Covid-19: Flexibility Measures from the Federal and Québec Governments

• Corporations with a tax year end between September 17 and November 30 have until June 1 to file their tax returns.
• Corporations with a tax year end between December 1, 2019 and February 29, 2020 have until September 1 to file their income tax returns.

IMPORTANT NOTICE: This content is up to date as of May 25, 2020. New facts or government directives which have occurred may invalidate certain information. Please take this factor into consideration.

Measures aimed at individuals:

• The deadline for producing and filing income tax returns is postponed to June 1, 2020; balances due related to income tax returns for the 2019 taxation year is postponed to August 31, 2020.
• For individuals and individuals in business, the deadline for applying balances due related to income tax returns for the 2019 taxation year is postponed to August 31, 2020.
• In addition, the contributions from individuals that are subject to the QPP, QPIP, HSF and the Québec Prescription Drug Insurance plan for the 2019 taxation year, and would otherwise have to be made no later than on April 30, 2020, are postponed to August 31, 2020.
• For those who must pay tax instalments, the payment of the June 15, 2020, tax instalment is suspended until August 31, 2020. The date and terms of payment of this amount will be announced shortly. Individuals will have a reasonable period of time to pay the amount due.

Measures aimed at trusts:

• For trusts (other than a specified investment flow-through trust), the deadline for filing their income tax return for the 2019 taxation year is extended to May 1, 2020.
• The balance will be payable no later than August 31, 2020.

Measures aimed at businesses:

• The payment of tax instalments and taxes due as of today is suspended until August 31, 2020.
• The rules applicable to the filing of corporate income tax returns, including the due date for filing such tax returns, will not be changed. Only the time when the balance can be paid will be postponed.

Measures aimed at partnerships:

• Partnerships that had to file a Partnership Information Return (form TP-600-V) for 2019 by March 31, 2020, now have until May 1, 2020, to file the return.
• We are still waiting for the federal authorities to pronounce on this matter.

Electronic signature:

• To limit in-person contact, Revenu Québec and the Canada Revenue Agency will now allow preparers to use an electronic signature on some forms that their clients must sign.

To view the flexibility measures communicated by the Federal government:
https://www.canada.ca/en/department-finance/economic-response-plan.html

To view the flexibility measures communicated by the Québec government:
http://www.finances.gouv.qc.ca/documents/Bulletins/en/BULEN_2020-3-a-b.pdf

https://www.revenuquebec.ca/en/covid-19-faq/?no_cache=1

In response to these measures, our firm has put everything in place so that our team can file your tax returns within the usual deadlines. For more information, please contact your Mazars tax advisor.