Filing
The deadline for filing your personal tax return is April 30.
Late filed returns are subject to a penalty of 5% of the balance owing, plus 1% per month, to a maximum of 17%. If a late-filing penalty was charged in any of the last three years, your late-filing penalty will be 10% of the balance owing, plus 2% per month, to a maximum of 50%.
Interest will also be charged on any balance owing after April 30th. The current interest rate (December 2016) is 5%.
Paper returns can be mailed to:
Canada Revenue Agency, Tax Centre, PO Box 4000 STN Main, Shawinigan QC G9N 7V9
Requests to change a return can be made by sending a letter or by completing form T1-ADJ and faxing it to CRA 1.819.536.7135
Payments
It is recommended that any balance owing be paid electronically via your online banking system. Add “CRA – Balance due on filing” as a payee. Your account number is your nine-digit social insurance number.
You can also mail a cheque (include your social insurance number) to:
Canada Revenue Agency, Ottawa Technology Centre, 875 Heron Road, Ottawa, ON K1A 1B1
Quebec payments can be mailed to:
Revenu Quebec, CP 8025, succursale Place Desjardins, Montreal (Quebec) H5B 0A8
Instalments
You have to pay income tax by instalments if your net tax owing will be more than $3,000 AND it was more than $3,000 in either of the two previous years. CRA will send you a reminder notice with a suggested instalment amount based on your previous year’s return. Interest will be charged if required instalments are not paid when your tax return is assessed.
Instalments can be paid via your online banking system. Add “CRA – Instalment” as a payee. Your account number is your nine-digit social insurance number.