the confirmation number and write it down. The confirmation number indicates that your return has been filed and should be kept with your income tax records.

See also: 6 Ways to File Your Canadian Income Taxes

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Penalties for Late Taxes

Filing your Canadian income taxes late can cost you money. If you owe income tax and file your income tax return late, the Canada Revenue Agency will charge you a penalty and also charge interest on the unpaid amount.

The deadline for filing your Canadian income taxes is midnight April 30. Since April 30 falls on a Saturday in 2011, your 2010 return will be considered to be filed on time if it is postmarked by midnight on Monday May 2, 2011.

If you owe Canadian income tax and file your Canadian income tax return after the deadline, the Canada Revenue Agency will charge a penalty of five percent of the balance owing andone percent of the balance owing for each full month that your return is late, to a maximum of 12 months.

If you were charged a late-filing penalty in one of the previous three years and are late filing your income taxes again, the Canada Revenue Agency will charge a penalty of ten percent of the balance owing for the current year andtwo percent of the balance owing for each full month that your current income tax return is late, to a maximum of 20 months.

In addition to the penalty for filing your Canadian income taxes late, the Canada Revenue Agency will also charge compound daily interest on any unpaid amounts owing for 2010, starting May 1, 2011 andon any penalties charged, starting the day after your return is due.The interest rates charged can change every three months.

View the original article here

Penalties for Late Taxes

Filing your Canadian income taxes late can cost you money. If you owe income tax and file your income tax return late, the Canada Revenue Agency will charge you a penalty and also charge interest on the unpaid amount.

The deadline for filing your Canadian income taxes is midnight April 30. Since April 30 falls on a Saturday in 2011, your 2010 return will be considered to be filed on time if it is postmarked by midnight on Monday May 2, 2011.

If you owe Canadian income tax and file your Canadian income tax return after the deadline, the Canada Revenue Agency will charge a penalty of five percent of the balance owing andone percent of the balance owing for each full month that your return is late, to a maximum of 12 months.

If you were charged a late-filing penalty in one of the previous three years and are late filing your income taxes again, the Canada Revenue Agency will charge a penalty of ten percent of the balance owing for the current year andtwo percent of the balance owing for each full month that your current income tax return is late, to a maximum of 20 months.

In addition to the penalty for filing your Canadian income taxes late, the Canada Revenue Agency will also charge compound daily interest on any unpaid amounts owing for 2010, starting May 1, 2011 andon any penalties charged, starting the day after your return is due.The interest rates charged can change every three months.

View the original article here

Penalties for Late Taxes

Updated: 03/21/11

Filing your Canadian income taxes late can cost you money. If you owe income tax and file your income tax return late, the Canada Revenue Agency will charge you a penalty and also charge interest on the unpaid amount.

The deadline for filing your Canadian income taxes is midnight April 30. Since April 30 falls on a Saturday in 2011, your 2010 return will be considered to be filed on time if it is postmarked by midnight on Monday May 2, 2011.

If you owe Canadian income tax and file your Canadian income tax return after the deadline, the Canada Revenue Agency will charge a penalty of five percent of the balance owing andone percent of the balance owing for each full month that your return is late, to a maximum of 12 months.

If you were charged a late-filing penalty in one of the previous three years and are late filing your income taxes again, the Canada Revenue Agency will charge a penalty of ten percent of the balance owing for the current year andtwo percent of the balance owing for each full month that your current income tax return is late, to a maximum of 20 months.

In addition to the penalty for filing your Canadian income taxes late, the Canada Revenue Agency will also charge compound daily interest on any unpaid amounts owing for 2010, starting May 1, 2011 andon any penalties charged, starting the day after your return is due.The interest rates charged can change every three months.

View the original article here

File Your Taxes Online

Updated: 11/30/10

They call it NETFILE, and most Canadians now have the option of using it to file their income tax returns over the Internet.

The NETFILE service is open from February 14, 2011 to September 30, 2011. Your 2010 income taxes are still due by midnight May 2, 2011. (Since the regular deadline of April 30 falls on a Saturday in 2011, returns are due the next business day.)

With NETFILE you'll get an immediate confirmation that your return has been received, and the Canada Revenue Agency (CRA) claims you'll get a faster refund, possibly within two weeks.

