Determine if you have small business/self-employment income that must be reported on a schedule T2125.
Create a profit and loss statement for the year (or since you started your business) by using a spreadsheet or an accounting software.
Either use tax software to add the T2125 statement of business activities to your tax return or manually download the schedule to complete it.
Identify the type of business you have and determine your 6-digit NAICS/Industry code.
Determine whether you are reporting business income or professional income.
Review the cost of goods sold and expense categories on the T2125 and match them to the categories from your profit-loss from Step 2.
Determine your motor vehicle, capital cost and home office expenses and use the separate sections on the T2125 to enter these.
Complete the CPP portion of your tax return if you are doing it manually. If you are using software, this will be automatically calculated.
Ensure that the rest of your personal tax return is complete and all other types of income, deductions and credits have been entered.
Electronically file (EFILE) your tax return or mail it to CRA by the deadline of June 15th.
Pay taxes due by using bill payments in online banking, send a cheque with your tax return or wait for the notice of assessment to make payment. If you cannot pay the full balance, contact CRA to make payment arrangements.
If you are registered for GST and HST and provincial tax, complete and submit your return by June 15th and make payment by April 30th to avoid interest.
