The CRA can seem intimidating — but most newcomers' first interaction is filing a return and receiving a refund or benefit payment.
What is the CRA?
The Canada Revenue Agency (CRA) is Canada's federal tax authority. It administers income tax returns, collects taxes, distributes benefit payments like the Canada Child Benefit and GST/HST credit, and manages registered accounts like RRSP and TFSA.
As a newcomer, your relationship with the CRA begins on the day you become a Canadian resident. You are required to file an income tax return for every year you are resident in Canada, even if your income was entirely earned abroad for part of the year.
Source: Canada Revenue Agency — canada.ca/cra
Your first steps with the CRA
1Get your SIN
Your Social Insurance Number is your identifier with the CRA. Without it, you cannot file a tax return or receive benefit payments. Get your SIN from Service Canada within your first week in Canada.
2Set up My CRA Account
Register at canada.ca/my-cra-account. You can sign in using a GCKey (government login) or through your bank (if your bank is a sign-in partner). My CRA Account lets you file returns, track refunds, view benefit payments, check RRSP room, and update your address.
3Set up direct deposit
In My CRA Account, add your Canadian bank account for direct deposit. All CRA payments — tax refunds, GST/HST credit, Canada Child Benefit — will be sent directly to your bank account instead of by cheque.
4File your first tax return
You must file by April 30 of the year following your first year of Canadian residence. Even if you owe no tax and earned no income, filing unlocks benefits and starts your RRSP room accumulation.
Your first Canadian tax return: what newcomers need to know
Canada taxes residents on their worldwide income from the date they became resident. If you arrived on June 15, you report Canadian income earned from June 15 onward, plus any foreign income from that date. The tax return for your arrival year has special newcomer rules — most tax software handles this automatically.
InfoTax filing deadline
April 30 (May 1 if April 30 is a Sunday). Self-employed: June 15, but any tax owed is still due April 30.
InfoFree tax filing software
TurboTax, Wealthsimple Tax (free), H&R Block, StudioTax. CRA also offers NETFILE-certified software list at canada.ca/netfile.
InfoFree tax clinics
The CRA's Community Volunteer Income Tax Program offers free tax preparation for simple returns, especially for newcomers and low-income individuals.
InfoYour T4 slip
Your employer sends your T4 (earnings summary) by the end of February. It shows total income and deductions. Keep it — you need it to file.
Benefits that start when you file your first return
Filing your tax return — even if you owe nothing — triggers your eligibility for several government benefit payments:
- ✓GST/HST Credit — quarterly cash payment to lower-income individuals and families
- ✓Canada Child Benefit (CCB) — monthly tax-free payment for families with children under 18
- ✓Ontario Trillium Benefit (OTB) and other provincial credits — vary by province
- ✓Climate Action Incentive Payment — quarterly payment for residents of eligible provinces
- ✓RRSP room starts accumulating — you cannot contribute until after your first filing
Frequently asked questions
Do I have to report foreign income on my Canadian tax return?▼
Yes. As a Canadian tax resident, you must report worldwide income — including income from your home country earned after your Canadian residency start date. Foreign tax credits may offset double taxation if you paid tax abroad on the same income.
What if I miss the tax filing deadline?▼
You are charged a late-filing penalty of 5% of any balance owing, plus 1% per month for up to 12 months. If you are owed a refund or owe nothing, there is no penalty — but file anyway to unlock benefits.
Can I call the CRA if I have questions?▼
Yes. The CRA Individual Enquiries line is 1-800-959-8281. Wait times can be long. For newcomer-specific questions, the CRA also offers information at canada.ca/taxes-newcomers.