The COVID-19 Outbreak Will Change Your Tax Return Filing DeadlineBrian Jang ON April 18, 2020
During these unprecedented times, many people’s personal and professional lives have been uprooted, causing worry and financial hardship. Fortunately, the Government of Canada is offering a helping hand to Canadian taxpayers.
CRA Extends Tax Filing Deadline
Due to the COVID-19 pandemic, the Canada Revenue Agency (CRA) has made some changes to the tax filing deadline. Instead of having to file your taxes on April 30, you now have until June 1 to submit your tax return. What’s more, Canadians with outstanding balances owing will have had their deadlines pushed to July 31, interest free.
The CRA will also be giving businesses some much needed breathing room come tax time. Companies can now hold off on paying their taxes until July 31, without paying any interest or penalties.
Plus, the CRA will be providing relief related to income tax filing and payment dates for charities.
There are several tax measures the government has implemented to provide relief to Canadians, including:
- Offering of extension of filing deadlines for individuals and trusts.
- Offering an extension of payment deadlines for most taxpayers up to September 1, 2020 (for amounts due on or after March 18 and before September 1, 2020).
- Permitting electronic signatures on forms, including the T183 and T183CORP.
- Lowering the minimum withdrawals from RRIFs by 25% for 2020.
- Halting contact with taxpayers for audits (with certain exceptions), including no new audits being launched, no audits being finalized, and no reassessments being issued.
- Extending notices of objections with a due date on or after March 18, 2020 to June 30, 2020.
- Suspending collection activities on new tax debts until further notice, with indications that flexible payment arrangements will be available, on a case-by-case basis, for amounts becoming due.
Getting through this unique time is tough enough without having to add the pressures of tax season. Hopefully, these changes to the tax filing deadline will help make things a little easier for Canadian taxpayers during the COVID-19 outbreak.
For more information on these changes, please contact BCJ Group.