As with every new year, 2022 has its own set of payment and filing deadlines that every taxpayer needs to know about.
To help you out, in this blog we’ve listed the most significant dates and information that you will want to make note of. If you need further tax return help, please do contact one of our chartered professional accountants today!
Tax installments
If you’re like the many Canadians who pay quarterly installments, you may be wondering when they are due in 2022.
The General rule is that installments are due on the 15th of March, June, September and December. If the 15th falls on a Saturday or Sunday, you have until the following Monday to pay your installment.
In 2022, the tax Installment deadlines are:
- Tuesday, March 15, 2022
- Wednesday, June 15, 2022
- Thursday, September 15, 2022
- Thursday, December 15, 2022
If your installment is greater than $1,000, you may be subject to an installment penalty if these amounts are paid late. For information on the Installment Penalty, visit the CRA Website.
Individual tax filing (not self-employed)
Normally taxes are due on April 30 of any given year but because April 30 is on a Saturday this year, the tax due date has been adjusted. For most individual taxpayers, the filing deadline for their 2021 tax return is Monday, May 2, 2022.
If you file your return late, you will be subject to a 5% penalty on unpaid taxes, plus 1% of unpaid taxes for each full month that the return is late - up to 12 months (12%). This could be higher if a return was filed late in any of the past three years.
Self employed individual tax filing
If you or your spouse are self-employed, your filing deadline is later in the year on Wednesday, June 15, 2022.
Like individuals who are not self-employed, you will be subject to a penalty of 5% on any unpaid taxes, plus 1% of unpaid taxes for each full month that the return is late - up to 12 months (12%). This could be higher if a return was filed late in any of the past three years.
Individual tax payment
The tax payment deadline for all individual taxpayers, including those who are self-employed and their spouses, is Monday, May 2, 2022. If you are late making a payment, you will be charged interest, compounded daily, starting May 3, 2022.
Final tax return for deceased
If the deceased passed away between January 1 and October 31, 2021 their final tax return is due on Monday, May 2, 2022. If they passed away between November 1 and December 31, 2021 their final return is due six months after the date of their passing.
Example: Deceased passed away November 17, 2021, return is due May 17, 2022.
Depending on the circumstances, if you file a deceased person’s return late, the return may be subject to a 5% penalty on unpaid taxes, plus 1% of unpaid taxes for each full month that the return is late - up to 12 months (12%). This could be higher if a return was filed late in any of the past three years.
Corporate tax returns
Corporations are required to file their tax returns no later than six months after their fiscal year end. If the last day of your sixth month period falls on a Saturday, Sunday or public holiday, you have until the following business day to file your return.
Examples:
- Year end is December 31, 2021 - your tax return must be filed by June 30, 2022.
- Year end is March 31, 2022 - your tax return must be filed by September 30, 2022.
- Year end is February 12, 2022 - your tax return must be filed by August 12, 2022.
If you file your return late, you will be subject to a 5% penalty on unpaid taxes, plus 1% of unpaid taxes for each full month that the return is late - up to 12 months (12%). This could be higher if a return was filed late in any of the past three years.
Additional late fees could apply for large corporations required to file a T2 or Schedule 38. See the CRA Website for information on these late filing penalties.
For more information on upcoming deadlines and the filing of your tax return, contact us today!
