T2 Corporation Income Tax Return: Expert Guide for Edmonton Businesses [2025]

If you own or operate a corporation in Edmonton, filing your T2 Corporation Income Tax Return isn’t something you can skip. Every resident corporation must file this return each year, even when there’s no tax payable.

For Edmonton businesses, the rules have changed significantly. Electronic filing is now mandatory for tax years starting after 2023, with penalties of $1,000 for non-compliance. Many business owners find these corporate tax obligations challenging to navigate, particularly as requirements continue to evolve.

This guide breaks down everything Edmonton businesses should know about T2 tax returns for 2025. We’ll cover essential filing requirements, explain key deadlines, and show you how to make the most of available deductions, including the $500,000 small business threshold. Our goal is to help your corporation meet its obligations while minimizing your tax burden.

Understanding T2 Corporate Tax Returns for Edmonton Businesses

The T2 Corporation Income Tax Return is the backbone of corporate tax compliance for Edmonton businesses. Getting familiar with this document helps you stay in good standing with tax authorities and avoid penalties that could hurt your bottom line.

What is a T2 tax return?

The T2 Corporation Income Tax Return is what Canadian corporations use to report income, calculate taxes owed, and claim deductions and credits. While it serves as the federal tax return, businesses in Alberta must also file a separate provincial return.

Corporations can choose between two versions of the T2 form:

1. T2 Corporation Income Tax Return – A nine-page comprehensive return suitable for any corporation regardless of size
2. T2 Short Return – A simplified two-page return plus one schedule, available only to eligible Canadian-controlled private corporations (CCPCs)

If your business’s tax year begins after 2023, filing electronically is no longer optional. The CRA now requires most corporations to file electronically, with exceptions for insurance corporations, non-resident corporations, corporations reporting in functional currency, and tax-exempt corporations. The penalty for not complying with this electronic filing requirement is substantial at CAD 1,393.36.

Your T2 return needs to include several important schedules that organize financial information according to the General Index of Financial Information (GIFI). These typically include Schedule 100 for balance sheet information, Schedule 125 for income statement details, and other schedules based on your specific situation.

Who needs to file a corporate tax return in Canada?

Your filing requirements depend on your corporation’s residency status and business activities:

Resident Corporations If your corporation is a Canadian resident, you must file a T2 return every tax year, even if you don’t owe any tax. This applies to:

• For-profit businesses
• Non-profit organizations
• Tax-exempt corporations
• Inactive corporations

A corporation is considered Canadian if it was incorporated in Canada or if its central management and control are located within Canada.

The only entities that don’t need to file are tax-exempt Crown corporations, Hutterite colonies, and registered charities.

Non-Resident Corporations If you operate a non-resident corporation, you must file a T2 return when you:

• Carried on business in Canada during the tax year
• Had a taxable capital gain
• Disposed of taxable Canadian property

You’re also required to file even if your profits are exempt from Canadian tax due to a tax treaty.

Alberta-Specific Requirements Since the 1940s, if your incorporated business has a permanent establishment in Alberta at any time during a taxation year, you must pay income tax on the portion of your taxable income allocated to Alberta. Additionally, you need to file an Alberta Corporate Income Tax Return (AT1) on top of the federal T2.

Key differences between personal and corporate tax filing

The gap between personal and corporate taxation extends well beyond using different forms:

Filing Requirements As an individual, you file a T1 personal tax return. For your corporation, you submit a T2 corporate return. If you’ve incorporated your business, you’ll need to complete both—a corporate T2 for the business and a separate personal T1 for yourself.

Tax Structure and Rates One significant advantage of incorporation is that corporate tax rates are generally lower than personal income tax rates. This difference is often a primary motivation for businesses to incorporate, as it can lead to substantial tax savings.

Loss Handling When your business is incorporated, you can’t use business losses to reduce income on your personal tax return. Instead, these corporate losses can be carried back or forward to offset corporate income in other years.

