5 Easiest Ways to Make Your Estimated Tax Payment
Staying on top of your estimated tax payments is crucial to avoid penalties and interest from the Canada Revenue Agency (CRA). Whether you’re self-employed, an investor, or a business owner, making tax payments on time is essential. The good news? Paying your estimated taxes is easier than ever!
Here are the five simplest ways to make your estimated tax payments quickly and securely.
✅ 1. Online Banking (Bill Payment Feature) 🏦
Most major Canadian banks allow you to pay your taxes online just like a bill payment. Simply log in to your online banking and set up Canada Revenue Agency – Tax Payments as a payee.
How to Do It:
✔️ Log in to your online banking account.
✔️ Select Bill Payments and choose CRA (Revenue Canada) – Tax Payments as the payee.
✔️ Enter your Social Insurance Number (SIN) or Business Number (BN) as the account number.
✔️ Enter the payment amount and confirm the transaction.
🔹 Pro Tip: Schedule your payments in advance to avoid late fees and ensure timely submission.
✅ 2. CRA My Payment (Direct Online Payment)
The CRA My Payment service allows you to pay directly from your bank account using Interac, Visa Debit, or Mastercard Debit.
How to Do It:
✔️ Visit the CRA My Payment portal on the CRA website.
✔️ Select the type of tax payment (e.g., personal income tax, corporate tax, GST/HST).
✔️ Enter your tax identification details and the amount due.
✔️ Choose your payment method and complete the transaction securely.
🔹 Pro Tip: Use Interac Online for an instant and secure transaction directly from your bank account.
✅ 3. Pre-Authorized Debit (PAD) Payments 📆
Want to set it and forget it? With CRA’s Pre-Authorized Debit (PAD) system, you can schedule automatic tax payments directly from your bank account.
How to Do It:
✔️ Log in to CRA My Account or CRA My Business Account.
✔️ Navigate to Pre-Authorized Debit (PAD) setup.
✔️ Enter your bank account details and choose payment frequency (one-time or recurring).
✔️ Confirm your authorization and the payment will be processed automatically.
🔹 Pro Tip: Use PAD for quarterly estimated tax payments to stay on schedule without worrying about due dates.
✅ 4. Credit Card, PayPal, or Interac e-Transfer
You can pay your estimated taxes using a credit card, PayPal, or Interac e-Transfer through third-party payment processors approved by the CRA.
How to Do It:
✔️ Visit a CRA-approved third-party payment provider (such as Plastiq or PaySimply).
✔️ Select the type of tax payment and enter your CRA tax details.
✔️ Choose Credit Card, PayPal, or Interac e-Transfer as your payment method.
✔️ Complete the transaction (note that service fees may apply).
🔹 Pro Tip: This method is useful if you need to earn credit card rewards or if you want to delay payment using your credit line.
✅ 5. In-Person at Your Bank or Canada Post
Prefer a physical payment method? You can still make tax payments in person at your bank branch or any Canada Post location.
How to Do It:
✔️ Visit your bank and request to make a CRA tax payment.
✔️ Provide your SIN, BN, or tax reference number along with the payment amount.
✔️ At Canada Post, use their MyMoney service to make payments with cash or debit.
✔️ Keep your receipt as proof of payment.
🔹 Pro Tip: This is a great option if you prefer handling payments in person or don’t use online banking.
🚀 Stay on Top of Your Taxes!
Making estimated tax payments on time is essential to avoid penalties and interest charges from the CRA. Choose the method that works best for you and stay proactive with your tax planning.
Need help with your taxes? Roy’s Tax & Accounting Services can assist with tax planning, payment scheduling, and CRA compliance to keep you on track.
📞 Call us today at 905-458-4445, 416-676-ROYS, 416-676-7697
📧 Email us at info@roystaxservices.com
🌐 Visit us at roystaxservices.com
✨ Book a consultation today and make tax season stress-free!
