Canadians have been given more time to pay their taxes.
The Canada Revenue Agency (CRA) has extended the deadline for people to pay their taxes to September 30 for individuals, corporations and trusts. Penalties and interest on 2019 taxes will accrue if payments are not made by the new September deadline.
The federal government extended the tax payment deadline from the end of April in a bid to keep more money in the economy as it went into a sharp downturn due to the COVID-19 pandemic. Federal estimates put the short-term cost of the delay at $55 billion, which the government plans to recoup with the new payment deadline now in place.
Anyone who doesn't file their income taxes on time could be cut off from federal benefits such as the Canada Child Benefit, or have to repay some of the money from those benefits if there's a large change from their previous year’s tax return.