By contrast, if you run an unincorporated business, you can apply business losses directly against other income sources on your personal return.

Filing Deadlines Corporate tax returns must be filed within six months after your corporation’s fiscal year-end, while individuals typically need to file by April 30th. For corporations, any taxes due must be paid within three months of the fiscal year-end to avoid interest charges.

Complexity and Professional Assistance Corporate tax returns are considerably more complex than personal returns. While individuals mainly report income, corporations must report their entire balance sheet, income statements, ownership details, distributions, payroll information, and indirect taxes like GST.

At BOMCAS Canada, we help Edmonton businesses navigate these complexities, ensuring your T2 returns are accurate, compliant, and structured to minimize your tax liability.

2025 Corporate Tax Filing Requirements in Alberta

Alberta’s tax landscape looks quite different for the 2025 tax year. If you’re filing corporate taxes, you’ll need to navigate new electronic filing requirements, keep track of strict deadlines, and avoid hefty penalties for non-compliance. Getting familiar with these changing requirements is essential for Edmonton businesses that want to stay on the right side of provincial tax authorities.

Important deadlines for Edmonton businesses

If you run an Alberta corporation, your filing deadlines depend on when your fiscal year ends. The Alberta Corporate Tax Act requires corporations to file their AT1 (Alberta Corporate Income Tax Return) within six months from the end of their taxation year.

Here’s how to calculate your exact filing deadline:

• If your fiscal year ends on the last day of a month, your filing deadline is the last day of the sixth month after your year-end
• If your fiscal year ends on any other date, your deadline falls on the same numeric date in the sixth month following your year-end

For example, if your corporation’s tax year ends on March 31, 2025, you have until September 30, 2025, to file your AT1. If your year ends on August 15, 2025, your return must be filed by February 15, 2026.

While you have six months to file your return, the deadline to pay your taxes comes much earlier. For most corporations, taxes are due within two months of your taxation year-end. If you run a Canadian-Controlled Private Corporation that qualifies for the small business deduction, you get a bit more time—payments are due three months after your fiscal year-end.

At BOMCAS Canada, we track these critical deadlines for Edmonton businesses to make sure both filing and payment obligations are met on time, helping you avoid unnecessary penalties and interest charges.

Mandatory electronic filing rules

Starting with taxation years that begin after December 31, 2024, Alberta requires most corporations to file electronically. This major change means almost all Alberta corporations must file their AT1 returns through the TRA’s Net File service using certified software.

Only these types of corporations are exempt from electronic filing:

• Insurance corporations
• Non-resident corporations
• Corporations reporting in functional currency
• Corporations exempt from taxation under section 35 of the Alberta Corporate Tax Act

This electronic filing requirement matches federal rules, as the Canada Revenue Agency now also requires corporations to file their T2 returns electronically for tax years starting after 2023, with similar exceptions.

If you prepare taxes for multiple corporations, additional rules apply. Tax preparers must file all AT1 returns electronically, except in these specific situations:

• AT1 returns prepared without payment for corporations with gross revenue of CAD 1.39 million or less
• Up to 5 AT1 returns prepared for payment for corporations with gross revenue of CAD 1.39 million or less
• Returns for exempt corporations (insurance, non-resident, or functional currency)

BOMCAS Canada keeps our software up-to-date and certified to make sure all our Edmonton clients meet these new electronic filing requirements without any complications.

Penalties for late or incorrect filings

The price for not following Alberta’s corporate tax rules can be steep:

If your corporation fails to file its AT1 return electronically as required, you’ll face a significant penalty of CAD 1393.36. For tax preparers who don’t meet electronic filing requirements for eligible returns, the penalty is CAD 139.34 for each failure.

Late filing penalties are calculated based on what you owe:

• 5% of unpaid tax on the filing due date, plus
• 1% of unpaid tax for each complete month (up to 12 months) between the due date and when you actually file

The TRA does provide some grace periods in limited circumstances. For instance, if you mail your AT1 return and it’s received within five business days of the filing deadline, or if you courier it and it arrives within one business day, you typically won’t face late-filing penalties.

