Canada: Tax relief from interest, penalties in Ontario (COVID-19)

Six-month interest- and penalty-free period

Six-month interest- and penalty-free period

Businesses in Ontario may be eligible for new tax relief to mitigate the economic effects of continuing coronavirus (COVID-19) pandemic-related public health measures.

Businesses will have a six-month interest- and penalty-free period for most provincially administered tax payments and related returns due between 1 January 2022 and 1 July 2022. The relief applies to the following provincially administered taxes:

  • Employer health tax
  • Beer, wine and spirits taxes
  • Tobacco tax
  • Insurance premium tax
  • Fuel tax
  • International fuel tax agreement
  • Gas tax
  • Retail sales tax on insurance contracts and benefit plans
  • Mining tax
  • Race tracks tax

The province's tax relief is in addition to certain non-tax relief for eligible businesses subject to closure or capacity restrictions under the province's health measures.

Read a January 2022 report prepared by the KPMG member firm in Canada

 

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