Navigating the world of personal taxes can feel like a maze, especially when your income is a mix of salary and commission. This blog will help you understand the intricacies involved with completing your TD1X Statement of Commission Income and Expenses for Payroll Tax Deductions.
Importance of hiring an expert
Filing your tax return on your own can be a daunting task, but it doesn’t have to be with the help of an expert. At CPA4IT, we’ve been helping individuals file their personal tax return since 1984. Over the past 3 decades, we have developed tax strategies which are designed to help you retain more of your hard-earned money. Moreover, our cloud accounting services enable our clients to file their personal tax return from the comfort of their own home. You can book a Free Initial Consultation with one of our experts to discuss this further.
Understanding the TD1X Form
For employees earning through a combination of salary and commission, the TD1X-Statement of Commission Income and Expenses for Payroll Tax Deductions is a critical document. This document needs to be completed by you if you want your employer to change your tax deductions to account for your commission expenses.
When completing the TD1X you will need to subtract last year’s commission expenses from Form T777 or this year’s estimated commission expenses. The T777-Statement of Employment Expenses allows you to claim expenses deductions on your personal income tax return based on the T2200 Declaration of Conditions of Employment that is provided to you by your employer.
You can review a list of the Type of Expenses you can deduct to complete the TD1X for your 2024 estimated commission expenses as well as for the preparation of your 2023 personal tax return. The TD1X must be completed and submitted to your employer by January 31 of each tax year.
How can we help?
If you are looking for an accountant in order to assist you with your upcoming personal tax return preparation, we provide virtual personal tax return preparation for our clients with a three-step process, which is an easy way to save time and have your files organized on the cloud. We also offer a 20% discount off the Personal Tax Pricing for all recruiters.
If you are interested in retaining our services, you can complete the CPA4IT Personal Tax Information Form.
FREE Personal Tax Tools and Resources
In order to set you up for success, we have also included access to all our personal tax tools and resources with this blog. These resources include:
If you have any queries, please feel free to use the following link to book a Free Initial Consultation with one of our experts.