For more serious cases of non-compliance, the consequences get much worse. Failing to file an AT1 return as required can make you guilty of an offense with fines ranging from CAD 1393.36 to CAD 34834.01, possible imprisonment for up to 12 months, or both.

Beyond these penalties, interest adds up daily on unpaid taxes, making timely compliance financially smart. At BOMCAS Canada, our Edmonton corporate tax experts make sure your returns are not just accurate but also filed on time using approved electronic methods, helping you avoid these costly penalties altogether.

Step-by-Step Guide to Preparing Your T2 Return

Putting together a T2 Corporation Income Tax Return demands careful attention to detail and a solid grasp of tax regulations. Many Edmonton business owners find this process challenging without proper guidance. Here’s a breakdown of the essential steps to help you tackle this important compliance requirement.

Gathering necessary financial documents

Before starting your T2 filing, collecting the right documentation is your first priority. You’ll need these essential items:

• Complete financial statements (income statement, balance sheet, cash flow statement)
• General ledger for the fiscal year
• Bank statements for all corporate accounts
• Detailed accounts receivable and payable records
• Payroll information including T4 summaries
• Capital asset additions and disposals documentation
• Previous year’s T2 return for reference

You’ll also need to prepare shareholder information, including names, addresses, and details about relationships with other corporations. At BOMCAS Canada, we help Edmonton businesses organize these materials efficiently, making sure nothing important gets missed before submission.

Calculating net income for tax purposes

Many business owners are surprised to learn that the net income shown on their financial statements rarely matches what’s needed for tax purposes. You’ll need to complete Schedule 1 (Net Income for Tax Purposes) to reconcile these differences.

The process starts by entering your financial statement income on line A of Schedule 1. Then you’ll add taxable items and non-allowable expenses (lines 101-199) while subtracting non-taxable items and eligible expenses (lines 401-499). Common adjustments include:

Additions to accounting income:

• Non-deductible portion of meals and entertainment (50% must be added back)
• Charitable donations (added back on Schedule 1, then deducted later)
• Depreciation recorded on financial statements
• Provisions for income tax

Deductions from accounting income:

• Capital Cost Allowance (CCA) – tax equivalent of depreciation
• Terminal losses on disposition of assets
• Deductible scientific research expenditures

This reconciliation is often the trickiest part of T2 preparation, especially if you’re not familiar with tax-specific adjustments. For 2025 returns, be aware of new considerations including disallowances related to non-compliant short-term rentals.

Determining taxable income

After calculating your net income for tax purposes, the next step is determining your corporation’s taxable income by accounting for various deductions that lower your tax burden.

For small businesses in Edmonton, the Small Business Deduction (SBD) offers a significant tax advantage. This deduction equals 19% of the lesser of your active business income, taxable income, or the business limit (typically $500,000). For Canadian-Controlled Private Corporations (CCPCs), this creates a federal tax rate of just 9% on eligible income.

To calculate active business income eligible for this deduction, you’ll need to complete Schedule 7, separating your income into different categories. Keep in mind that income from a specified investment business or personal services business typically doesn’t qualify for the SBD unless specific employment conditions are met.

Claiming available deductions and credits

The final step involves finding and claiming all available deductions and credits to minimize what you owe. Several valuable opportunities exist for Edmonton businesses:

Key deductions include:

• Business expenses that are reasonable and paid to earn income
• Capital Cost Allowance (CCA) for depreciable property
• Charitable donations (generally deductible up to 75% of net income)
• Reserves for doubtful accounts based on business history and economic conditions

Valuable credits to consider:

• Scientific Research and Experimental Development (SR&ED) credit – potentially worth 35% of qualifying expenditures for CCPCs
• Investment Tax Credits (ITCs) for qualified property
• Clean economy investment tax credits
• Apprenticeship training credits worth up to $2,786.72 per apprentice

For tax years beginning after December 15, 2024, the annual expenditure limit on which CCPCs can earn an enhanced 35% SR&ED investment tax credit will increase from $4.18 million to $6.27 million.

