Most readers are likely aware of their tax-filing due date for a taxation year. For the majority of individuals it is April 30 of the following year. If April 30 falls on a weekend, it is the following business day.
However, if either you or your spouse (or common-law partner) carry on business in the year, your tax-filing date is June 15. The downside is that any tax still owing for the year is due by April 30! If you owe tax and pay it on the filing date of June 15, you will be charged 45 days of interest (currently the interest rate is 6% compounded daily, so this will cost you about 0.7%).
The filing due date for corporations is 6 months after the end of the taxation year. The taxation year is the corporation’s fiscal period, which does not have to be the calendar year. However, if the corporation owes taxes for the year, the balance is due 2 months after the end of the taxation year, and a late payment will be subject to interest. If the corporation is a Canadian-controlled private corporation that meets certain conditions, including that its taxable income for the preceding year did not exceed $500,000, the balance due date is extended to 3 months after the end of the year.
For a trust, the filing due date is 90 days after the end of the taxation year, and the balance due date is the same day. The taxation year of a trust is the calendar year, although a graduated rate estate can have an off-calendar taxation year. In general terms, a graduated rate estate is a deceased’s estate for up to 36 months after the death.