Benefits of filing and paying on time and online


Important facts

  • Why is it important to file and pay on time?
    Filing and paying on time means that your benefits and credit payments, such as the goods and services tax/harmonized sales tax (GST/HST) credit and the Canada child tax benefit won’t be delayed. It also means that if you owe money, you won’t be charged a late-filing penalty or interest.
  • What happens if I file and pay late?
    If you owe tax for 2011 and don’t file your return for 2011 on time, the CRA will charge you a late-filing penalty. The penalty is 5{cae2521f64dcff784c511b644c6cc8c98f9594c79acdd41ba953a724385391e5} of your 2011 balance owing, plus 1{cae2521f64dcff784c511b644c6cc8c98f9594c79acdd41ba953a724385391e5} of your balance owing for each full month that your return is late, to a maximum of 12 months. The penalty is higher if you are a repeat late filer.  

If you have a balance owing for 2011, the CRA also charges compound daily interest starting May 1, 2012, on any unpaid amounts owing for 2011. Even if you cannot pay all of your taxes owing right away, you should still file your return on time and pay what you can. If you file on time, you will avoid the late-filing penalty.

I filed online. Does the CRA need my receipts?

No. However, regardless of the filing method that you choose, keep all your records for at least six years after the end of the tax year to support your claims in case the CRA reviews your return.

 Canada Revenue Agency