100 /
Provincial Income Tax Instalments
1
Alberta
Québec
Type of Corporation
1
Threshold
2
Payment
Due Dates
Threshold
2
Payment
Due Dates
General corporation
2,000
Monthly
3
3,000
Monthly
3
CCPC
Eligible
1,5,6
2,000
Exempt
3,000
Quarterly
4
Other
2,000
Monthly
3
3,000
Monthly
3
Notes
(1) Alberta and Québec are the only provinces that collect their own corporate income taxes.
Corporate taxpayers in the remaining provinces remit their income tax payments to the
CRA as one payment. Tax instalments for the provinces that do not collect their own
corporate income and capital taxes are calculated using the same basis as that used for
federal purposes (see the table "Federal Income Tax Instalments"). A new corporation is
not required to make instalment payments in its first taxation year.
(2) A corporation is not required to make monthly instalment payments if its tax liability for
the current year or immediately preceding year is not greater than the threshold noted.
(3) Monthly instalments must be calculated using one of the following three methods:
• Current year estimate—1/12 of the estimated tax liability for the current year
• Prior year method—1/12 of the preceding year’s tax liability (first instalment base), or
• Second preceding year method—1/12 of the second preceding year’s tax liability
(second instalment base) for the first two months, and for the remaining 10 months,
1/10 of the difference between the first instalment base and the total of the first two
payments.
(4) Quarterly instalments must be calculated using one of the following three methods:
• Current year estimate—1/4 of the estimated tax liability for the current year
• Prior year method—1/4 of the preceding year’s tax liability (first instalment base), or
• Second preceding year method—1/4 of the second preceding year’s tax liability (second
instalment base) for the first instalment, and for the remaining three payments, 1/3 of
the difference between the first instalment base and the first payment.
(5) Eligible CCPCs in Alberta may be exempt from paying instalments through the year if the
corporation has met all of the following conditions:
• Taxable income for either the current year or previous year does not exceed $500,000
• The Alberta small business deduction was claimed in the current or previous year.
(6) Eligible CCPCs in Québec may pay quarterly instalments if the corporation has met all of
the following conditions:
• Taxable income (on an associated basis) for either the current year or previous year
does not exceed $500,000
• Taxable income is from a business activity carried on during the current taxation year or
such income was earned in the preceding year.
• Paid-up capital (on an associated basis) does not exceed $10 million in either the
current or previous year.
• All tax obligations in the last 12 months have been met.
Current as of September 30, 2013
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