However, it's not quite as simple as hitting the send button on your email program, so leave some time to get prepared and to get comfortable with the system.

Although most income tax returns can be filed using NETFILE, there is a list of restrictions to the type of returns that can be filed using the Internet. For example, you cannot use NETFILE to file a return other than for the current tax year if you are a non-resident of Canada if you are in bankruptcy if you have never filed a tax return with the CRA before.

Please check the restrictions list before you begin.

To be able to file your tax return online, you must prepare your income tax form using commercial software or a Web application that has been certified by the CRA. The CRA tests and certifies software between December and March, so it is usually at least late January before a commercial tax software package is put on the approved list of certified software. Be sure the software you plan to use is certified for the current year. If you purchase or download your income tax software before it is certified by the CRA for use with NETFILE, you may have to download a patch from the software vendor.

Some software certified for use with NETFILE is free for individuals with low or modest incomes. Check the list of certified software and the vendor's site for specific details.

You will need to use a secure browser with 128-bit secure sockets layer encryption. If you already use online banking, it's likely you have a compliant browser. If necessary, directions to upgrade your browser are available.

Your browser must also have cookies turned on.

If you receive your T1 personal income tax forms in the mail, check the page with your mailing label for your personal access code.

If you do not receive a personal access code and are eligible to use NETFILE, call the NETFILE help desk and ask for one. You can also get an access code using the access code online service beginning February 14, 2011.

You will also need to provide your Social Insurance Number and date of birth when you file.

For help using NETFILE, consult CRA's Online Help. If you still need assistance, call the

NETFILE Help Desk: 1-800-714-7257

Remember, if you run into problems you can still file the old-fashioned way - by filling in the paper form, attaching the schedules and receipts, and getting it to the post office in time to be postmarked by May 2, 2011.

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Heat wave taxes the nation's power grid

The heat wave is straining the nation's power grid, but one utility official says it plans years in advance for such events.The U.S. heat wave is affecting 150 million Americans
A mid-Atlantic power grid predicted a peak demand of under 149,000 megawatts
The demand has surpassed 150,000 megawatts

(CNN) -- The heat wave that's bearing down on more than 150 million Americans in the Midwestern and mid-Atlantic United States is also straining the nation's power grid.

The record temperatures and heat indexes mean more and more people are cranking on the air conditioners. Many regional electricity providers are reporting record usage this week.

Read the latest on the heat wave

In May, the power grid serving most of the mid-Atlantic region predicted a peak demand of just under 149,000 megawatts (one megawatt can run 1,000 air-conditioning units at full power). On Wednesday, that grid produced more than 150,000 megawatts.

CNN's Randi Kaye talked with Michael Kormos, an operations executive with Philadelphia-based PJM Interconnection, which serves 58 million customers in 13 states and the District of Columbia, who said his utility is well-prepared for the increase in demand.

CNN: How is your company doing in terms of providing power to its customers? Do you have enough?

Kormos: Yes, at this point, we believe that there is adequate capacity to serve all of the customer needs on the grid at this point.

CNN: Give us an idea of the situation: Are you at peak capacity, or do you have room here to play with?

Kormos: While we are at peak, this is the kind of week that we literally plan years for in advance to make sure the infrastructure's in place. We train all year long to be prepared and everything is running well, and the grid is holding up, and we expect not to have any brownouts in the foreseeable future.

CNN: What type of training do you do to avoid a brownout?

Kormos: A lot of the training is being able to react to any situation that could happen on the grid, should a generator fail or a transmission line or transformer fail, being able to react to that, to redirect the power to ensure that the remaining of the grid stays up.

CNN: What if you do need more power? Is there anything you can do?

Kormos: We do have emergency procedures, as just mentioned. We can use what's called a brownout, where we lower the voltage that does decrease the power use. We also have the ability to ask customers, to either voluntarily or through contractual obligations, get off the grid at that point.

CNN: I've read that as a heat wave persists, it takes more and more power to maintain cool temperatures. Is that true?

Kormos: Yes, that's true. You normally end up with residual heat buildup in the buildings, and therefore the air conditioners are working harder to maintain the same temperature because of that residual heat.

Quoting : CNN.com