Generally, corporations have to pay their taxes in instalments. An instalment payment is a partial payment of the total amount of tax payable for the year. The Income Tax Act requires corporations to make instalment payments so that they are treated the same as taxpayers who have tax deducted from their income at source.
- Instalment requirements
Find out if you have to pay instalments. What are your instalment options? How to calculate your instalment payments (worksheets and examples).
- When you do not have to pay instalments
Situations where instalments are not required, including the $3,000 threshold amount.
- Rules for special situations
Situations that may affect your instalments like short tax years, amalgamations, wind-ups, transfers, and changes of control.
- Instalment due dates
Includes examples to help you determine your instalment due dates.
- When we charge interest and penalty
Includes an example of our calculation.
Forms and publications
- Corporation Instalment Guide (T7B-CORP)
- Form T2WS1, Calculating estimated tax payable and tax credits for 2016
- Form T2WS2, Calculating monthly instalment payments for 2016
- Form T2WS3, Calculating quarterly instalment payments for 2016
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