Also worth noting: net operating losses can generally be carried back three years or forward 20 years to offset income in other periods.

At BOMCAS Canada, our Edmonton tax specialists are skilled at spotting these opportunities, making sure your T2 return not only meets compliance requirements but also maximizes your available tax savings through proper planning and preparation.

Alberta-Specific Corporate Tax Considerations

Corporate taxation in Alberta offers unique advantages for Edmonton businesses filing their T2 returns. These provincial tax elements can significantly impact your bottom line when approached strategically.

Alberta corporate tax rates for 2025

If you’re doing business in Alberta, you benefit from the lowest corporate tax rates in Canada. The general corporate income tax rate in Alberta is just 8%, resulting in a combined federal/provincial rate of 23% (15% federal + 8% provincial). This gives Alberta the lowest combined corporate tax rate in Canada and one of the lowest in North America.

For Canadian-Controlled Private Corporations (CCPCs), the advantages are even more significant:

• Small business income (up to $696,680.10): 11% combined rate (9% federal + 2% provincial)
• Active income over $696,680.10: 23% combined rate
• Manufacturing and processing income: 23% combined rate
• Investment income: 46.67% combined rate

The 2025 Alberta Budget didn’t change these corporate tax rates, which provides welcome stability for Edmonton businesses planning their tax strategies. This tax environment continues to make Alberta an attractive place for corporate operations compared to other provinces.

Small business deduction in Alberta

If you run a small business in Edmonton, you can take advantage of the Alberta small business deduction, which cuts the provincial tax rate from 8% down to just 2% on qualifying income. This applies to the first $696,680.10 of active business income earned by Canadian-controlled private corporations.

To qualify for this valuable deduction, your business must meet several requirements:

• Be a Canadian-controlled private corporation (CCPC)
• Have your business limit properly allocated among associated corporations if applicable
• Not have taxable capital employed in Canada exceeding $20.90 million

The business limit gets reduced on a straight-line basis if the combined taxable capital employed in Canada of your CCPC and any associated corporations falls between $13.93 million and $20.90 million. Also, the business limit is gradually phased out if the adjusted aggregate investment income of the CCPC and associated corporations is between $69,668.01 and $209,004.03.

At BOMCAS Canada, we help Edmonton businesses determine if they qualify for this deduction and ensure all requirements are met to maximize tax savings.

Provincial tax credits available to Edmonton businesses

Beyond the favorable tax rates, Alberta offers several provincial tax credits that can further reduce your tax bill:

Innovation Employment Grant (IEG) Introduced in January 2021, this grant gives you 8% of eligible expenditures related to scientific research and experimental development (SR&ED) carried out in Alberta. If your corporation qualifies, you may also claim an additional 12% of eligible expenditures that exceed your base level of spending, potentially giving you a combined benefit of up to 20%.

Film and Television Tax Credit (FTTC) This program supports film and television productions that shoot in Alberta, helping to grow the local entertainment industry. The credit is designed to make Alberta more competitive as a destination for film production.

Agri-Processing Investment Tax Credit (APITC) This initiative builds on Alberta’s agricultural strengths to enhance the province’s position in the agri-food sector. The credit aims to create more local jobs by supporting investment in agri-food processing.

At BOMCAS Canada, our Edmonton tax specialists stay up-to-date on these provincial credits and help businesses identify which ones apply to their specific situations. We ensure all necessary documentation is properly prepared to support your claims, helping you maximize potential tax savings while maintaining full compliance with provincial requirements.

How to File Your Corporate Tax Return Online

Electronic filing has become the standard way to submit T2 Corporation Income Tax Returns, with over 90% of corporations now filing this way. For tax years after 2023, most Edmonton businesses must file their T2 returns electronically, so understanding this process is no longer optional—it’s essential for compliance.

