Looks like GST/HST return processing will also be delayed, especially if you file close to or after March 19th. CRA is going to be replacing their current GST/HST system from March 19th to April 9, 2007 (3 weeks!). There’s definitely going to be a service interruption.

This does not mean you can file your return later or put off payments, though. The new failure to file penalty is

1% of the amount unpaid or outstanding for the reporting period as of the return due date, plus 0.25% of the overdue amount times the number of complete months the return was overdue, to a maximum of 12 moths.

We incorporated in 2004, but in May 2006 we reverted back to a non-incorporated partnership. With the final Incorporated tax return we’re dissolving the corporation.

Our corporate tax return was delivered exactly 3 months ago and they’re still working on it. Apparently there’s a huge backlog of returns and they’re processing them very slowly. I was advised to call back in 2 weeks and if I don’t get a Notice of Assessment by then, they’ll put in a search request.

They said the dissolution is NOT the cause of the delay, just a very large volume of work.