Wealthsimple Tax Review for 2024 [Previously SimpleTax]

Pros

• NETFILE Certified Tax Software (CRA)
• Pay-What-You-Want Pricing
• You’ll Get Your Refund Fast
• Sleek and Easy to Use User Interface
• Optimizes for RRSP Deductions
• Calculates Refund in Real Time
• Very Secure Platform
• Guaranteed Maximum Refund
• Smart Search Functionality
• Connects to Crypto Wallets
• Audit Support Offered

Cons

• No Expert Review
• Customer Support is Limited
• Requires a Basic Knowledge of Taxes

Rating  

File Your Taxes with Wealthsimple Tax Today

Are you a Canadian looking to file your income taxes on your own? If so, you’ve probably heard of Wealthsimple Tax and are maybe even considering using them.

If this sounds like you, you’re in the right place.

Now it’s important to quickly note that Wealthsimple offers many different products, such as a self-directed investment platform, a robo advisor and even a crypto platform.

But in this article, I’ll be doing a comprehensive Wealthsimple Tax review to break down every aspect of the popular tax filing software amongst Canadians.

As someone who has used Wealthsimple Tax (formerly Simpletax) for the last four years, I’ve seen how the platform has grown, evolved and innovated over the years into what is now a great piece of technology.

In this Wealthsimple Tax review, I will break down where the software shines, where it falls short, and who the software is best suited for.

And then at the end, I will talk a bit more about my experience with Wealthsimple Tax over the last four tax filing seasons.

Let’s get into it.

Wealthsimple Tax Review | Comprehensive Analysis

In my experience using Wealthsimple Tax for the past four tax seasons, I am awarding it a 4.5/5 rating. In the following section, I’ll break down my rating into five factors based on my experience with the platform.

1. Ease of Use (4.5/5)

2. Fees and Pricing (5/5)

3. Cool Features (4/5)

4. Safety Features (5/5)

5. Customer Support (3.5/5)

Where Wealthsimple Tax Shines

1. NETFILE Certified Tax Software (CRA)

When it comes to Wealthsimple Tax, I personally believe that it shines in several ways, and one of its most notable strengths is that it’s a NETFILE-certified tax software, which means it’s recognized by the Canada Revenue Agency (CRA). This certification provides reassurance to users that their tax returns will be filed correctly and in compliance with CRA regulations.

All this to say, nothing else would matter if Wealthsimple Tax wasn’t NETFILE certified. It would be like having an amazing-looking car with no wheels – it just wouldn’t work.

2. Pay-What-You-Want Pricing

The next area where Wealthsimple Tax shines is with its pricing model, which is pay-what-you-want (PWYW). Because of this, it makes Wealthsimple Tax a great option for those who want to file their taxes online without breaking the bank.

Now because it’s essentially free unless you give a donation, it does lack in its support area, which I talk about later, but for a lot of Canadians who may be university students or just people who don’t have very complex tax situations, it makes Wealthsimple Tax an extremely attractive option for them.

So I personally love the Pay-What-You-Want model as it allows me to choose a price that I feel is fair based on the complexity of my tax situation and the value I receive from the service. This is rare in the world of tax filing software, and it’s something I think sets Wealthsimple Tax apart from its competitors.

3. You’ll Get Your Refund Fast

If you file your taxes with Wealthsimple Tax, you’ll get your refund very quickly. I completed my taxes earlier this year on a Tuesday and received my funds the following Monday.

Now it’s important to note that it’s the CRA that will be providing you with the refund, not Wealthsimple. And as a general rule of thumb, the CRA looks to get its refund back to Canadians within 2 weeks if they file electronically and up to 8 weeks for those who file a paper return. ^[1]

But obviously, if you’re filing your taxes with Wealthsimple Tax, you’ll be doing it electronically and should expect to see your return within two weeks of filing.

4. Sleek and Easy to Use User Interface

In my opinion, what really sets Wealthsimple Tax apart is that it’s designed with beginners in mind. Because when it comes to filing taxes, having an easy-to-use platform can honestly make all the difference, and I have to say, Wealthsimple Tax definitely delivers in this area with its sleek and user-friendly interface.

