Penalties and Interest

Late T1, T2, T3 income tax return filings

• Penalty – 6% of unpaid tax plus 1% of unpaid tax for each complete month to a maximum of 12 months

Late HST return filings

• Penalty – 1% of any unpaid tax plus 0.25% for each complete month the return is outstanding, to a maximum of 12 months (total penalty maxes at 4%)

Late HST and income tax payments

• Interest – T-Bill rate plus 4%

Late T3, T4, T5, NR4 & T5018 information return filings

• Penalty – greater of $100 or $10-$75/day times the number of days (to a maximum of 100 days)

Late T5013 information return filings

• Penalty – $25/day to a maximum of $2500

Dislclaimer – The above list is not exhaustive. Tax laws are subject to change and this website may not have the latest information. Prior to making any decisions, please feel free to contact us or visit CRA website for latest information.