Certified software options for T2 filing

To file your T2 return electronically, you need to use CRA-certified tax preparation software. When software is “certified,” it means the developer has completed a verification process with the CRA to ensure their product works properly with CRA systems. The CRA keeps an alphabetical list of approved commercial tax preparation packages for the Corporation Internet Filing service.

Several popular certified options are available for Edmonton businesses:

• FutureTax T2 – Provides secure Corporation Internet Filing (CIF), supports auto-fill, and allows electronic submission of Alberta AT1 forms
• UFileT2 – A web-based solution that doesn’t require downloading or installation and updates automatically
• TaxTron Web Netfile – Offers comprehensive federal and provincial corporate tax forms with built-in warning notifications

Remember that the CRA isn’t responsible for programming errors that might affect tax calculations. It’s up to you to check with the software developer about any restrictions and make sure you’re using the most recent version.

NETFILE process explained

When filing your T2 return online, you’ll need one of two identification methods:

1. Web Access Code (WAC) – Typically used when filing for a single corporation
2. EFILE number and password – Generally used by professionals filing for multiple corporations

The NETFILE process involves five straightforward steps:

First, download and install your chosen certified software. Second, complete your tax return within the software. Third, run the verification function to catch and fix any errors. Fourth, purchase your software license if required. Finally, submit your return using either your WAC code or EFILE credentials.

Filing electronically offers several advantages over paper filing: you get immediate confirmation that your return was received, processing and refunds happen faster, you save on mailing costs, and you help reduce paper waste.

Common electronic filing errors to avoid

Certain mistakes frequently prevent successful electronic filing. At BOMCAS Canada, we help Edmonton businesses avoid these common problems:

Account-related issues often include entering invalid Web Access Code information, having accounts locked after too many login attempts, and experiencing problems with the Manage Online Mail service. Technical errors typically involve incorrect file formats, missing data delimiters, or duplicate schedule entries.

Another common mistake happens when trying to file a return for a tax year that hasn’t been assessed yet. This generates Error 387, indicating the CRA has already assessed the tax year, or Error 521, showing an amendment can’t be processed because the tax year hasn’t been assessed.

After you submit your return electronically, don’t send additional paper copies of schedules or the client copy generated by your tax software. This creates processing complications and defeats the purpose of paperless filing.

At BOMCAS Canada, our Edmonton tax professionals use proven strategies to ensure error-free electronic filing. We address potential issues before submission and maintain open communication with the CRA when necessary.

Corporate Tax Payment Options and Deadlines

Meeting your tax payment obligations is a critical part of corporate tax compliance for Edmonton businesses. Both the Canada Revenue Agency (CRA) and Alberta Tax and Revenue Administration (TRA) have specific requirements you must follow to avoid penalties and interest charges.

Installment payment requirements

Most corporations need to make regular installment payments throughout their tax year, rather than waiting until the filing deadline. However, you might be exempt if:

• Your corporation’s tax payable is CAD 4,180.08 or less for either the current or previous year
• You’re a new corporation (except those formed by amalgamation) in your first taxation year
• Your corporation has a tax year shorter than one month (or one quarter for eligible CCPCs)

If you run a small Canadian-controlled private corporation (CCPC), you can make quarterly installments instead of monthly ones if you meet all of these criteria:

• You’re a CCPC with a perfect compliance history
• Your taxable income is CAD 696,680.10 or less
• Your taxable capital employed in Canada is CAD 13.93 million or less

All other corporations must make monthly installments, typically due on the last day of each month.

Balance due dates

After your fiscal year ends, any remaining tax balance must be paid by what’s called your “balance-due day”:

• Two months after year-end: This is the standard timeline for most corporations
• Three months after year-end: This extended deadline is available to CCPCs that meet specific conditions

Your CCPC qualifies for the three-month deadline if you claimed the Alberta small business deduction and have taxable income of CAD 696,680.10 or less in either the current or previous taxation year.

