CRA & Revenu Québec, Self-Employed, Tax Basics

When Taxes Are Due In Canada

The Deadline for Fiscal 2020 Personal Income Tax Returns is April 30, 2021

Please do not wait to file your tax return for 2020. Individuals must file their income tax returns by April 30 of the year following the year for which they are filing and this has not changed this fiscal year.

If you are an employee, your employer is required to give you your T4 information slips

For those that have received COVID related benefits, the Canadian Government has made a recent announcement on Interest Relief for repayment of the benefits. See the following article for more detailed information – Interest Relief due to COVID Related Benefits.

Income Tax Return Deadlines for Self-Employed Canadians

Self-employed individuals and their spouses or common-law partners have until June 15 to file their tax returns. However, any balance owed must still be paid by April 30. If you have self-employment income, consider preparing your tax return well before April 30 to calculate if you have a balance owed. This will help you avoid late-payment penalties.

The Canada Revenue Agency sets strict filing deadlines, and expects to receive income tax returns and payments on time. If not, the CRA charges interest, fees, and penalties. If you want to avoid late fees, you need to know when your return is due.

T4A slips for 2020 due to COVID-19:

Boxes 197 through 204 – CERB

These boxes have been added for CERB benefits you have received throughout the COVID outbreak.

  • Box 197, Canada Emergency Response Benefit (CERB)
  • Box 198 & 199 Canada Emergency Student Benefit (CESB)
  • Box 200, Provincial/Territorial COVID-19 financial assistance payments
  • Box 202, Canada Recovery Benefit (CRB)
  • Box 203, Canada Recovery Sickness Benefit (CRSB)
  • Box 204, Canada Recovery Caregiving Benefit (CRCB)

Quebec residents will also receive a RL-1 with amounts in Box O – 5,6,7 (depending on which benefit you received)

Update for Residents of Quebec, as of April 15th, 2021 – Provincial Tax Return (TP1)

Revenue Quebec has advised that there will not be any penalties or interest charged for individuals, who file or pay their provincial taxes owing after April 30th, but no later than May 31st, 2021. Please review this link from RQ (French only)  for more detailed information. From TurboTax, click here to learn more.

Deadline for Self-Employed Tax Returns for fiscal 2020 is June 15,2021.

If you are self-employed, the CRA gives you a bit longer to submit your income tax return — you do not have to submit it until June 15However, if you owe tax, the CRA will apply interest to the balance owing as of April 30.

Due Dates for Installment Payments

Individuals must file their income tax returns by April 30th, every year. As long as you file and pay by then, you will not incur interest or penalties. If April 30th is on a weekend, the return will be due the next business day.

If you make installment payments throughout the year so that you can avoid a large bill at tax time, you have four due dates throughout the year. Whether you are self-employed or employed by someone else, you must submit your installment payments by March 15, June 15, Sept. 15, and Dec. 15 of each year.

Due Dates of Final Tax Returns

If you are the legal representative of a deceased person, you are in charge of ensuring their final tax return is submitted to the CRA. If the individual died between Jan. 1 and Oct. 31 of the tax year, their return is due April 30, but if they died between Nov. 1 and Dec. 31, their return is due six months after the date of the death.

Again, if the deceased person or their spouses or common-law partners is self-employed, the CRA extends the due date to June 15, but it still begins assessing interest as of April 30.

Holidays and Weekends

If the due date falls on a weekend, the CRA extends it to be the following business day. Mailed responses must be received or postmarked by the due date, and electronically submitted returns must be transmitted by midnight local time of the date they are due.

Penalties for Filing Late

To discourage late filers, the CRA charges a late filing penalty of five percent of your balance owed plus an additional 1 percent for each month the return is late. This fee is added to the compound daily interest that begins accruing on the balance on its due date.

For example; if you owe $5,000 in income tax and you file four months late, the CRA assesses a late filing penalty of nine percent or $450.

If you don’t have enough money to pay your tax bill, you should still file on time to avoid the late filing penalty. Then, the CRA will only charge you interest as you work on paying your tax owed.

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References & Resources