Penalties for Failure to File an Information Return

If you fail to file an information return by the due date, Canada Revenue Agency may assess a late filing penalty. The penalty is the greater of $100 or:

No. information returns (slips) / Penalty (per day) / Maximum penalty

1 - 50 / $10 / $1,000

51 - 500 / $15 / $1,500

501 - 2,500 / $25 / $2,500

2,501 - 10,000 / $50 / $5,000

10,001 or more / $75 / $7,500

The following types of information returns are subject to the above penalty structure:

  • RRSP, RRSP Contribution Information Return
  • T10, Pension Adjustment Reversal (PAR)
  • T215, Past Service Pension Adjustment (PSPA) Exempt from Certification
  • T3, Statement of Trust Income Allocations and Designations
  • T4A-NR, Statement of Fees, Commissions, or Other Amounts Paid to Non-Residents for Services Rendered in Canada
  • T4A-RCA, Statement of Distributions from a Retirement Compensation Arrangement (RCA)
  • T4PS, Statement of Employees Profit Sharing Plan Allocations and Payments
  • T4RIF, Statement of Income from a Registered Retirement Income Fund
  • T4RSP, Statement of RRSP Income
  • T5007, Statement of Benefits
  • T5008, Statement of Securities Transactions
  • TFSA, Tax-Free Savings Account

Canada Revenue Agency has instituted an administrative policy that applies to certain information returns filed by small businesses. Information returns received on or after January 1, 2012 will be subject to the new policy. The penalty is the greater of $100 or:

No. information returns (slips) / Penalty (per day) / Maximum penalty (100 days)

1 - 5 / N/A / $100 flat penalty

6 - 10 / $5 / $500

11 - 50 / $10 / $1,000

51 - 500 / $15 / $1,500

501 - 2,500 / $25 / $2,500

2,501 - 10,000 / $50 / $5,000

10,001 or more / $75 / $7,500

The following types of information returns are subject to the above penalty structure:

  • NR4, Statement of Amounts Paid or Credited to Non-Residents of Canada
  • T4, Statement of Remuneration Paid
  • T4A, Statement of Pension, Retirement, Annuity, and Other Income
  • T4E, Statement of Employment Insurance and Other Benefits
  • T5, Statement of Investment Income
  • T5018, Statement of Contract Payments

Your trusted Chartered Accountant provides tax, assurance services and accounting engagements to individual and small business clients located in Calgary and area.