The Canada Revenue Agency has extend the deadlines for some corporate and trust filings. The move is intended to assist businesses and tax professionals who have been affected by the COVID-19 pandemic.
Businesses are now permitted to defer their T2 corporation income tax returns to September 1st, 2020. Any income tax that was due to be paid to the agency on or after March 18th, 2020 and before September 1st, 2020 will now be due on September 1st, 2020.
For the self-employed, the deadline has also been extended to September 1st, 2020.
Moreover, the CRA also confirmed that the deadline for trust returns has been extended. If such returns were due in June, July, or August, they are now due on September 1st, 2020. Penalties and interest will not be incurred if payments are made on or before September 1st, 2020.
Earlier this year, the CRA extended the deadline for individual tax returns to June 1st 2020, instead of April 30th, 2020.
While individuals’ payments are not actually due until September 1st, the CRA says filing a tax return before the deadline will minimize the impacts on credit payments and benefits.
The CRA is encouraging Canadians to make use of its digital services to manage their tax returns and benefit applications from home throughout the COVID-19 crisis and in the future.
To learn more about all the COVID-19-related changes to taxes and benefits for both individuals as well as businesses, visit canada.ca/cra-coronavirus.