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The “Just in Time” Tax Prep Checklist: 5 Things You Can Still Do to Lower Your 2025 Tax Bill

Posted on by MikeWiddis

If you’re reading this on February 25th, you might be feeling the first real pangs of “Tax Season Anxiety.” For many Creative Professionals and Social Workers, this is the time of year when the pile of receipts on the corner of the desk starts looking a little more intimidating.

But here’s the good news: the ship hasn’t sailed yet. While the 2025 calendar year has ended, there are still several strategic moves you can make right now to lower your tax bill and make the filing process smoother for your accounting professional team.

Here is your “Just in Time” checklist to take control before the deadline hits.

1. The RRSP “Golden Window”

In the tax world, the first 60 days of the year are unique. Any contributions you make to your Registered Retirement Savings Plan (RRSP) before the deadline (usually March 1st) can be deducted from your previous year’s income.

  • Why it Matters: This is one of the few ways to reduce your 2025 taxable income retroactively. If you find yourself in a higher tax bracket than expected, an RRSP contribution is a powerful lever to pull.
  • Pro Tip: Check your latest “Notice of Assessment” from the CRA to find your exact contribution limit so you don’t over-contribute.

Looking for more ways to protect your family time while maximizing savings? Check out our guide on: The Entrepreneur’s Gift: How Canadian Small Business Owners Can Maximize Family Time & Tax Savings

2. The “Digital Sweep” of Transaction Fees

If you use platforms like Jane App, Stripe, PayPal, or Square, you are paying merchant fees on every single transaction.

  • The Oversight: Many business owners only record the “net” amount that hits their bank account. However, those merchant fees are fully deductible business expenses.
  • Action Item: Log in to your payment processors and export your 2025 annual summary. You might find hundreds (or thousands) of dollars in deductible fees that haven’t been accounted for.

3. Re-Verify Your Home Office Square Footage

Did you move in 2025? Or perhaps you finally reclaimed that “storage room” and turned it into a dedicated therapeutic space or editing suite?

  • The Rule: You can deduct a portion of your rent, utilities, and insurance based on the percentage of your home used exclusively for business.
  • Action Item: Take ten minutes to measure your dedicated workspace. Even a small increase in the percentage of your home used for business can lead to a significant boost in your total deductions.

If the thought of tax season still feels heavy, remember that planning is the best antidote to stress: Stop Stressing, Start Planning: Why Financial Preparation is Crucial for Creative Professionals and Social Workers

4. Don’t Forget Your Professional Dues

For Social Workers and Registered Counsellors, your provincial College fees and professional liability insurance are essential for your practice. For Creatives, this might be your union dues or professional guild memberships.

  • Action Item: Ensure you have the official receipts for any professional memberships paid in 2025. These are often overlooked because they are often auto-renewed early in the year.

5. Reconcile Your “Unbilled” Labour

Please check your project management software or calendar. Are there any projects you completed in late 2025 that haven’t been fully invoiced yet?

  • The Strategy: While you generally want to record income when it’s earned, reviewing your records now ensures your accounting team has a complete view of your accounts receivable. This prevents “surprises” when you’re trying to tie off your 2025 books.

From Panic to Preparation

The goal of this checklist isn’t just to save you money; it’s to save your sanity. By taking these five steps now, you’re moving from a “reactive” state to a “proactive” one.

Curious about how tech can make these checks even faster next year? Read about: The Future is Now: 5 Accounting Trends Small Businesses Must Watch

When you hand your files over to your accounting professional, you’ll do so with the confidence that you haven’t left money on the table.

Feeling overwhelmed by the 2025 tax shuffle? All of our monthly packages at UpSide Accounting include tax returns. Contact UpSide Accounting today to get started!

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