The Real Cost of Missing the April 30 Tax Deadline


We know, life gets hectic, and it can be easy to forget an appointment or deadline here and there, but, it’s best not to forget to file your taxes on time, especially considering that the Canada Revenue Agency (CRA) gives you a whole year to prepare.

Here is why it is important to file your taxes on time, and what happens if you miss the April 30th tax deadline.


Missed the Tax Deadline: But do not owe taxes

If you file after the April 30th Tax Deadline but you do not / will not, owe any taxes to the CRA, then there will not be any late filing penalties charged, or interest to pay on a balance owing (unless you already have a balance owing). The CRA will hold your refund until you actually file your return, and they will also hold off on any refunds or tax credits for other people, such as a spouse or common law partner, where the calculation of the refund is dependent on information from your return.  Examples would be the Canada Child Benefit (CCB) or the GST/HST Credit.


Missed the Tax Deadline: Owe taxes

If you owe taxes to the CRA for the 2018 tax year and don’t file your tax return by the deadline, the CRA will charge you a late-filing penalty as well as compound daily interest on the penalty, which begins on May 1st, 2019.

If you have amounts owing from previous years, the CRA will continue to charge compound daily interest on those amounts. Payments you make are first applied to amounts owing from previous years beginning with penalties and interest.

Your penalties for filing late will be calculated like this:

  • 5% of the balance owing as late filing penalty
  • 1% of the balance owing as additional penalty for every full month you’re late (up to a maximum of 12 months)
  • Interest charged on the above penalty
  • Additional compound daily interest on the balance owing based on prescribed rates by the CRA

If you have become a chronic late-filer, and have been assessed a late filing penalty before, then the CRA has the option to double the late filing penalty for each late filing.  The monthly penalty for each additional month that you are late also increases, beginning from 1% a month to 2% a month (up to a maximum of 20 months).


Self-Employed Deadlines

Self-employed individuals often have balances owing, since their income tax is not deducted at source like it is for salaried individuals, and that balance must be paid to the CRA by April 30th, even though their deadline to file is June 17th, 2019.

Don’t get stuck with late filing penalties and interest charges this year. Get your taxes done before midnight on April 30th, 2019.


Need Help with Filing your Taxes?

No worries. RGB Accounting, your Mobile Accounting & Tax Solution, has the expertise YOU need to deal with your Personal or Business Tax situation and it’s OPEN all year round to provide YOU with Peace-of-Mind in all Tax related issues.

It’s YOUR choice. Call us at 416-932-1915 or email us at [email protected] and get your tax situation solved by out TAX specialists ASAP.


Source: Intuit Canada.


Events & Sponsorship

Talent Kids Event 2017

August 19, 2017 RGB Accounting has proudly sponsored the 2017 Talent Kids event organized by Pecora Events on August 19th. RGB Accounting wants to thank organizers, presenters, judges, and all participants for making this a great event. Here we share some of the...

Los Nocheros USA/Canada Tour 2017

June 02, 2017 Argentina's biggest folkloric phenomenon arrived in Toronto, Canada to celebrate its 30 years trajectory. RGB Accounting was one of the sponsors of the event. More from our blog   Newsletters Events & Sponsorship Articles &...

2nd Latin American Entrepreneur Conference

May 29, 2017 The Entrepreneur Conference was organized by the City of Toronto's Economic Development & Culture department in partnership with the Latin American Bi-Lateral Trade Initiative (LABTI) which consists of the Consulate Generals of Argentina, Brazil,...

Tax Season 2017 at La Liga Indoor Soccer

April 29, 2017 RGB Accounting has been sponsoring social events to promote cultural values in the hispanic community of Toronto and the GTA. The During the last tax season, RGB Accounting helped many individuals and small business owners to prepare their taxes,...

Articles & Publications

Tax impacts of leaving Canada to live elsewhere

Tax impacts of leaving Canada to live elsewhere. You must carefully consider numerous tax impacts before deciding to leave Canada to live elsewhere. Analyzing the termination of your tax residence is a question of fact. Generally, the Canada Revenue Agency will...

Selling your business shares to a family member?

Selling your business shares to a family member?   A new law means significant tax relief when you pass your business on to your kids.   A recent change to Canada’s Income Tax Act (ITA) could reduce the tax sting associated with selling your business shares...

Tax changes in the latest fiscal update.

Tax changes in the latest fiscal update. If you're working from home, you can claim up to $500 for office expenses with the temporary flat rate method There were very few broad-based tax changes in the recently released federal government's fall economic statement....

COVID-19 Update January 2022

COVID-19 Update   Federal   Expanding Access to the Local Lockdown Program (December 22, 2021) The Department of Finance announced that the government intends to expand the Local Lockdown Program eligibility to access the wage and rent subsidies to more...

Lockdown Program and Worker Lockdown Benefit

The Government of Canada Temporarily Expands Access to Lockdown Program and Worker Lockdown Benefit From: Department of Finance Canada News release December 22, 2021 - Ottawa, Ontario - Department of Finance Canada The Government of Canada is committed to supporting...