On March 20th, the CRA has posted additional information on the Covid-19 relief measures listed below.
|Important changes to tax-filing and payment deadlines|
|Individuals|| The deadline to file your
income tax and benefit return will be deferred until June 1, 2020.|
The deadline to pay any balance due for your individual income tax and benefit return for 2019 has been extended from April 30, 2020, to September 1, 2020. This means you will not be assessed any penalties or interest if your balance due is paid by September 1, 2020.
|Self-employed and their spouse or common law partner||For self-employed individuals or those who have spouses or common-law partners that are self-employed, the deadline to pay any balance due for your individual income tax and benefit return has been extended from April 30, 2020, to September 1, 2020.|
|Businesses||The deadline for businesses to pay any income tax amounts that become owing or due after March 18, 2020 and before September 1, 2020 has been extended to September 1, 2020. This means you will not be assessed any penalties or interest if your balance due is paid by September 1, 2020.|
|Trusts|| For trusts with a taxation year
end of December 31, 2019, the filing due date of
March 31, 2020, will be deferred to May 1, 2020.|
Furthermore, all trusts that have an upcoming income tax balance due date or an income tax instalment payment due date before September 1, 2020, will have their payment due date effectively extended to September 1, 2020.
Penalty and interest implications for upcoming trust tax obligations not covered by the relief described above will be considered by the CRA on a case-by-case basis.
|Charities||The Charities Directorate is extending the filing deadline to December 31, 2020, for all charities with a Form T3010, Registered Charity Information Return due between March 18, 2020 and December 31, 2020.|
Collections, audits, and appeals
Collections activities on new debts will be suspended until further notice, and flexible payment arrangements will be available.
The CRA will not contact any small or medium (SME) businesses to initiate any post assessment GST/HST or Income Tax audits for the next four weeks.
For the vast majority of taxpayers, the CRA will temporarily suspend audit interaction with taxpayers and representatives. Interaction with taxpayers will be limited to those cases where the legal deadline to reassess a tax return is approaching, and in cases of high risk GST/HST refund claims that require some contact before they can be paid out.
Objections & appeals
Any objections related to Canadians’ entitlement to benefits and credits have been identified as a critical service which will continue to be delivered during COVID-19. As a result, there should not be any delays associated with the processing of these objections.
With respect to objections related to other tax matters filed by individuals and businesses, the CRA is currently holding these accounts in abeyance. No collection action will be taken with respect to these accounts during this period of time.
With respect to appeals before the Tax Court of Canada (TCC), on March 16, 2020, the TCC has ordered the extension of all timelines prescribed by the rules of that Court while it is closed for business until March 30, 2020. More information can be obtained directly from the TCC.
Outreach and Liaison Officer services
Community Volunteer Income Tax Program (CVITP)
If you’re planning to go to a free tax clinic, please check our directory before you go. Some clinics may have had to close or change their hours due to concerns surrounding the COVID-19 virus.
There are several other options for these individuals to file their taxes and we’re encouraging organizations to share these options with their clients:
- NETFILE: If you can access a computer or a mobile device, you can file online using CRA certified tax-filing software. There are a variety of software products to meet their needs, some of which are free!
- File my Return: File my Return is a free, secure, and easy to use telephone service for eligible people with low income or a fixed income whose situations remain unchanged from year to year. Those who are eligible have received an invitation letter in the mail or in their T1 income tax and benefit package. The service makes it easy and lets you file your income tax and benefit through an automated phone service. For individuals who are residents of Québec, the service only completes the federal portion of the income tax and benefit return.
- Paper filing: You can still file your income
tax return on paper. If you filed on paper last year and your address
information with the CRA was up-to-date, you should have received your paper
tax package in the mail by February 17, 2020.
You can view, download and order forms at canada.ca/taxes-general-package or call the CRA at 1-855-330-3305 to order a copy.
If you need to order a package, please keep in mind that it may take up to 10 days for delivery. Factor this time in so you don’t miss the filing deadline.
The CRA is adapting its Outreach Program to support individuals during COVID‑19. Through this service, the CRA offers help to individuals to better understand their tax obligations and to obtain the benefits and credits to which they are entitled. Traditionally available in-person, this service is now available over the phone, and through webinar, where possible by completing a request online.
Liaison Officer service
The CRA is adapting its Liaison Officer service to support small businesses during COVID‑19. Through this service, the CRA offers help to owners of small businesses to help them understand their tax obligations. Traditionally available in-person, this service is now available over the phone.