Frequently Asked Questions
Tax Instalments
Whether you need to pay personal or business tax instalments, and when.
Do I have to pay personal tax instalments?
- If your balance owing was over $3,000 in either of the previous two years, and you will owe that amount or more in the current year, then you should make quarterly instalments (, , , ).
- The letter attached to the personal income tax return we prepared for you last year will have your instalment requirements for the current year.
- One option is to take the amount you owed last year, divide that amount by 4 and remit that amount every quarter.
Do I have to pay business tax instalments?
- Federal tax instalments are required for corporations owing more than $3,000 in the last income tax return.
- Federal corporate instalments are required monthly.
- Most corporations can take the amount they owed last year, divide it by 12 and remit that amount every month.
- For active small businesses there is no instalment required for the taxes due to the Alberta government. These taxes are due three months after your year-end date.
Tip: Interest will be assessed on any required unpaid instalments at the prescribed rate. If you overpay your instalments, you are entitled to get the excess refunded or applied to your next year’s instalment account.
CRA links for more information
More answers
Deadlines, payments & slips
Tax Deadlines
When personal and corporate returns are due, and when interest and penalties start.
Read the answer →Payments to the CRA
Ways to pay a balance owing to the Canada Revenue Agency electronically.
Read the answer →GST Questions
When to register, choosing a reporting period, showing your GST number, and closing an account.
Read the answer →Filing T4s
Who must file T4 slips, the filing deadline, and where to get help.
Read the answer →Have a question that isn’t answered here?Let's talk.
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