When Is Your T2 Due?
Every Canadian corporation must file a T2 Corporation Income Tax Return — even with zero revenue or activity. The deadline is tied to your fiscal year end, not the calendar year:
| Requirement | Deadline |
|---|---|
| T2 return filing | 6 months after fiscal year end |
| Balance owing (most corporations) | 2 months after fiscal year end |
| Balance owing (CCPCs claiming small business deduction) | 3 months after fiscal year end |
⚠️ Two Different Deadlines
The filing deadline and the payment deadline are not the same. Tax owing is due 2–3 months after year end, but the return itself isn't due until 6 months after. Filing on time doesn't protect you from late-payment interest if the balance wasn't paid earlier.
Do I Need to File With No Revenue?
Yes. Every active Canadian corporation — including dormant or inactive ones — must file a T2 annually until it's formally dissolved. There's no revenue threshold that exempts you.
DIY Software vs. a Tax Preparer
Several CRA-certified software options exist for filing your own T2 — UFile T2, FutureTax T2, and CloudTax T2 among them. These can work well for a simple corporation with straightforward books. Where DIY software gets risky:
- Multiple shareholders or complex share structure
- Shareholder loan accounts (s.15 compliance)
- Provincial schedules beyond the basics
- Bookkeeping that isn't already reconciled
- Prior-year errors that need correcting
If your books are clean and your corporation is simple, software can work. If you're not confident in the numbers going in, a preparer catches issues before they become a CRA problem.
What Happens If You File Late?
Late-filing penalties are 5% of unpaid tax, plus 1% per additional month late (up to 12 months) — doubled if you were penalized for late filing in any of the three prior years. Interest also accrues daily on any unpaid balance from the original due date, compounding the cost the longer it goes unfiled.
Filing Small Business Taxes for the First Time
If this is your corporation's first T2, a few things are worth knowing before you file:
- Confirm your fiscal year end (set at incorporation, or chosen in your first return)
- Reconcile your books before filing — don't file from unreconciled statements
- Gather your incorporation documents and CRA Business Number
- Decide on director compensation structure (salary vs. dividends) before year end, not after