How to File Taxes in Canada as a Newcomer: A First-Timer’s Guide

You arrive in Canada expecting the first wave of paperwork to be immigration forms and SIN applications. Nobody warns you about the tax return.

The anxiety tends to set in around February or March of the year after you land.

You hear people talking about tax season, you search online for how the Canadian tax system works, and you immediately find language written for accountants; not for someone who is still learning which grocery store is closest to their apartment.

The fear is understandable. But in most cases, it is larger than the problem deserves.

For the majority of families in their first Canadian tax year, the return is more manageable than it looks.

This article covers everything else: who has to file, when the deadline falls, what income you need to declare, which forms apply to your family, and how the process works from start to finish.

Do Newcomers Have to File Taxes in Canada?

Yes, you are required to file a Canadian income tax return for the year you become a tax resident, regardless of how much you earned here.

You become a Canadian tax resident on the day you arrive and establish what the CRA calls significant residential ties: a home, a spouse or partner living in Canada, children in Canadian schools, or a work or study permit that connects you to the country.

For most newcomers arriving with a family, a home, and a work or study permit, residency begins on arrival day.

If your situation is less straightforward; for example, if you arrived first on a visitor visa before switching to a different status, the CRA’s Form NR74 can help you confirm your exact residency start date.

Here is what many families do not hear until it is too late: you should file even if you earned nothing in Canada. Filing a nil return – a return showing zero Canadian income is not a formality.

It is the mechanism that unlocks benefits like the Canada Child Benefit and quarterly payments under the Canada Groceries and Essentials Benefit. A missing return means missing those payments.

For families with young children, those payments can add up to several hundred dollars a month.

Worth knowing: Your first return also establishes your tax history with the CRA. That history is reviewed for immigration applications, mortgage approvals, and rental applications.

Filing every year from the first, even when your Canadian income is zero protects that record. A gap in your tax history is the kind of thing that surfaces at the worst possible moment.

When Is Your First Tax Return Due?

You do not file your return the moment you land. The Canadian tax year runs from January 1 to December 31. Returns for that year are filed the following spring, with a deadline of April 30.

If you arrived in Canada at any point in 2025 whether in January or in November; your first return covers the full 2025 tax year and is due by April 30, 2026.

If you or your spouse runs a business, the filing deadline extends to June 15, but any tax owing is still due by April 30. Paying after that date means interest begins to accumulate immediately.

Worth knowing: If April 30 falls on a weekend or a public holiday, the CRA accepts returns postmarked by the next business day.

What Income Do You Have to Declare

This is the question that generates the most anxiety, and it is worth being precise about.

You declare what the CRA calls world income: income from all sources, inside and outside Canada but only for the portion of the year you were a Canadian tax resident.

Income earned before your arrival date does not go on your Canadian T1 return. Your T1 covers the period from your arrival date to December 31.

Worth knowing: The CRA may separately request your pre-arrival income, from up to two years before you arrived through a process called a Statement of Income (SOI).

This is not about taxing that income. The CRA uses it to calculate your CGEB and CCB entitlement amounts. If you receive a letter from the CRA asking for this, it is routine. You can respond online through CRA My Account, by mail, or by phone.`

What counts as income in Canada:

• Employment income, reported on a T4 slip from your employer
• Self-employment or business income
• Investment income such as interest and dividends, reported on a T5 slip
• Rental income
• Foreign income earned after your arrival date, converted to Canadian dollars

One part that surprises many couples: your spouse’s world income must also be entered on your return, even if they did not earn a single dollar in Canada.

The CRA uses this figure to calculate what your household qualifies to receive in benefits. This is not about taxing your spouse’s foreign earnings, it is about calculating your family’s benefit entitlement accurately.

Worth knowing: If you owned significant foreign property or investments before arriving in Canada, the CRA may treat those assets as having changed in value on the date you became a Canadian tax resident. This can affect your first return. If this applies to your situation, speak to a tax professional before you file.

