Every business owner in Ottawa, from Kanata’s tech hubs to the ByWard Market’s local shops, knows the significance of staying on top of financial responsibilities. The Canada Revenue Agency (CRA) sets numerous deadlines throughout the year, and neglecting them can mean penalties. Here’s a comprehensive breakdown of these critical dates, including essential thresholds to be aware of:
1. Individual Income Tax (T1)
Deadline: April 30th
Every Ottawa resident should file their personal income tax by this date. If you or your spouse run a business, the deadline extends to June 15th. However, taxes owed are still due by April 30th to prevent accruing interest.
2. Corporate Income Tax (T2)
Deadline: 6 months after the end of your corporation’s fiscal year.
Local corporations, big or small, need to file their T2 return annually. Ensure it’s submitted within six months after your corporation’s fiscal year-end to steer clear of penalties.
3. GST/HST Returns
Thresholds & Deadlines:
The filing frequency for GST/HST is based on your business’s total annual taxable supplies:
- Monthly Filers: For businesses with over $6 million in annual taxable supplies. Deadline: One month after the end of the reporting period.
- Quarterly Filers: For businesses with $1.5 million to $6 million in annual taxable supplies. Deadline: One month after the end of the reporting period.
- Annual Filers: For businesses with less than $1.5 million in annual taxable supplies. Deadline: Three months after the fiscal year-end.
4. Payroll Deductions
Thresholds & Deadlines:
Businesses in Ottawa with employees have different remittance frequencies, determined by their average monthly withholding amount:
- Regular Remitters: For new employers. Deadline: 15th of the month after the deductions were made.
- Quarterly Filers: For employers whose average monthly withholding amount was less than $3,000 in both the preceding and the one before it. Deadline: 15th of the month following the end of the quarter.
- Accelerated Remitters: For employers with an average monthly withholding amount over $25,000. Deadline: Part I: 25th of the current month, Part II: 10th of the next month.
5. T-slips
Deadline: Last day of February
If you’re an Ottawa business issuing T4 or T5 slips, distribute these to your employees or recipients by this date and forward a copy to the CRA.
6. Trust Income Tax (T3)
Deadline: 90 days after the trust’s tax year-end
If you’re an administrator of a trust, ensure the T3 return is submitted within this window.
7. Partnership Information Return (T5013)
Deadline: 5 months after the partnership’s fiscal period-end.
For partnerships throughout Ottawa, the T5013 form breaks down the fiscal period’s income, deductions, and credits.
8. RRSP Contributions
Deadline: March 1st (for the previous tax year)
Making contributions to an RRSP is a savvy way for Ottawa residents to slash their personal tax bill. Ensure your contributions are in by this date to qualify for the previous tax year’s deductions.
Conclusion
Being compliant with CRA deadlines is a must for every Ottawa business. It not only ensures smooth operations but also helps establish a reputation of reliability in the community. If managing these dates seems daunting, consider reaching out to a local Ottawa accounting firm for expert guidance.
