Many Canadians are breathing a sigh of relief now that their 2013 personal tax return filing is behind them (self-employed taxpayers still have until 16 June 2014 to file since 15 June falls on a Sunday). But for the Canada Revenue Agency (CRA), the bulk of the work is just beginning. So what exactly happens to your tax return after you file? Here's a rundown of the processing procedures, the part you never see. The first steps for the CRA depend on how it receives the returns. Returns may be filed with the CRA in one of three ways:
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DO YOU OWN RENTAL PROPERTY OR RENT A PART OF YOUR HOME?
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If you own property and rent it as a source of revenue, the income or loss must be reported on your tax return. If a net rental loss results, it can generally be deducted against other sources of income for the year. Expenses you incur to earn rental revenue can generally be deducted against this revenue. These expenses can include mortgage interest, property taxes, insurance, maintenance and repairs, utilities, advertising and management fees.
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