Updated Checked by the Tax-Services.ca editorial team How we check
Tax software for corporations has one hard rule in Canada: for tax years starting after 2023, most corporations must file the T2 return electronically, and the software has to be certified by the CRA. So the first thing to check about any package is whether it’s on the CRA’s certified list for corporation filing, not how friendly its screens look.
What is the filing rule for an incorporated business?
Plenty of owners search for a brand by name, TurboTax being a common one, and assume what they used for a personal return will do for the company. It may not. Personal and corporate returns are different forms, and the CRA certifies software for each separately.
The exceptions to electronic filing are insurance corporations, non-resident corporations, corporations reporting in functional currency and those exempt from tax under section 149 of the Income Tax Act. If you’re none of those and you file on paper, the CRA says it charges a $1,000 penalty. The CRA’s corporation income tax return page sets all of this out.
The return is due six months after your tax year ends. The balance owing is generally due two months after year end, or three for a CCPC that meets certain conditions. Software doesn’t move either date.
What should you check before you buy?
We couldn’t confirm what any product costs or includes, so we won’t compare them. Here’s a checklist you can run yourself on any option.
| Check | Where to look |
|---|---|
| Certified for T2 filing this year | The CRA software page for Corporation Internet Filing |
| Handles your province or territory | The product’s own help pages |
| Supports the schedules you need | Your accountant, or the T2 guide |
| Exports and saves your return | A trial or demo, if there is one |
Certification only says the software talks to the CRA’s systems correctly. It says nothing about whether the package suits your situation. Software that files the return doesn’t tell you what goes on it.
Picture Priya, who runs a small design corporation out of Hamilton. She buys a well-known personal tax package in March because it’s cheap, and only on the last evening does she find it can’t send a T2. Now she’s paying rush rates to someone else. Ten minutes on the CRA’s list would have saved her a few hundred bucks and a bad week.
Can you do the T2 yourself?
Sometimes, and it’s a fair question. A one-owner company with clean books, no employees and no property sales can be manageable. Once you have staff, several shareholders, related companies or dividends, the return grows quickly and mistakes get costly.
Try a sanity check first. An Ontario CCPC with $100,000 of active business profit owes $11,696 in corporate tax for a calendar 2026 year, according to our corporate tax calculator. That’s the federal $9,000 plus $2,696 for Ontario. If your software shows something far from that, look for the reason, such as adjustments to income, before you file. The Ontario figure is a blend of two rates because the province changed its small business rate on 1 July 2026.
Those numbers leave out the tax the owner pays after taking money out. Try the dividend tax calculator for that side, and the payroll remittance calculator if you pay yourself a salary. On $2,500 a month in Ontario, the company sends the CRA $564.93 for the month, and $188.45 of it is the employer share.
Mistakes to avoid
Buying the wrong product is the classic one. A package built for personal returns may not file your T2.
Another is treating the software as the accountant. It applies the rules you feed it. If your books are wrong, it will file wrong numbers smoothly and quickly. Set up the books properly first.
Then there’s the shared limit. The $500,000 small business limit is shared between associated corporations, and software only knows what you type in.
And remember what the calculator can’t see. Large taxable capital, passive income above $50,000 and tax credits all change the answer.
What should you do the week before the deadline?
Don’t wait for the due date to find out something doesn’t work. Open a trial or demo with last year’s figures and see whether it produces a return you recognize. Check the certified list one more time, since versions change from year to year. Then make sure the year-end books are closed, because most software can’t fix a bank account that doesn’t reconcile. If anything on the return puzzles you, that’s the moment to ask an accountant, who is a separate professional from the software maker and has no link to this site.
What this page is based on
The electronic filing rule, the exceptions and the penalty come from the Canada Revenue Agency‘s Corporation Internet Filing and T2 pages, and the dates from its corporation filing pages, all checked for 2026. Tax amounts come from our calculators. This site has no connection with the CRA or any government, and no link with any software maker.
Frequently asked questions
Do I have to file my T2 electronically?
For tax years starting after 2023, most corporations do. Insurance, non-resident, section 149 exempt and functional currency corporations are exceptions.
Does the software have to be CRA certified?
Yes. The CRA says corporations must use certified tax preparation software for electronic filing, and it lists the packages on its site.
Will my personal tax software file my company's T2?
Not necessarily. Personal and corporate returns are separate forms, so check the CRA's certified list for corporation filing.
What is the penalty for not filing electronically?
The CRA says it charges $1,000 when a corporation required to file electronically doesn't.
When is the T2 due?
Six months after the end of the tax year. The tax balance is generally due after two months, or three for some CCPCs.
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