When Is a Deceased Person's Final T1 Return Due in Canada?

When someone dies, the person handling their affairs must file a final income tax return for them. The due date depends on when the death happened, and getting it wrong can cost the estate penalties and interest.

This article explains the main filing deadlines, the exceptions, the payment rules and what happens if a deadline is missed. Your situation may differ, so confirm the details with a lawyer or accountant.

This article covers Canadian federal tax law, which applies in every province.

The basic due dates

If the person died between January 1 and October 31, the final T1 return and any balance owing are both due April 30 of the year following the death. If the person died between November 1 and December 31, the final return is due 6 months after the date of death, on the same calendar day.

The Income Tax Act, s. 150(1)(b), sets this out for a death after October and on or before the normal filing due date: the legal representative must file by the later of the normal due date and the day that is 6 months after the day of death.

If a due date falls on a weekend or a CRA-recognized holiday, a return is on time if it is received or postmarked by the next business day.

Exceptions: self-employed and early-year deaths

If the deceased was self-employed, or their spouse or common-law partner living with them ran a business on the date of death, a different rule applies. For a death from January 1 to December 15, the final return is due June 15 of the following year. For a death from December 16 to December 31, it is due 6 months after death.

The payment date is still not extended under this rule, and the extension is not available where business expenditures were mainly the cost of tax shelter investments.

Early deaths can mean two returns. If the person died in 2026 on or before the 2025 T1 filing due date and the 2025 return was not filed, the 2025 return and any balance owing are due 6 months after the date of death. A single final (2026) return is also required, so two returns are needed.

In that early-death case, the surviving spouse's own 2025 return has the same filing due date as the deceased's 2025 return. However, any balance the survivor owes must still be paid by April 30, 2026 to avoid interest.

Payment dates, prior years and instalments

The CRA says the payment due date does not change when a later filing date applies, and you may need to pay before filing to avoid interest. Overpayments are generally refunded once the return is assessed. If the payment due date falls on a weekend or holiday, a payment is on time if received the first business day after the due date.

• A final return must be filed for every person who dies.
• If a T1 return for a year before the year of death was not filed, the legal representative must make sure it is filed.
• Other prior-year returns already due keep their original filing and payment dates.
• No instalments are required after the date of death; only instalments that were due but unpaid before death must be paid.

Penalties, interest and relief

For a late final return with a balance owing, the penalty is 5% of the balance plus 1% of the balance for each full month late, up to 12 months. It may be higher if a late-filing penalty was assessed on the deceased's return for any of the 3 previous years. Filing on time avoids the penalty even if the balance cannot be paid in full.

Interest is compounded daily on unpaid amounts from the day after the due date until paid, and interest also applies to late-filing penalties.

The CRA may cancel penalties or interest if a late filing was caused by circumstances beyond your control. You request this through the CRA's cancel or waive penalties and interest process.

Optional returns and what to do next

Optional returns are not required and may reduce or eliminate tax. The Return for Rights or Things is due by the later of one year after the date of death and 90 days after the Notice of Assessment or Reassessment for the final return was sent. The partner or proprietor return under s. 150(4) has the same due dates as the final return.

• Confirm the date of death and whether the deceased or their spouse or partner ran a business.
• Check whether any earlier T1 return was never filed.
• Notify the CRA of your role as legal representative before accessing tax records.
• Pay any balance owing by the payment date, even if the filing date is later.
• File on time, even if you cannot pay in full.
• Speak with a lawyer or accountant if a deadline has been missed or the facts are unusual.

Frequently asked questions