COVID-19 and Tax Filing and Payment Due Dates
Overview
As a response to the pressure and hardship experienced by Canadian taxpayers during the COVID-19 outbreak, the Government of Canada has announced an extension of time for certain taxpayers to comply with their income tax filing and payment obligations.
The table below summarizes changes to income tax return filing due dates:
|
Types of Return |
Original Due Date |
New Due Date |
| 2019 T1 Personal Return (for individuals other than self-employed individuals and their spouses) |
April 30, 2020 |
June 1, 2020 |
| 2019 T3 Return (for trusts with December 31, 2019 year end) |
March 31, 2020 |
May 1, 2020 |
The June 15, 2020 deadline for self-employed individuals and their spouses to file a T1 Personal Return is unchanged. Similarly, no extension of time for a corporation to file its T2 Corporation Return was announced.
The announcement did not clarify whether the extension also applies to election forms to be filed together with the applicable tax return, although we expect that this would be the case.
All taxpayers (including corporations and trusts) are allowed to defer, until after August 31, 2020, the payment of any income tax amounts that become owing on or after March 18, 2020 and before September 2020. This relief applies to tax balances due, as well as instalments, under Part I of the Income Tax Act. No interest or penalties will accumulate on these amounts during this period.
The Canada Revenue Agency has suspended all GST/HST or income tax audits for the next four weeks for small or medium (SME) businesses.
The crisis in Canada and throughout the world is continuing to evolve. We are carefully monitoring changes to tax legislation and policy and are committed to advising our clients of developments as they unfold. Please do not hesitate to contact a member of our team with your questions about the impact of COVID-19 on your tax compliance obligations. For more information about dealing with COVID-19, please visit our COVID-19 Resource Center.
We wish all our clients, friends and colleagues good health during these exceptional circumstances.
People
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Kay's practice focuses on corporate reorganizations, cross-border transactions, private businesses and personal tax advice, and estate and succession planning. View bio
Partner and Co-Chair, Private Client Services and Tax Groups -
Ted’s practice focuses on all aspects of Canadian taxation with a particular emphasis on the taxation of acquisitions/divestures, tax-driven reorganizations and corporate finance. View bio
