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New CRA Payment Requirements

Thursday February 8, 2024

Please note that as of January 1, 2024, taxpayers are required to remit any payment to the Canada Revenue Agency (CRA) over $10,000 electronically. These payments include, but are not limited to, personal tax, corporate tax, payroll, Goods and Service tax, Harmonized Sales tax, and non-resident withholding tax.

Unless a payment cannot ‘reasonably’ be made electronically, the CRA may assess a penalty of $100 per payment*. The CRA is currently developing policies about what is “reasonable” and details will be shared publicly when the policies are established.

*Note: For payroll accelerated remitters whose average monthly withholding amount in the preceding two years exceeds $100,000, the penalty will be 3% of the amount due.

Electronic payment options and additional details are provided on the CRA website. Canadian financial institutions also provide a wide range of electronic payment options to the CRA, and any payment made in-person at a Canadian financial institution with a remittance voucher will also be considered an electronic payment.

The CRA has indicated that there will be a grace period before penalties are applied, during which time they will continue to educate taxpayers on electronic payment options and encourage electronic payments.

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