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The final return is due April 30 of the next year or six months after the death, whichever is later. The legal representative files it, and most property is treated as sold at its fair market value on the date of death.
You’re dealing with a loss, and then a lot of paperwork you’ve never seen. Here’s what the tax side usually involves, in the order it tends to come up.
What is the final return?
The person who died files a final return covering January 1 to the date of death. It’s due on April 30 of the following year, or six months after the death, whichever is later. The legal representative, usually the executor, files it and signs it. The filing guide covers the basics.
What’s treated as sold?
Most property is treated as sold at its fair market value on the date of death. There are exceptions: property left to a spouse can usually move without tax. RRSP and RRIF balances are generally taxed in the final return unless they pass to a spouse. Use the capital gains calculator for an estimate.
What about the estate?
The estate may have its own returns, and some provinces charge a fee to administer it. In Ontario that’s the estate administration tax, which you can estimate with the estate administration tax calculator.
Ask for a clearance certificate.
Before you act on this page
You’re reading a general overview, and it can’t see your slips, your province or your family, so you shouldn’t treat it as advice for your own return. If anything here doesn’t match a letter from the CRA, the letter wins.
Stuck?
Ask a qualified preparer or the CRA itself, and keep the document checklist, the tax calendar and the filing guide close by. Not sure which province’s rules apply to you? The province index lists them all.
Frequently asked questions
When is the final tax return due?
April 30 of the next year, or six months after the date of death, whichever is later. Tax owing is due on that date too.
Who files it?
The legal representative, usually the executor named in the will, files the final return and any returns for the estate.
Is there tax when someone dies?
There can be. Most property is treated as sold at its fair market value on the date of death, with some exceptions, such as a spouse.
Do I need a clearance certificate?
Often, before you hand out the estate. It shows the CRA is satisfied that taxes are paid, and it protects the representative from later claims.
Information only. This page is general information, not tax, legal or accounting advice. Tax-Services.ca is an independent publisher: we don't prepare or file tax returns or offer tax services, and we have no connection with the CRA, Revenu Québec, any government or any company named on this page. Check the figures that matter with an official source or a qualified professional.