When is the T2 due for a December 31 year-end?

The T2 return is due June 30 of the following year. The balance of tax owing is due earlier, at the end of March if the corporation qualifies for the three-month rule, or the end of February otherwise. If a deadline falls on a weekend or a holiday the CRA recognizes, the next business day applies.

Can I pay my corporate tax when I file the T2?

You can, but you'll pay interest if the payment comes after the balance-due date. For most corporations that is two or three months after year-end, well before the six-month filing deadline. A safer approach is to pay an estimate by the balance-due date and settle any difference when you file.

Does my corporation have to file a T2 if it made no money?

In most cases, yes. Corporations resident in Canada generally must file a T2 every year, even with a loss or no activity. If you think your corporation might be an exception, confirm with an accountant or on canada.ca.

How do I know if my corporation gets three months to pay?

Generally, it must be a CCPC throughout the year and claim the small business deduction for the current or previous year. Its previous-year taxable income must also be within its business limit. If it is associated with other corporations, the test uses the combined taxable income of all the associated corporations against their combined business limits. Associated-company rules can be tricky, so check with your accountant if you're not sure.

Guide

T2 Filing Deadline: When to File and When to Pay

Updated October 29, 2026 Checked against 8 canada.ca sources

A corporation's T2 return is due six months after the end of its tax year. The tax owing is due much sooner, usually two or three months after year-end. Many owners get caught by this. They see a June 30 filing deadline for a December 31 year-end and assume the tax can wait until June too. It can't.

This guide explains both deadlines, who gets the extra month to pay, and how the dates work out for common year-ends. It also shows how to plan your books so you can estimate your tax before the payment date, not after.

Key points

Your T2 return is due six months after your corporation's tax year ends.
Any balance of tax owing is generally due two months after year-end, or three months for many small Canadian-controlled private corporations (CCPCs).
Interest starts on unpaid tax from the balance-due date, even if you file the return on time.
Most Canadian corporations must file a T2 every year, even if they owe no tax.
Plan your bookkeeping around the payment date, because you need a reasonable tax estimate before you file.

The filing deadline: six months after year-end

The Canada Revenue Agency (CRA) expects your T2 within six months of the end of your corporation's tax year. Your tax year is your fiscal period, and it doesn't have to match the calendar year.

How you count the six months depends on the day your year ends:

If your year ends on the last day of a month, the return is due on the last day of the sixth month after. A February 28 year-end means the return is due August 31.
If your year ends on any other day, the return is due on the same day of the sixth month after. A September 15 year-end means the return is due March 15.
If a deadline falls on a Saturday, Sunday or public holiday the CRA recognizes, it treats your return or payment as on time if it arrives by the next business day. Some provinces and territories have their own holidays, so check the CRA's public holidays list on canada.ca.

The payment deadline: two or three months after year-end

The balance of tax owing for the year is due well before the return. The general rule is two months after the end of the tax year.

Many small corporations get three months instead. To qualify, all of these must be true:

The corporation was a CCPC throughout the tax year.
It claims the small business deduction for the current year or the previous year.
Its taxable income for the previous year did not exceed its business limit for that year. If it is associated with other corporations, the test uses the combined taxable income of all the associated corporations against their combined business limits.

Checking whether you get the extra month

Whether your corporation meets these conditions can depend on ownership, associated companies and last year's income. If you're unsure, ask your accountant early. Getting it wrong by a month means interest.

Confirm the current business limit and the exact conditions on canada.ca before relying on the three-month date.

Worked examples by year-end

Here is how the dates line up for some common year-ends. These are general examples. Your own dates depend on your year-end and on whether you qualify for the three-month payment rule.

December 31, 2025 year-end: the balance owing is due March 31, 2026 if you qualify for three months. February 28, 2026 falls on a Saturday, so a two-month payer has until the next business day, Monday, March 2, 2026. The T2 return is due June 30, 2026.

March 31, 2026 year-end: the balance owing is due June 30, 2026 with three months. With two months it is due May 31, 2026, which falls on a Sunday, so the next business day (Monday, June 1, 2026) applies. The T2 return is due September 30, 2026. That day is the National Day for Truth and Reconciliation, a public holiday the CRA recognizes, so the return is on time if it arrives by the next business day, Thursday, October 1, 2026.

