Affordable Small Business Accounting and Bookkeeping for Canadian Businesses

File a T1 return for the year, sending it electronically with CRA-certified software or mailing a paper return. Gather your slips and receipts first and check them against the ones listed in My Account. For the 2025 tax year the filing and payment deadline was 30 April 2026, or 15 June 2026 to file if you or your spouse were self-employed, with payment still due 30 April 2026. CRA online filing for 2025 returns closes 29 January 2027.

Most municipalities do not take credit cards for property tax directly. They accept pre-authorised debit, online or telephone banking, cheque, and in-person payment. Third-party payment processors will charge a property tax bill to a card for a service fee, which normally costs more than the rewards earned. The CRA works the same way for income tax and GST/HST: no direct card payment, but authorised third-party providers accept cards for a fee.

Yes. A personal T1 can be prepared and filed by the taxpayer through CRA-certified software, and a straightforward year of employment slips and a few credits is manageable. Corporate filing is harder: a T2 has to reconcile to financial statements, and for tax years beginning after 2023 electronic filing is mandatory for essentially every corporation regardless of gross revenue. Self-employment, rental property, investments sold during the year, a move between provinces and foreign income are where self-filed returns most often go wrong.

First Nations, Inuit and Métis individuals pay the same federal and provincial taxes as everyone else, with one narrow exception. Under the Indian Act, a registered status Indian is exempt on income situated on a reserve, judged by connecting factors such as where the work is performed and where the employer is based. Off-reserve employment income is taxable. Related rules can relieve GST/HST on goods delivered to a reserve. Métis and non-status individuals do not get the exemption.

For an unincorporated business the 2025 return was due 15 June 2026 because of self-employment, but any balance owing had to be paid by 30 April 2026. For an incorporated business the T2 return is due six months after the fiscal year end, with the balance due two months after year end, or three months for an eligible Canadian-controlled private corporation claiming the small business deduction. GST/HST returns and payroll remittances run on their own separate schedules.

Not everyone owes income tax, though almost everyone touches the system. Income tax starts once taxable income passes your personal credits; the federal basic personal amount for 2026 is $16,452, tapering to $14,829 at higher net income. Filing still matters with nothing owing, because benefits and credits are calculated from the return. Sales tax, payroll contributions and fuel or tobacco taxes reach people who pay no income tax at all.

Land transfer tax is provincial and is charged on the purchase price, usually on a graduated scale, so the cost depends on the province and the price. Buyers in Toronto pay a municipal land transfer tax on top of Ontario's. Alberta, Saskatchewan and the territories charge registration or transfer fees instead of a full tax. Several provinces offer first-time buyer rebates, and non-resident buyers can face extra tax. Use your province's own calculator before closing.

A write-off is everyday language for claiming a deduction. A legitimate expense reduces the income you are taxed on, so it saves tax at your marginal rate, not the full amount spent. Only expenses incurred to earn income qualify, they must be reasonable, and you need receipts. Some claims are capped by rule: business meals and entertainment are deductible only in part, and the cap applies to the sales tax and the tip as well as the food, with a few exceptions such as employer-hosted events and long-haul driving.

Instalments are prepayments toward the current year's tax, not next year's. The CRA asks for them when too little tax is withheld at source and your net tax owing passes a set amount in the current year and in one of the two previous years, which is common for self-employed people, landlords, investors and pensioners. Reminders arrive with suggested amounts, or you can pay on your own estimate. Underpaying attracts instalment interest, so follow the reminder if unsure.

File on time anyway, then deal with the balance separately, because the late-filing penalty is avoidable even when the payment is not. The CRA accepts payment arrangements, where you propose instalments you can meet and usually disclose income and expenses to support them. Interest keeps running, so pay what you can immediately and arrange the remainder. Where penalties and interest built up through illness, disaster or CRA delay, Form RC4288 asks for taxpayer relief. A free 15-minute consultation can help you choose the route.