What Happens if I Don’t File a Nil T2?
$300.00 Plus HST Per Tax Year
We are a registered EFILE electronic filer. Your return is transmitted to the Canada Revenue Agency electronically.
Written and reviewed by Sharad Gondaliya, CPA (Ontario), CPA Ontario Membership 61040184.
The tax year stays open and the Canada Revenue Agency can demand the return and assess the corporation arbitrarily. Every resident corporation must file a T2 within six months of its fiscal year-end, every year, until it is formally dissolved. Having no revenue and no bank activity does not remove the obligation.
What Happens if I Don’t File a Nil T2?
| What applies | Figure |
|---|---|
| Months after the fiscal year-end to file | 6 |
| Tax owing on a true nil return | $0.00 |
| Percentage late-filing penalty on a true nil return | $0.00 |
| Non-resident-owned corporation penalty | $25.00 per day, to $2,500.00 |
| How long an unfiled year stays open | Until it is filed |
| Fee to file | $300.00 plus HST per tax year |
A true nil return carries no percentage late-filing penalty, because that penalty is a percentage of tax owing and the corporation owes $0.00. The unfiled year still stays open forever, invites a demand to file and an arbitrary assessment, blocks a clearance certificate and dissolution, and costs a non-resident-owned corporation $25.00 per day up to $2,500.00.
A demand to file is a formal request from the Canada Revenue Agency, and an arbitrary assessment is a figure the Agency sets itself when no return arrives. Filing the real return replaces that figure with the corporation’s own.
Filing a Nil Return
This service is for a corporation with no activity in the tax year. A corporation with investment income, rental income, or dividends paid or received is not nil.
We are a registered EFILE electronic filer. Your return is transmitted to the Canada Revenue Agency electronically, and your CRA confirmation is emailed within 3 business days. You sign Form T183CORP before we transmit. The fee is $300.00 plus HST per tax year. See the full nil T2 filing cost, every T2 filing deadline, and catch-up nil T2 filing for outstanding years.
For the whole subject in one place, see the complete guide to the nil T2 return.
Related Questions
- What happens after five unfiled years
- What happens if dissolving without filing
- What happens if not reporting dormancy
- What happens if ignoring a demand
Last reviewed: October 16, 2026