Good news if a due date falls on a weekend or holiday—your payment or filed return is considered on time if received on or before the next business day.

Payment methods available to Edmonton businesses

You have several convenient options for making corporate tax payments:

• Electronic payment through financial institutions – The fastest and most secure method
• Credit card via PaySimply (third-party provider) – Credited approximately 3 business days after payment
• Interac e-transfer through PaySimply – Credited approximately 1 business day after payment
• Cash or debit at any Canada Post location using PaySimply
• PayPal through PaySimply – Subject to service fees
• Cheque or money order payable to the Government of Alberta

At BOMCAS Canada, we help Edmonton businesses create payment strategies that work with their cash flow while ensuring they meet all installment and balance-due requirements. Our tax experts can set up payment reminders and suggest the best payment methods based on your business’s specific financial situation.

Post-Filing Procedures and Compliance

Filing your T2 corporation income tax return is just the first step in your tax compliance journey. After submission, your Edmonton business needs to maintain proper records, be prepared for potential reviews, and know how to make adjustments if necessary.

Record keeping requirements

Keeping proper records is a fundamental compliance requirement for all corporations. The Canada Revenue Agency requires businesses to maintain records for at least 6 years from the end of the last tax year they relate to. This retention period ensures you can back up any information on your T2 tax return if questions arise.

Make sure you preserve these essential documents:

• Financial statements and general ledger entries
• Invoices, receipts, and contracts
• Bank statements and canceled checks
• Corporate minute books and supporting documents

If your Edmonton business keeps electronic records, your digital systems must meet CRA requirements for reliability and completeness. Your electronic documents need to provide the correct information for tax obligations and be supported by proper documentation. It’s also wise to store backup copies of electronic files at a secondary location protected from hazards like magnetic fields or excessive moisture.

Handling CRA reviews and audits

After the CRA receives your T2 return, they might select your filing for review through various programs. These reviews are different from full tax audits and typically focus on specific elements of your return.

If your corporate tax return is selected, a CRA officer may contact you by phone or letter asking for additional information. BOMCAS Canada recommends responding promptly within the timeline provided, as this helps with efficient processing and helps you avoid potential penalties.

For more comprehensive audits, the CRA uses risk-assessment systems to identify high-risk returns. Corporations with gross income over CAD 250 million typically face annual risk assessments, while medium-sized corporations (CAD 20-250 million) may be selected based on identified risks. If selected, the auditor will examine your business records, possibly using computer-assisted audit techniques for larger data sets.

Making adjustments to filed returns

Sometimes you may need to amend your T2 return after filing. The CRA allows corporations to request reassessments electronically using certified tax preparation software, which aligns with the mandatory electronic filing requirements for most businesses.

When requesting a reassessment, be sure to clearly identify your corporation’s name, business number, tax year, and the specific details that need adjustment. Include all relevant supporting documents such as revised financial statements or GIFI information. In some cases, you might need to file specific schedules to carry back losses or tax credits to prior years.

At BOMCAS Canada, our Edmonton corporate tax experts guide businesses through these post-filing requirements, helping them maintain proper records, handle CRA interactions successfully, and manage any necessary adjustments with precision and confidence.

Common T2 Filing Mistakes Edmonton Businesses Make

Tax season often reveals the same errors year after year that cost Edmonton businesses both time and money. Knowing these common pitfalls can save you from expensive mistakes on your next T2 filing.

Incorrect income reporting

One of the most serious T2 filing errors is inaccurate income reporting. When you fail to properly report all income sources, you risk serious consequences, including substantial penalties from the CRA. Underreporting income typically leads to detailed audits where even small discrepancies can result in major financial repercussions. The CRA uses sophisticated cross-checks to verify your reported income against other data sources.

Remember that you must report income accurately whether you’ve already filed a return or not. This includes properly documenting capital gains from crypto-assets and similar properties that may be considered capital gains outside your normal business operations.

