Late filing and failure to file the NR4 information return

You have to give the recipient his or her NR4 slip and file your NR4 information return with the CRA on or before the last day of March after the calendar year the information return applies to, or no later than 90 days after the end of the estate's or trust's tax year.

Loss Restriction Event

Under proposed legislation, a tax year of a trust or an estate may end early because of a loss restriction event. The CRA calls this a "pre-LRE year-end." When the pre-LRE year-end is in the same calendar year as the trust's or the estate's ordinary tax year-end, the NR4 return must be filed within 90 days of the trust's or the estate's ordinary tax year-end.

When the pre-LRE year-end is not in the same calendar year as the trust's or the estate's ordinary tax year-end, there are two scenarios:

• for mutual fund trusts that filed an election to have a tax year-end of December 15 and the pre-LRE year-end is after December 15 of that calendar year, the NR4 return must be filed within 90 days of that December 15 tax year-end; and
• in any other case, the NR4 return must be filed within 90 days of the end of the calendar year the pre-LRE year-end is in.

It is proposed that these new rules be considered to have come into effect on March 21, 2013. For more information about loss restriction events, see Loss trading - Rules for trusts.

If your business or activity ceases during the year, you have to file an NR4 information return within 30 days of ending your business or stopping your activity.

When the due date falls on a Saturday, a Sunday, or a public holiday recognized by the CRA, your information return is considered on time if the CRA receives it or if it is postmarked on or before the next business day.

The CRA may assess a penalty if you file your information return late. For NR4 information returns, the CRA has an administrative policy that reduces the penalty that it assesses so it is fair and reasonable for small businesses.

Related topics

• T4A-NR and NR4 information return
• Distributing NR4 slips to recipients

Date modified:

2016-12-15