June 30, 2026 year-end: the balance owing is due September 30, 2026 with three months. Because that day is a public holiday the CRA recognizes, payment by Thursday, October 1, 2026 is on time. With two months it is due August 31, 2026. The T2 return is due December 31, 2026.

August 31, 2026 year-end: the balance owing is due November 30, 2026 with three months. With two months it is due October 31, 2026, which falls on a Saturday, so the next business day (Monday, November 2, 2026) applies. The T2 return is due February 28, 2027, which falls on a Sunday, so the next business day (Monday, March 1, 2027) applies.

Notice the pattern. For a three-month payer, there are about three months between paying and filing. That gap is the trap. If you wait to do your books until just before the filing deadline, you'll find out what you owed long after it was due.

What happens if you miss either date

The two deadlines carry different consequences, so treat them separately.

Missing the payment date: the CRA charges interest on any unpaid balance from the balance-due date, compounded daily at its prescribed rate. This applies even if you file the return on time. Suppose you file in June and discover you owed $5,000 (a hypothetical figure). Interest on that $5,000 has been building since the payment date.

Missing the filing date: if you file late and owe tax, the CRA can charge a late-filing penalty on top of interest. The penalty is 5% of the tax unpaid at the filing deadline, plus 1% of that unpaid tax for each complete month the return is late, up to 12 months. A larger penalty (10%, plus 2% a month for up to 20 months) can apply if the CRA issued a demand to file and also assessed a failure-to-file penalty in any of the three previous tax years. Check canada.ca for the current penalty rules and the prescribed interest rate, which changes quarterly.

Owing nothing doesn't remove the obligation. Most corporations resident in Canada must file a T2 every year, including those that had a loss or no activity. If your corporation is due a refund, the CRA requires the return to be filed no later than three years after the end of the tax year to receive it.

Instalments: tax that's due during the year

Some corporations must pay instalments, monthly or quarterly, during the year. Whether you need to depends on how much tax the corporation owed in the current or previous year compared with a threshold set by the CRA. Confirm the current threshold and options on canada.ca.

If you pay instalments, the balance owing at two or three months is whatever is left after them. If you were required to pay instalments and paid late or too little, instalment interest can apply as well. Your accountant can tell you whether instalments apply and which method gives the lowest required payments.

Planning your year-end so you hit both dates

Work backwards from the payment date, not the filing date. Here is a practical timeline for a three-month payer:

Month 1 after year-end: get every bank and credit-card statement for the year, and finish categorizing and reconciling transactions.
Early month 2: send the year-end package to your accountant. Include questions on items like large e-transfers, owner draws and possible equipment purchases.
Month 3: get a tax estimate from your accountant and pay the estimated balance before the due date.
Months 4 to 6: finalize the financial statements and file the T2 by the six-month deadline. If the final figure is higher than you paid, pay the difference right away to limit interest.

Keeping the books current

The step that usually slows owners down is the first one: clean, reconciled books. If your statements sit untouched all year, month 1 becomes month 4.

Business Tax Pro is one option for staying current. You upload bank and credit-card statement PDFs, and transactions are categorized with CRA GIFI codes and checked against each statement's opening and closing balances. You get a T2-ready year-end workbook to hand to your accountant. It prepares your books; it does not file your return with the CRA. (If GIFI codes are new to you, see our GIFI codes guide.)

Frequently asked questions

When is the T2 due for a December 31 year-end?: The T2 return is due June 30 of the following year. The balance of tax owing is due earlier, at the end of March if the corporation qualifies for the three-month rule, or the end of February otherwise. If a deadline falls on a weekend or a holiday the CRA recognizes, the next business day applies.
Can I pay my corporate tax when I file the T2?: You can, but you'll pay interest if the payment comes after the balance-due date. For most corporations that is two or three months after year-end, well before the six-month filing deadline. A safer approach is to pay an estimate by the balance-due date and settle any difference when you file.
Does my corporation have to file a T2 if it made no money?: In most cases, yes. Corporations resident in Canada generally must file a T2 every year, even with a loss or no activity. If you think your corporation might be an exception, confirm with an accountant or on canada.ca.
How do I know if my corporation gets three months to pay?: Generally, it must be a CCPC throughout the year and claim the small business deduction for the current or previous year. Its previous-year taxable income must also be within its business limit. If it is associated with other corporations, the test uses the combined taxable income of all the associated corporations against their combined business limits. Associated-company rules can be tricky, so check with your accountant if you're not sure.