As you can see from the video above, the platform is very aesthetically pleasing and easy to navigate, which makes the entire tax filing process less intimidating for anyone whose never filed taxes before on their own. When I first filed my taxes with Wealthsimple, the entire process took less than one hour, and I barely knew what I was doing – so if you think it might be too complicated, just give it a try – you might surprise yourself.

5. Optimizes for RRSP Deductions

When it comes to tax optimization, Wealthsimple Tax shines with its emphasis on RRSP deductions. As someone who personally utilizes RRSP contributions for tax savings, I really appreciate how the platform makes it easy to claim these deductions.

With Wealthsimple Tax, users can rest assure that they’re getting the most out of their RRSP contributions, ultimately leading to a bigger tax refund.

And if you haven’t yet set up an RRSP and started contributing to it, I’d highly recommend it, purely for the financial peace of mind that you’ll be set up for the future, but also in the short term, it’ll help you pay less taxes!

6. Calculates Refund in Real Time

Wealthsimple Tax’s real-time refund calculation is a game-changer for anyone looking to get a quick tax refund estimate. With this feature, Canadians can see exactly how much they’ll get back or owe as they do their taxes.

As you can see from the video below in my dummy account, when I add something to my tax return (Digital News Credit), it automatically increases my tax refund by $75. And then, when I take it away, it instantly reduces the amount.

So what I like about this feature is that it also allows me to look at how much I “would of” gotten back if I had contributed a little bit more to my RRSP, for example. It just allows me to play around with my tax information purely for the purpose of seeing what impacts certain things have on my refund.

This is also a feature that not a lot of other tax software offer, so if it’s a feature you think you’d like, I’d give Wealthsimple Tax a try.

7. Very Secure Platform

Wealthsimple Tax is a very secure platform that prioritizes the security of its users – bottom line.

With certification from the CRA and Revenu Quebec, it utilizes NETFILE for electronic tax-filing services. But in my opinion – what really sets Wealthsimple Tax apart from some of its competitors is its state-of-the-art encryption, two-factor verification, and product-led threat detection in the code.

Additionally, their use of cloud back-ups and, on top of employing a world-class security team, is a testament to their commitment to providing the best security measures possible to Canadian tax payers.

Having used the platform myself for 4 tax seasons now, I can confidently say that Wealthsimple Tax is a secure and trustworthy option, and I’ve never had any safety concerns with the platform or heard of anyone who has.

In other words, Wealthsimple Tax goes above and beyond to ensure the safety of user data, and they do a really good job of it.

8. Guaranteed Maximum Refund

Wealthsimple Tax is not only a secure platform for filing taxes, but it also guarantees a maximum refund. This is a massive plus for anyone looking to get the most out of their tax return and wants peace of mind that they’re getting the biggest possible refund that they can.

On the other hand, some people might be skeptical of this guarantee. However, Wealthsimple Tax is able to make this promise thanks to its advanced software, which is consistently being optimized to ensure the algorithms are maximizing users’ refunds. It’s simply a matter of providing accurate information and letting their technology do the rest.

So basically, how it works is that when you are done filing your taxes, you’ll go to the “Review and Optimize” section of your return, and as you can see from the image below, Wealthsimple Tax will give you a list of things you may not have claimed or maybe forgot to include.

9. Smart Search Functionality

Wealthsimple Tax’s smart search functionality is an awesome feature when it comes to filing taxes.

Basically, how it works is that instead of having to navigate through endless forms and sections, users can simply search for the specific item they’re looking for, and the platform will take them directly to it.

This feature has made filing taxes SO much more of a smoother and stress-free experience for me.

In fact, I would argue that the smart search functionality is one of Wealthsimple Tax’s standout features that doesn’t get talked about enough.

Why? Well, because it’s especially helpful for those of us who may not be familiar with the whole tax-filing jargon and terminology and by simply typing in a few keywords, the platform is able to provide relevant and accurate information, which again, makes the entire tax filing process so much easier.

10. Connects to Crypto Wallets

Another feature of Wealthsimple Tax that I really like is that it easily allows Canadians to connect their crypto wallets to the platform to account for any capital gains or losses they may have incurred during the year.

