Tax Question:
Are you hoping to never miss a corporate filing deadline?
Facts:
Canada Revenue Agency (CRA) has a number of dates and deadlines of importance to corporations. Failure to comply with these deadlines may raise a red flag with CRA, which in turn may trigger an audit.
Corporate Tax – 2 months after your corporate fiscal year-end
This is the default. If your corporation is expected to be taxable in the fiscal year, CRA must have received the instalments required throughout the year. The top-up amount is due by this date otherwise, interest will accrue on any balance due and not paid.
Corporate Tax – 3 months after your corporate fiscal year-end
This is a special deadline. Tax due for Canadian Controlled Private Corporations with taxable income under the Small Business Deduction Limit. If your corporation is expected to be taxable in the fiscal year, CRA must have received the instalments required throughout the year. The top-up amount is due by this date otherwise, interest will accrue on any balance due and not paid.
Corporate Tax – 6 months after your corporate fiscal year-end
Corporate tax return filing deadline. Returns filed after this date with tax due will be assessed a penalty on amounts owing as well as late filing penalties.
Payroll – 15th day of the following month
Payroll remittances are due for corporations with less than $25,000 of monthly withholdings. If your withholdings exceed $25,000 then you could be required to submit remittances more frequently.
GST – One month after the month or the quarter-end or 3 months after the year-end
GST returns’ filing deadline depending on whether the corporation is a monthly, quarterly or annual filer.
Bonuses – 179 days after your corporate fiscal year-end
Deadline for payment of any bonuses declared at the corporate year-end date to maintain the deductibility of the expense in the corporation. If this deadline falls on a weekend or statutory holiday then the bonus must be paid earlier than 179 days.
Tslips – February 29
T4 (Statement of Remuneration Paid) and T5 (Statement of Investment Income) slip and the summary deadline for all corporations regardless of fiscal year-end. Note that if any of these dates, with the exception of bonuses which is outlined above, fall on a weekend or statutory holiday, you have until the next business day to file. For example, if your payroll remittance is due on March 15th, 2020, which falls on a Sunday this year, then the deadline is moved to the next business day, Monday, March 16th, 2020.
If you would like more information on this topic, please contact a member of the Empire CPA team by filling out the contact form below.
Canadian and foreign tax laws are complex and have a tendency to change on a frequent basis. As such, the content published above is believed to be accurate as of the date of this post. Before implementing any tax planning, please seek professional advice from a qualified tax professional. Empire, Chartered Professional Accountants will not accept any liability for any tax ramifications that may result from acting based on the information contained above.
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