Corporate tax
Missed the T2 filing deadline? The penalty can dwarf a year of reminders.
Finishing the books is only part of the job. The corporate return also needs to reach the CRA on time.
A CA$20,000 unpaid balance, two months late
For a standard late-filed T2, the penalty is 5% of unpaid tax due at the filing deadline, plus 1% for each complete month late, up to 12 months. With CA$20,000 unpaid at that deadline and a return two complete months late: $1,000 + ($200 × 2) = CA$1,400.
This is an illustration, not an assessment. Interest and other penalties can be separate. A higher repeat-filing penalty applies when CRA has issued a demand to file and assessed a failure-to-file penalty in any of the previous three tax years.
Already missed it?
Confirm the outstanding return and balance in your CRA account, work with your accountant to file promptly, and arrange payment. Keep the filing receipt. Review your next filing and payment dates separately rather than assuming they share one deadline.
Official sources
Reviewed October 31, 2026. Examples are hypothetical, not customer testimonials. General information, not tax advice. Confirm applicable rules and account-specific notices with the authority or your adviser.