Falling behind on tax filings is more common than most people think — and always fixable. Here's how to catch up with minimum penalties.
Why File Late Rather Than Not At All
If you owe money: CRA charges a 5% late-filing penalty plus 1%/month up to 12 months. If you're owed a refund: no penalty at all — just collect your money. The worst outcome is always not filing.
Getting Past-Year Documents
- Log into My Account at cra.gc.ca to download T4s, T5s going back 10 years
- Call CRA (1-800-959-8281) to request past slips by mail
- Download financial institution slips from online banking
NETFILE for Past Returns
CRA's NETFILE accepts returns going back to 2016 through most tax software. Older returns require paper filing.
Quebec Late TP-1 Returns
Revenu Québec's penalty: 5% of balance owing plus 1%/month for up to 20 months (maximum 25%). Filed separately from federal returns.
File All Years at Once
If multiple years are outstanding, file all simultaneously through a tax professional. This allows optimization of carry-forwards (RRSP room, capital losses) across years and minimizes total taxes owing across the whole period.