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Susan Ward

Two Things You Need to Know If You Haven't Filed Your Canadian Income Tax Yet

By April 9, 2014

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There are two things you need to know if you operate a Canadian business and haven't filed your income tax yet:

woman sitting on the floor surrounded by piles of tax receipts.

1) Even though self-employed people have longer to file their Canadian income tax (until June 15th), they don't have longer to pay whatever Canadian income tax they owe; you still only have until April 30th to pay your income tax.

2) There are late-filing penalties if you don't file your income tax return on time. (The standard late-filing penalty is 5% of the balance owing and an additional 1% of the balance owing for each full month that your return is late, to a maximum of 12 months - but if you haven't filed for several years, the penalty for filing your Canadian income tax late could even be higher.)

So you'll want to at least make a "guesstimate" and pay what you think you're owing by April 30th, even if you're not able to get your income tax filed by that date.

Read More About Canadian Income Tax

Image (c) David Sacks / Getty Images

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Comments
April 10, 2013 at 1:48 pm
(1) Bryan Haines says:

Some good reminders. Even though we moved abroad years ago, we still have to file Canadian tax returns. I’m looking at a lot of shoe box sorting over the next couple of weeks.

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