Missing eligible deductions

Many Edmonton businesses leave money on the table by overlooking valuable deductions that could significantly reduce their tax burden. Common oversights include:

• Capital Cost Allowance (CCA) for depreciable property
• Scientific research and experimental development expenses
• Business start-up costs
• Charitable donations (deductible up to 75% of net income)

At BOMCAS Canada, we often find missed opportunities where clients didn’t claim legitimate expenses. Keep in mind that some tax credits remain available even when your business isn’t profitable.

Improper documentation

Poor record-keeping creates major problems during CRA interactions. According to regulations, your corporation must maintain detailed financial records for at least 6 years from the end of the tax year. This means preserving:

• Complete financial statements
• Original receipts and invoices
• Bank statements and contracts
• Electronic records that meet CRA standards for reliability

Without proper documentation, defending your tax position during reviews becomes extremely difficult.

Failure to meet deadlines

Filing deadlines are another critical area where Edmonton businesses frequently stumble. Your T2 return must be submitted within six months after your fiscal year-end. Missing this deadline triggers an immediate penalty of 5% of unpaid tax, plus 1% for each month delayed (up to a maximum of 12 months).

If you’re a repeat late filer, the penalties climb dramatically to 10% of unpaid tax plus 2% per month (up to 20 months). While filing late is definitely better than not filing at all, corporations should remember that they must be formally dissolved to cease existence—otherwise, annual filing requirements continue indefinitely.

At BOMCAS Canada, our Edmonton corporate tax experts help businesses avoid these common mistakes through proactive planning and careful preparation of T2 returns.

Conclusion

Filing T2 corporate tax returns requires careful attention to detail and a good understanding of complex regulations. If you run an Edmonton business, you now need to adapt to mandatory electronic filing while working within Alberta’s unique tax landscape—which fortunately offers significant advantages through lower corporate rates and valuable provincial credits.

Proper preparation is essential if you want to avoid costly penalties and missed opportunities. When you ensure accurate income reporting, maintain complete documentation, and submit your returns on time, you not only stay compliant but also maximize your available deductions and credits. While corporate tax filing might seem overwhelming, getting professional guidance can make the process much more manageable.

The consequences of non-compliance are serious for Edmonton businesses, with hefty penalties for missed deadlines and filing errors. This makes it crucial to keep detailed records, understand your filing requirements, and stay up-to-date with changing tax regulations. Beyond just meeting deadlines, proper tax planning throughout the year helps optimize your corporation’s tax position and can lead to significant savings.

Contact BOMCAS Canada for all your T2 Corporate TAX returns preparation and filing services in Canada by visiting bomcas.ca or email info@bomcas.ca. Our Edmonton tax experts ensure accurate, compliant returns while helping you take advantage of every available tax-saving opportunity.

FAQs

Q1. When does the 2025 tax filing season begin in Canada? The 2025 tax filing season in Canada is set to begin on February 24, 2025. On this date, individuals and businesses can start filing their income tax and benefit returns online.

Q2. Are all corporations required to file an Alberta corporate tax return? Most corporations with a permanent establishment in Alberta during the taxation year must file an Alberta corporate income tax return (AT1). However, some corporations may be exempt from this requirement.

Q3. Can I prepare and file my corporation’s tax return without an accountant? Yes, it is possible to prepare and file your corporate tax return without an accountant. While this can save money on accounting services, it’s important to be aware of the potential risks and complexities involved in corporate tax filing.

Q4. What types of corporations can use the T2 Short Return? The T2 Short Return is available for Canadian-controlled private corporations (CCPCs) that have either nil net income or a loss for income tax purposes in the current tax year. These corporations must also meet certain other eligibility criteria.

Q5. What are the key deadlines for corporate tax filing in Alberta? Alberta corporations must file their AT1 returns within six months of their fiscal year-end. However, tax payments are typically due earlier – within two months of the fiscal year-end for most corporations, or three months for eligible Canadian-controlled private corporations.