The deadline for tax season in Canada was April 30 — if you missed it, don't panic. We asked H&R Block senior tax expert Josée Cabral what to do if you missed the deadline for filing your income tax to the Canada Revenue Agency (CRA) or Revenu Québec.
For starters, know that grace periods for taxes in Quebec and Canada exist. However, your benefits and credits could be delayed if you missed the tax deadline. This includes COVID-19 relief measures, such as the CRB.
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It's not too late! Don’t miss the April 30th deadline to file your 2020 tax return, pay any amounts you owe, and ge… https://t.co/FbBMWRLTFh— Canada Revenue Agency (@Canada Revenue Agency) 1619440502.0
CRA charges a penalty of 5% on the amount you owe for late filing, plus an additional one percent for each month that you fail to file your taxes, for a maximum of 12 months, Cabral told MTL Blog.
For the 2020 tax year, Revenu Québec will not impose late filing penalties or charge interest on late payments for tax returns until May 31, 2021, so you have a bit more time to get your stuff together before facing repercussions.
Revenu Québec typically charges a 5% penalty on the balance not paid by the deadline plus 1% for every full month your return is late for a maximum of 12 months.
COVID-19 relief benefits
Canadians and Quebecers who received federal or provincial COVID-19 emergency benefits, including CERB and Employment Insurance — whose taxable income does not exceed $75,000 — will not be charged interest on any outstanding tax debt for 2020 until April 30, 2022.
"That means that any individual who received some form of COVID-19 relief benefit and owes money on their 2020 tax return will qualify for relief as long as their taxable income is no more than $75,000," Cabral said.
"Don't put off filing taxes because you’re worried you might owe money, or because you still don’t have all your tax slips. If you have amounts due, make sure to call the CRA or Revenu Québec to make a payment plan. [They] will cut off any interest as long as you respect the payment plan."