Now I’m not an expert, but I really don’t need to be – all I do is allow Wealthsimple Tax to pull my crypto data from my Wealthsimple Crypto account, and they take care of the rest.

In fact, you don’t even need to trade cryptos with Wealthsimple Crypto for this import to work, as Wealthsimple Tax has the ability to import trading information from over 300+ external crypto wallets and exchanges ^[2]

11. Audit Support Offered

Another area where Wealthsimple Tax shines is with its Audit Support service, which is offered for just $30. Although I haven’t been audited yet, I always opt in for this service just for peace of mind in case I ever do.

In short, here’s how it works:

If you receive a Notice of Reassessment or letter of correspondence from the CRA or Revenu Québec, you simply need to send an email to tax@wealthsimple.com with the necessary information, and the Wealthsimple Tax team will then assist you in understanding your situation, gathering documents, and taking the necessary next steps.

Long story short – this service provides valuable assistance and support for those who may feel overwhelmed or unsure about how to handle an audit in the event that one occurs, and in my opinion, the $30 fee is well worth the money.

Where Wealthsimple Tax Falls Short

1. No Expert Review

Unlike a lot of Wealthsimple’s Tax’s major competitors, they don’t offer expert reviews. In other words, you’re on your own.

Now luckily, Wealthsimple Tax is so easy to use, and most people won’t require special assistance to use the platform. But if you’re someone who will definitely need live agent support, well, then Wealthsimple Tax is not a good option for you, and I’d recommend checking out Turbotax.

2. Customer Support is Limited

While Wealthsimple Tax offers a variety of support options, such as a virtual AI chat assistant and email support, their support offerings are limited compared to other tax software on the market. So, if you’re someone who prefers face-to-face interaction with a tax professional, then you may find the lack of phone and live chat support to be disappointing for you.

And while Wealthsimple Tax does offer audit support, it’s not free, and it’ll cost you an additional $30 in the event that you get flagged for a CRA audit – so just keep that in mind as well.

3. Requires a Basic Knowledge of Taxes

Lastly, I’m not sure if this is any fault of Wealthsimple Tax or just the nature of doing your taxes on your own, but successfully filing your taxes with Wealthsimple Tax will require a (very) minimal knowledge baseline of taxes.

In other words, if you don’t have any understanding of tax concepts like deductions, credits or T4s, there may be a little bit of a learning curve for you when you first get started. But even with that being said, with a little effort and research, even those with very basic tax knowledge can definitely navigate the software successfully.

Who Should Use Wealthsimple Tax?

If you’re still on the fence about whether or not Wealthsimple Tax is the right choice for you, consider the following:

You Should Use Wealthsimple Tax if…

Wealthsimple Tax Might Not be For You if…

My Experience with Wealthsimple Tax

My experience with Wealthsimple Tax has been nothing short of exceptional so far.

As mentioned earlier, I’ve used this platform for the past four years, and I can confidently say that I’ve had a great experience with them so far. While I have also used Turbotax, the fact that all my investments are with Wealthsimple and the platform is” free” makes it a no-brainer for me.

With that said, I usually donate $20 and pay for the audit update, so in total, I pay around $50, but I still believe it’s well worth every penny.

The limited support offerings aren’t a huge issue for me, but if I’m being completely transparent – if you’re a complete novice in terms of taxes and how it works, software like Turbotax would also be a great option for you.

One of my favourite features of Wealthsimple Tax is how it connects to my Wealthsimple crypto wallet. While I don’t have a huge crypto portfolio, I have enough where they do create tax implications which need to be accounted for, so I love how Wealthsimple Tax automatically pulls in all this information for me.

Additionally, the “review and optimize” button is another favourite feature of mine which you can take advantage of when you think you’ve completed your return. It basically just provides a list of things that you may have forgotten to include or deduct, which will ensure your maximizing your total refund amount.

And lastly, Wealthsimple Tax also allows me to claim my small business expenses, which is awesome as it allows me to keep everything under one roof when filing my taxes.

So overall, I highly recommend Wealthsimple Tax to almost anyone. My personal experience with the platform has been great thus, and because of that, I plan to continue using their software every tax season.

FAQs about Wealthsimple Tax