Self-Employed in Canada? Here’s What You Need to Know About Quarterly Taxes

Do Self-Employed Canadians Have to Pay Quarterly Taxes?

Yes. If you’re self-employed and owe more than $3,000 in taxes ($1,800 in Quebec), CRA expects you to make quarterly installment payments. You may need to pay quarterly taxes if:

• You're self-employed, a freelancer, or a contractor
• You earn rental, commission, or investment income
• You owed more than $3,000 in income taxes in either of the past two years
• You don’t have taxes withheld at source

CRA typically sends an installment reminder, but it’s your responsibility to pay on time—even without a notice.

When Are Quarterly Tax Payments Due in Canada?

Quarterly tax payments are due on:

• March 15
• June 15
• September 15
• December 15

TIP: If a due date falls on a weekend or holiday, payment is still considered on time if received by the next business day.

CRA Quarterly Tax Schedule (At a Glance)

Quarter | Payment Due Date | Period Covered
--------|------------------|------------------
Q1      | March 15         | Jan 1 – Mar 31
Q2      | June 15          | Apr 1 – Jun 30
Q3      | September 15     | Jul 1 – Sep 30
Q4      | December 15      | Oct 1 – Dec 31

How Do You Calculate Quarterly Tax Payments?

You can calculate your CRA tax installments using one of three methods: 1. No-Calculation Option (CRA Estimates): CRA uses your tax returns from the previous two years. 2. Prior-Year Option: Calculate based on last year’s income. 3. Current-Year Option: Estimate based on your projected income for this year. Our CPA firm in Montreal can help you choose the safest and most cost-effective approach.

What Happens If You Miss a Quarterly Payment?

If you miss a deadline or underpay: - CRA charges installment interest - You may face additional penalties - Interest compounds daily—even on small amounts Work with a bookkeeping service in Canada to automate your payments.

Are You a Real Estate Professional?

If you're a self-employed real estate agent, investor, or property manager, quarterly taxes can be tricky.
A real estate CPA can:
- Project your tax burden
- Guide deductions for mileage, home office, etc.
- Prevent cash flow surprises

Why Work With a CPA for Quarterly Taxes?

An experienced accounting firm in Canada can help you: - Avoid penalties by estimating your installments accurately - Identify deductions - Stay compliant with CRA At Shemie CPA, we specialize in helping freelancers, small business owners, and real estate professionals.

Final Takeaways

- If you earn untaxed income, you may need to pay CRA in quarterly installments
- Deadlines: March 15, June 15, Sept 15, Dec 15
- Penalties and interest apply for underpayments or missed deadlines
- A CPA firm ensures accurate planning and peace of mind

Ready to Take Control of Your Quarterly Taxes?

At Shemie CPA, we guide self-employed Canadians with tailored tax strategies. Book a free consultation to stay compliant and ahead of CRA payments.  

Frequently Asked Questions

Q1. Do I have to pay quarterly taxes if I just started my business?

If your total tax owing is under $3,000, you may not need to pay quarterly in your first year.

Q2. What happens if I overpay quarterly taxes?

CRA will credit your overpayment or refund it at year-end

Q3. Can I automate my CRA installment payments?

Yes. You can set up pre-authorized debit or use online banking.