Tax obligations as a farm business operator
By FBC Tax Consultants
August 3, 2016 - Running a farm can be a 24-hour job. You likely don’t have time for all the tax filings, paperwork and payments required by the government let alone trying to keep track of all the deadlines.
To ensure you have everything on your calendar, here is a list of tax dates including remittance payments, payroll deductions and GST/HST filings.
Tax deadlines and payments
- January 16 - December or quarterly payroll deduction payment due
- January 31 - Due date for filing and remitting (GST/HST) for the prior quarterly reporting period
- February 15 - January payroll deduction payment due
- February 28- Deadline for filing T4 Summary and supplementary slips. Deadline to make RRSP contributions for the previous tax year.
- March 15 – If you pay taxes by instalments, a payment is due before this date. Also February Payroll Deduction payment due
- April 15 - March or quarterly payroll deductions payment due
- April 30, 2016 - Deadline for individual T1 tax returns. Even if you’re self-employed, you must pay any taxes owing by this date or you will be charged interest. Also deadline to apply for AgriStability and submit program fees.
- May 1 - Due date for filing and remitting (GST/HST) for the prior quarterly reporting period
- May 15 - April payroll deduction payment due
- June 15- Deadline for self-employed persons to file tax return. If you or your spouse or common-law partner carried on a business your tax return has to be filed on or before June 15. However, if you have a balance owing, you still have to pay it on or before April 30. If you pay taxes by instalments, a quarterly tax payment is due also May payroll deduction payment due.
- July 15 - June or quarterly payroll deduction payment due
- July 31 - Due date for filing and remitting (GST/HST) for the prior quarterly reporting period
- August 15 - July Payroll Deduction payment due
- September 15 – If you pay taxes by instalments, a payment is due before this date. August payroll deduction payment also due
- September 30 – Deadline to submit the previous year’s AgriInvest application without penalty
- October 15 - September payroll deduction payment due
- November 15 - October payroll deduction payment due
- November 30 - Due date for filing and remitting (GST/HST) for the prior quarterly reporting period
- December 15 – If you pay taxes by instalments, a payment is due before this date. November payroll deduction payment also due
- December 31 - If your main source of income is self-employment income from farming or fishing, you have to make only one instalment payment by December 31. It’s also the deadline to submit AgriStability/AgriInvest Harmonized form with penalty.
If you’re incorporated, your corporation income tax return is due no later than 6 months after the end of the corporation tax year. The tax year of a corporation is its fiscal period.
If you hire contractors, the T5018 Statement of Contract Payments information return is due 6 months after the end of the reporting period you have chosen.
It can seem overwhelming. Your best decision may be to hire a bookkeeper and small business tax specialist to take care of this for you.
Hiring a small business tax professional will allow you to focus on more important things and maybe even allow a bit of free time to spend with family and on leisure activities.
FBC is Canada's Farm & Small Business Tax Specialist, providing tax accounting and bookkeeping services to over 20,000 farms and small businesses from Ontario to British Columbia. Our complete financial planning for farm and small business owners takes a long-term approach to address your specific needs at all stages of life and business, minimizing your taxes year after year. Year-round services include tax planning, tax optimization, business consulting and audit protection.