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Canada Revenue Agency
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Who has to pay by instalments?

Questions and answers

Answer a few questions to find out if you have to pay your income tax by instalments.

You have to pay your income tax by instalments for 2007 if your net tax owing (see the definition below) is more than $2,000:

  • in 2007; and
  • in either 2006 or 2005.

Quebec resident  -  If you live in Quebec on December 31 of a year, use a net tax owing limit of $1,200 instead of $2,000.

Farmers/Fishers  -  Different rules apply if your main source of income in 2007 is self-employment income from farming or fishing. See Farming and fishing for details.

Net tax owing - In general, this is the amount you owe on your tax return. Refer to the Calculation chart for instalment payments for a list of the amounts used to calculate your net tax owing.

Note
If you want information about instalments for a corporation account, see Pay by Instalments.

Forms and publications