Tax Records in Canada 2026: In Canada, the retention period for tax records is generally 6 years from the end of the tax year to which they relate. Here’s a detailed breakdown for 2026:
- Individuals:
- Keep records (e.g., receipts, T4s, invoices) until December 31, 2032 (six years after the 2026 tax year ends).
- Exceptions:
- Loss carry-forwards: Retain records for as long as the loss is applied (e.g., non-capital losses can be carried forward up to 20 years) plus six years after the tax year the loss is applied.
- Property sales: Keep records related to purchases or improvements until six years after the tax year in which the property is sold.
- Businesses/Corporations:
- Same six-year rule applies, starting from the end of the corporation’s fiscal year. For a 2026 tax year, retain records until December 31, 2032 (or fiscal year-end + six years).
- GST/HST Records:
- Businesses must retain these for six years from the end of the reporting period.
- Special Cases:
- Audits/Disputes: If the CRA requests records during an audit or objection process, you must provide them even beyond six years (if still available).
- Digital Records: Accepted by the CRA if legible and accessible.
- Key Exceptions:
- If you file a notice of objection or appeal, retain records until the issue is resolved.
- Destroying records to evade taxes is illegal, regardless of the retention period.
Summary: For the 2026 tax year, retain records until at least December 31, 2032, unless specific circumstances (e.g., property sales, audits, or loss carry-forwards) require a longer period. Always verify with the CRA for any legislative updates post-2023.
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