Corporate tax instalment due dates: monthly or quarterly in Canada?

Confirm the requirement before choosing the frequency

First establish whether the corporation must pay instalments. Then check its permitted schedule. CRA generally requires monthly instalments, with quarterly payment available to qualifying Canadian-controlled private corporations.

The quarterly conditions include CCPC status, a perfect compliance history and the applicable taxable-income and taxable-capital tests, including associated corporations. A small number of employees or a quarterly GST/HST account does not by itself establish quarterly corporate-tax eligibility.

Use the corporation's tax year

Monthly instalments are generally due on the last day of each month of the tax year. Eligible quarterly payments are generally due at the end of each complete quarter of that tax year. Confirm short-year rules and any change in eligibility with the current CRA guidance.

For a calendar-year corporation, a quarterly planning pattern runs through March, June, September and December. A different fiscal year-end needs its own schedule. Check weekend and recognized-holiday adjustments rather than copying another company's dates.

Organize the amount and approval handoff

• Have the accountant confirm the instalment requirement, calculation option and frequency.
• Agree when each amount will be reviewed before payment.
• Identify who authorizes the bank transfer.
• Keep references and reconcile the account after payment.
• Review the plan when circumstances or eligibility change.

The calendar is a working list of dates and evidence. It does not decide the corporation's taxable income or choose the most appropriate instalment calculation.

Keep three sets of tasks visible

In the corporate profile, select the verified instalment setting and fiscal year-end. Keep instalments separate from the final balance and the T2 filing date. A payment during the year does not prove the year-end balance is settled, and neither payment establishes that the return was filed. Provincial corporate tax accounts with separate administration need their own review.