5 tax deadline dates to mark on your calendar
Spring looms large for most Canadian taxpayers, but for farmers, there are numerous other tax deadlines to consider.
There’s always another tax deadline on the horizon.
“There’s always another deadline on the horizon,” says Ryan Kehrig, a partner at MNP in Saskatoon, Sask. “And many of these deadlines depend on the type of business structure that you are in.”
Early in the calendar year, there are deadlines for delivery of T4 employment remuneration slips and T5 income and dividend slips, which must be issued to you by Feb. 28.
March 31 is the filing deadline for T3 trusts, falling 90 days after the end of the preceding year. Also due March 31 are T5013 slips, a tax income information return for farm owners with corporate or trust partners.
With various deadline dates falling throughout the year, here is an overview of five important tax considerations and their deadlines to mark in your calendar.
For individuals with self-employment income and a Dec. 31 year-end, June 15 is the HST filing deadline, and April 30 is the payment deadline for any HST owing, says Kurt Oelschlagel, BDO’s national agriculture tax leader in Hanover, Ont.
Deadlines for partnerships and corporations that file HST annually are three months after the fiscal year-end. Many farmers file at least quarterly based on their fiscal quarter, and the returns are due one month after the end of the quarter.
Kehrig notes that the size of the farming operation impacts HST filing deadlines for partnerships or corporations.
“The size of your operation and gross revenues dictate how frequently you file, and it could be monthly, quarterly, etc.,” Kehrig says.
The Underused Housing Tax (UHT) applies to any residential property held by a private Canadian corporation, partnership or trust on Dec. 31 of the year prior. The UHT came into effect in 2022. Check the Canada Revenue Agency website and with your accountant for full details.
Oelschlagel stresses that many farm corporations and farm partnerships will be obliged to file a UHT return, even if they owe no UHT. A separate return is required for each property that must be reported.
Returns for those with self-employment income, like farmers, are due June 15, but any income tax owing is still due April 30.
Corporate tax returns, however, are a bit more fluid.
“There’s no requirement for a corporation to have a year-end that aligns with the calendar year-end,” notes Kehrig.
For most Canadian farming corporations, tax returns don’t have a filing deadline until six months after year-end.
For most active corporations, three months after year-end is when the interest starts to accrue on any unpaid tax balances owing. However, this can be two months in certain situations.
As AgriInvest is federal, the deadline for everyone to submit their AgriInvest form is Sept. 30, Oelschlagel says.
Producers can still submit up to Dec. 31 but will be deducted a five percent per month reduction to the matchable deposit, he adds.
Initial filing deadlines for provinces where the federal government administers AgriStability are also in September. Dec. 31 is the final filing deadline, but it has a penalty.
“If you send your form after the initial filing deadline, your payment will be reduced — if you receive one — by $500 for each month or part of a month past the initial deadline up to the final deadline,” Oelschlagel explains.
AgriStability is delivered by the federal government in Manitoba, Newfoundland and Labrador, Nova Scotia, New Brunswick and Yukon.
Provinces delivering AgriStability are Ontario, B.C., Alberta, Saskatchewan, Quebec and Prince Edward Island. Reporting deadlines vary by province.
For example, in Ontario, individuals must submit their T1163 to CRA by June 15. When their T1163 is submitted to CRA, Agricorp receives the data for AgriStability, and Agriculture and Agri-Food Canada receive the data for AgriInvest.
Corporations, trusts and special individuals must submit their Statement A by June 30 to AgriCorp, which uses the data for AgriStability and sends it to AAFC for AgriInvest.
With farmers facing many income tax deadlines and various personal circumstances and work arrangements, an accountant can help navigate the various programs and due dates.
Further reading and resources about taxes for farmers:
Article by: Richard Kamchen