If you’re having trouble making your tax payments, you can work with the Canada Revenue Agency to find ways to pay your tax debt based on your financial situation. You have several payment options if you can’t pay your tax debt in full:
Payment options
Partial payment
You can make partial payments to the Agency to reduce the amount of interest you have to pay on amounts due. For full payment options or to make a partial payment, go to canada.ca/payments.
Payment arrangement
If you can’t afford to pay your taxes in one lump sum, you may be able to enter into a payment arrangement with the Agency. A payment agreement is a negotiated arrangement between you and the Agency. It allows you to spread your payments over time, according to your ability to pay, until you have paid your debt and interest in full. The Agency will review your situation with you to arrive at a payment arrangement that works for you.
The Agency will always be there to help you set up payment arrangements, but it can also apply your credits or repayments to your outstanding debts to reduce all or part of your outstanding amounts.
Before you call the Agency, here are some optional budgeting tools to help you determine what regular payments you can afford:
To arrange payment, contact the Agency as soon as possible.
TeleArrangement service
You can also set up a payment arrangement using the Agency’s automated TeleArrangement service by calling 1-866-256-1147. When you call, you must provide the following information:
- your social insurance number
- your date of birth
- the amount shown on line 15000 of your last notice of assessment
The TeleArrangement service is available Monday to Friday, 7 a.m. to 10 p.m. Eastern Time.
You can also call the Agency’s Debt Management Call Center at 1-888-863-8661 to speak to an agent. Agents are available Monday to Friday (except holidays) from 7 a.m. to 8 p.m. Eastern Time.
Pay by pre-authorized debit
You can authorize the Agency to withdraw a certain amount directly from your bank account, on the dates of your choice, using one of the following Agency online services:
- My folder
- My company file
- MonARC mobile web application
You can use these online tools to set up a pre-authorized debit agreement or generate a QR code to make a payment at a Canada Post outlet.
Remember, it takes five business days from the time you set up a pre-authorized debit for your funds to be processed. In addition, you cannot cancel the pre-authorized debit agreement during the five days preceding the date on which the amount is due. To use this service, you must register for My Account, My Business Account or the MyARC application.
Are you unable to pay?
Communication is key. If you are unable to pay your tax debt in full immediately, you must inform the Agency as soon as possible. Interest is compounded and accrues daily at the rate set by law until you have paid the amount due in full. Go to When you owe money – CRA collections to learn more.
Taxpayer relief provisions allow the Agency to waive or cancel penalties or interest under certain conditions if you are unable to meet your tax obligations.
Keep all your receipts and supporting documents
You must keep all receipts and documents for at least six years from the end of the last taxation year to which they relate.
Sometimes, the Agency examines tax returns to verify that income, deductions and credits have been properly declared. If the Agency examines your return and you’ve kept your receipts and documents, you’ll find it easier to substantiate your claims.
SOURCE Canada Revenue Agency
