Independent · Canadian rules and data only · Reviewed November 3, 2026

    5 min
    Taxes

    Can't pay your taxes in Canada? Your options

    Quick summary

    File your return even if you cannot pay. Then pay what you can, ask the CRA for a payment arrangement, and ask about relief from penalties and interest. Start withhow a CRA payment arrangement works.

    Checked November 3, 2026. Main source: CRA: Late-filing penalty (modified Jan. 20, 2026). See all 4 sources.

    Six steps

    • 1. File the return, even if you cannot pay. The late-filing penalty is based on the balance owing, so filing sooner limits it.
    • 2. Pay what you can now. Interest grows on the unpaid part.
    • 3. Ask the CRA for a payment arrangement.
    • 4. Ask for relief if you have extraordinary circumstances or financial hardship.
    • 5. If the total is too large to repay, talk with a Licensed Insolvency Trustee.
    • 6. If your income is modest, a free tax clinic can prepare a simple return.

    What to avoid

    • Anyone who promises to cut your tax debt for an upfront fee.
    • Any caller who demands payment by gift card, crypto, or e-transfer. The CRA never does this.

    Free help

    • CRA Non-Filer helpline: 1-800-448-0444, Monday to Friday, 6:45 am to 7:30 pm Eastern.
    • CRA TeleArrangement for personal income tax debt: 1-866-256-1147, Monday to Friday, 7 am to 10 pm Eastern.
    • Free tax clinics for simple returns if your income is modest.
    • A Licensed Insolvency Trustee, who may offer a free first meeting.

    Questions people ask

    Should I file if I cannot pay?

    Yes. The CRA advises filing on time even if you cannot pay, to avoid the late-filing penalty.

    Can the CRA make me a payment plan?

    You can ask for a payment arrangement online or by phone. The CRA decides.