If you worked in any of these countries, you could be due a Tax Refund

The Canadian tax payment deadline has been extended. Here's everything you need to know!

#TaxTipsCanada

If you owe taxes to the Canadian government, you now have until the end of September to pay your bill.

The Canadian tax authorities – Canada Revenue Agency (CRA) – have extended the payment deadline to 30 September for individuals, corporations and trusts.

The deadline had been 1 September.

The announcement has no doubt brought immediate relief to those who owe money on their tax return.

What’s more, the CRA is waiving interest on existing tax debts related to individual, corporate, and trust income tax returns from 1 April - 30 September 2020.

Interest on existing tax debts from 1 April - 30 June 2020 for goods and services tax/harmonized sales tax (GST/HST) is also being waived.

The CRA has clarified that it will not cancel penalties and interest on a taxpayer's account that has already been assessed prior to the above period. Interest will not continue to accumulate on existing tax debt during these periods.

However, penalties and interest on 2019 tax liabilities will be enforced on any payments that are not made before the 30 September deadline.

What happens if I don’t pay my tax bill?

Should you discover that you owe a tax liability to the CRA, you are legally required to pay your tax bill.

If you do not pay your tax bill, you may be hit with fines or penalties from the CRA. If you are a non-resident in Canada, you may also jeopardise your future Canada visa applications.

Penalties

The penalty for is 5% of the amount you owe, plus 1% of the balance for each full month your return is late, up to a maximum of 12 months.

 

What happens if I don’t file my tax return?

You are legally required to file a tax return if you owe money to the Canadian government.

Earlier this year the Canadian tax filing deadline was extended to 1 June.

This deadline remains unchanged.

However, the CRA has said that they will not impose late filing penalties (on 2019 filing) provided that the return is filed by 30 September 2020.

Even if you do not have a tax liability, it’s still a good idea to file your tax return as you may be entitled to claim a tax refund.

The CRA has paid out more than $34bn in tax refunds so far this year. So it’s definitely a good idea to check out whether you can claim any tax reliefs.

The average Canadian tax refund is $998. And you can get a FREE estimate of what you’re owed.

The average Canadian tax refund is $998

GET YOURS NOW

I can’t pay my tax liability in full. What should I do?

If you cannot pay the tax balance you owe in full, you may be able to arrange a partial payment schedule with the CRA.

How can I reduce my Canadian tax liability?

Are you sure you’re availing of every Canadian tax entitlement you’re due?

When you file with Taxback.com, our team will carry out a full review of your Canadian tax profile to ensure you are claiming everything you’re entitled to.

Our average Canadian tax refund is $998.

Benefits of applying with Taxback.com

  •  Simple and fast online process – no complicated forms
  •  Your compliance with the CRA guaranteed
  •  You will receive your maximum refund – we transfer your money straight to your bank account anywhere in the world
  •  FREE tax refund estimate
  •  Lost your tax documents? We offer a document retrieval service

Got questions about Canadian taxes? No problem! Our Live Chat team is here to help you 24/7. Get in touch any time!

The average Canadian tax refund is $998

GET YOURS NOW

About The Author

Mark Corcoran - Digital Content Executive @ Taxback.com

Mark is the Digital Content Executive at Taxback.com. Since graduating from Griffith College Dublin with a degree in Journalism and Visual Media, his work has been published both in print and online.

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