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Last updated: Feb. 3, 2025
Meeting your tax obligations can be overwhelming. Missing a deadline adds stress and can result in penalties and interest charges on top of the taxes you already owe.
This article outlines the key tax deadlines for the 2024 tax year (due in 2025) to help you stay organized and ensure you receive all the tax benefits to which you’re entitled.
Canadian income tax deadlines for individuals
| Filing dates for 2024 taxes | |
| March 3, 2025 | RRSP deadline |
| April 30, 2025 | Deadline to file personal income tax |
| June 15, 2025 | Deadline to file if you, your spouse or common-law partner are self-employed |
| Payment date for 2025 taxes | |
| April 30, 2025 | Deadline to pay your taxes |
Although the Canada Revenue Agency (CRA) gives self-employed individuals until June 16, 2025, to file, you still have to pay by the April 30 deadline to avoid interest and penalties. So, regardless, it’s in your best interest to file and pay by April 30, 2025.
Tax instalment deadlines for individuals
Most self-employed individuals who must pay tax instalments are required to pay quarterly on:
- March 16
- June 16
- September 15
- December 15
If you’re a self-employed farmer or fisher, you will receive an installment reminder in November and must pay by:
- December 31
Income tax deadlines for Canadian-controlled private corporations (CCPCs)
| Tax filing and payment deadlines for CCPCs | |
| 6 months after fiscal year end | Corporate income tax filing deadline |
| Monthly or quarterly | Tax instalment deadlines |
| 2-3 months after fiscal year end | Balance due day for remaining tax owed |
Tax and payment deadlines work differently for Canadian-controlled private corporations (CCPCs). Corporate income tax returns are due within six months of your corporation’s fiscal year-end. For example, if your corporation’s fiscal year-end is the calendar year-end (December 31), your tax deadline would be June 30 of the following year.
However, CCPCs must also pay income tax instalments throughout the year before the return is filed. These payments estimate the taxes owed, and the remaining tax balance is due two to three months after your corporation’s fiscal year-end. According to the CRA, this requirement ensures that corporations “are treated the same as taxpayers who have tax deducted from their income at source.”
However, there are some exceptions to paying instalments for CCPCs, including (but not limited to):
- You’re in your first fiscal year of operation
- Your tax owing is $3,000 or less
- You are in a short tax year
Instalment payment deadlines for CCPCs
| Monthly instalments | One month less one day from the start date of your tax year (your fiscal year) |
| Quarterly instalments | One quarter less one day from the start date of your tax year (your fiscal year) |
Those CCPCs wanting to pay quarterly instead of monthly need to meet strict CRA eligibility requirements:
- You’re a CCPC
- You have a perfect compliance history
- You have a taxable income of $500,000 or less and taxable capital employed in Canada of $10 million or less for the tax year, including any associated corporations from the current or previous tax year.
Why should I file and pay my taxes on time?
There are so many reasons to meet your tax obligations:
- Daily compound interest: If you owe and fail to pay on time or the correct amount, you will be charged daily compound interest – that means you pay interest on the interest. This quickly adds up, adding to your tax bill.
- Penalties: Besides interest, you may face penalties for late filing or underpayment of taxes.
- Maintain good standing: Meeting your deadlines helps you maintain good standing with the CRA, which is essential for accessing government programs and benefits.
- Peace of mind: No one needs the extra stress and anxiety of missing tax deadlines.
Interest and penalties for individuals and CCPCs
Interest on your balance owing
If you owe a balance for your income tax and miss your payment deadline, the CRA will charge compound daily interest at the prescribed rate on any unpaid amount starting the day after the balance is due.
Failure to file penalty
If you file late and owe money to the CRA, you will be required to pay a penalty of:
- 5% of the balance owed
- Plus 1% for each complete month you’re late (to a maximum of 12 months)
If you were charged a late-filing penalty and received a formal demand for a return from the CRA for the past three tax years, the penalty can increase to 10% plus 2% for each month your return is late, to a maximum of 20 months.
Tax instalment interest and penalties
The CRA will charge compound daily interest at the prescribed rate on any unpaid, late or insufficient instalment payments, starting the day after the balance is due. The CRA may also charge a penalty for late or low instalment payments, but this applies only if the interest charges you owe exceed $1,000. The penalty will be the greater of the following amounts:
- A flat rate of $1,000, or
- 25% of the interest you would have owed if you didn’t make any instalments
To calculate the penalty, the higher amount is subtracted from your instalment interest charges and then divided by two.
Note: You may also apply to cancel or waive penalties and interest at the CRA.
Repeated failure to report income
You could face provincial/territorial and federal penalties if you fail to report an amount of $500 or more on last year’s return or the three previous years. The federal penalty is whichever amount is less:
- 10% of the amount you failed to report (provincial/territorial and federal)
- 50% of the difference between the understated tax (and/or overstated credits) related to the false statement or omission
False statements or omission penalties
The CRA will impose the following penalty if a corporation makes a false statement or omission on a return, intentionally or as a result of gross negligence:
- $100 or
- 50% of the amount of understated tax or overused credits (or both)
Note: If you voluntarily inform the CRA about an amount you neglected to report, they may waive some of these penalties as part of the Voluntary Disclosures Program (VDP).
Should I still file my taxes if my business made no money?
In a nutshell, yes. If you haven’t made any money (or are showing a loss), you might believe there’s no reason to file a tax return. However, not submitting your return can result in non-compliance with the CRA and could jeopardize your eligibility for specific tax benefits.
For instance, the amount you receive for credits such as GST/HST or the Canada Child Benefit benefits depends on the net income you declare on your tax return. Submitting a return also generates contribution room in your Registered Retirement Savings Plan (RRSP) and your Tax-Free Savings Account (TFSA), which can be carried forward to future years when you can use it.
Bottom line: meeting your tax filing and payment deadlines is always in your best interest.
Free Download: Small Business Tax Preparation Toolkit
Turn your tax season into a tax triumph by downloading our Small Business Tax Prep Toolkit.
This guide will help you get organized and provide you with info about all the deductions and credits that keep more money in your pocket.
Book a free consultation with FBC
FBC works with Canadian small business owners to minimize their income taxes and maximize their assets. We can help you stay on top of your record keeping, file your taxes on time and keep you caught up.
We offer tax planning, preparation and audit representation as well as bookkeeping and financial planning to cover your complete financial needs, all available year-round for one fee.
We assign a Local Tax Consultant to each FBC Member, who will come to your home or business, saving you time and money. By learning first-hand about the details of your business, we make sure you benefit from every potential tax savings opportunity available to you.
Interested in learning more? We’re offering a free consultation to explain how you can make sure you’re taking advantage of all the tax-saving opportunities available to you.
