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Know which instalment schedule applies

CRA may require instalments when your tax owing passes the applicable threshold. Individuals often pay quarterly, while corporations may pay monthly or quarterly depending on eligibility. Your notice or online CRA account is the best starting point because it reflects the schedule CRA expects you to follow.

Build instalments into cash flow

Treat each instalment as a planned operating outflow rather than a surprise tax bill. Set aside funds as revenue arrives, schedule reminders ahead of each deadline, and reconcile payments to your CRA account. If income changes materially, ask whether the instalment amount should be recalculated.

Avoid interest with an early review

Missing or underpaying an instalment can create interest even when the final return is filed on time. Review the schedule early in the year and again when profit changes. A short planning conversation is usually easier than correcting a growing balance later.