On February 19, 2025, CRA released a Tax Tip providing guidance and announcing administrative relief related to:
challenges practitioners have experienced when filing information returns; and
the deferral of the effective date for the increase to the capital gains inclusion rate to January 1, 2026.
Information slip filing relief
CRA stated that they will grant relief in respect of late-filing penalties for information returns filed on or before March 7, 2025, for those information returns normally due on February 28, 2025.
Confirmation receipt
CRA noted that the “Confirmation of Receipt” email sent when a file has been received does not necessarily indicate that the file was accepted. CRA suggested that filers should review the email to confirm whether the return was actually accepted.
Common slip rejection issues
CRA provided a listing and discussion of the common reasons that information slips electronically filed are rejected:
missing mandatory tags in the XML;
invalid account number;
incorrect Transmitter Account Number provided on the T619 Electronic Transmittal Record;
issues related to T4 Box 45 and T4A Box 015 (dental benefits); and
issues related to the calculate button on the summary page in MyBA and RAC (T4) not working properly.
Previously released slips
CRA will not be revising or altering the tax slips that were published in the fall of 2024, which reference 2024 capital dispositions in Period 1 (January 1 – June 24, 2024) and Period 2 (June 25 – December 31, 2024).
Tax slip adjustments
Information to be reported on certain tax slips (primarily the T3, T4PS and T5008 (book value) slips) needs to be recalculated to ensure taxpayers receive accurate information. Penalty relief related to these information returns, except for T3 slips (see below), will be extended to March 17, 2025.
T3 slips relief
On January 31, 2025, CRA announced that it will grant relief in respect of late-filing penalties and arrears interest until June 2, 2025, for impacted T1 individual filers and until May 1, 2025, for impacted T3 Trust filers. The T3 relief applies to both T3 returns and information slips.
Penalty relief caution
While CRA is providing relief from the application of the late filing penalty in several instances, a return will be considered late the day following the end of the relief period and will incur a late filing penaltybased on its original due date.