The Forms You Need

There are three documents most newcomer families will encounter in their first tax year. Understanding what each one does and what it is not will save you significant confusion at the kitchen table.

T1 General — Your Main Tax Return

The T1 General Income Tax and Benefit Return is the standard Canadian personal income tax return. Every resident files this form.

You need the T1 package specific to the province or territory where you lived on December 31 of the tax year. You can download it from the CRA website or request a paper copy by mail.

One change that took effect for the 2025 tax year: the CRA no longer automatically mails the T1 package to most individuals. You need to request or download it yourself, it will not arrive on its own.

Your T1 asks for your date of entry into Canada, the specific day you became a tax resident. Have that date confirmed before you sit down to begin.

Worth knowing: If you live in Quebec, a federal T1 return is not enough. Quebec operates its own provincial tax system and requires a separate return filed with Revenu Québec each year.

RC66 — For Families With Children Under 19

If you have children under 19, RC66 is one of the most consequential forms you will complete in your first year in Canada.

The RC66 is the Canada Child Benefits Application. It covers the Canada Child Benefit, the GST/HST credit, and related provincial and territorial programs: all from a single application.

You submit it together with RC66SCH (Status in Canada and Income Information), which gives the CRA the residency and income details it needs to calculate your payments.

These forms are submitted separately from your T1 return, and you can file them as soon as you arrive in Canada. You do not need to wait for tax season. The sooner you submit, the sooner your payments begin.

Worth knowing: Your immigration status affects when CCB payments begin. Permanent residents and protected persons can start receiving CCB as soon as their application is processed and approved.

Temporary residents including those on work permits or study permits become eligible in the 19th month they have lived in Canada, provided their permit remains valid throughout that period.

If you hold a temporary resident permit, confirm your specific eligibility start date directly with the CRA before making any financial plans around this payment.

RC151 — If You Do Not Qualify for the Canada Child Benefit

If you do not have children, RC151 is your form. If you have children but do not meet the Canada Child Benefit eligibility criteria, RC151 also applies to you.

The form’s official name has been updated by the CRA. It is now the Canada Groceries and Essentials Benefit Application for Individuals Who Became Residents of Canada. It covers the Canada Groceries and Essentials Benefit, the quarterly payment that replaced the GST/HST credit.

If you have no children, you can submit this form entirely online. The CRA launched a digital version in May 2025, which means no printing and no mailing required.

If you have children and are submitting RC151 rather than RC66, you will need to download, complete, and mail the paper version along with proof of birth for any children you are registering.

How to File — Paper or Online?

There are two routes: filing online through NETFILE-certified software, or completing a paper return and mailing it to the CRA.

Many first-year filers end up filing by paper, and the reason comes down to two specific constraints.

To use NETFILE, Canada’s online filing system, you need a Social Insurance Number. Many families arrive before their SIN is confirmed, which makes paper their only option in that window.

There is a second reason that most guides do not mention. Even with a SIN in hand, NETFILE sometimes rejects first-time filer returns because the CRA has no prior record of you in their system.

It is not an error you made, it is a recognition issue on the system’s side that can affect first-time newcomer filers. If NETFILE rejects your return, file by paper for your first year.

The following year, once the CRA has your profile on record, online filing works smoothly.

Filing by paper: Download or request the T1 package for your province, complete it, and mail it to the CRA address listed in the package. Paper returns take up to eight weeks to process.

Filing online: If you have a SIN and NETFILE accepts your return, certified tax software guides you through every step and submits your return directly to the CRA.

Processing is typically two weeks or faster.

There is also a third route worth knowing about: free tax clinics run by CRA-trained volunteers, available to people with modest incomes and straightforward tax situations. You can read our article on free tax filing tools and clinics available to newcomers in Canada.

Worth knowing: You do not need a CRA My Account to file your first return. You register for My Account after your return is assessed and your Notice of Assessment arrives.

What Happens After You File

Once your return is processed, the CRA sends a Notice of Assessment (NOA). This document confirms your return has been received and summarises whether you owe tax, are owed a refund, or have a zero balance.

Hold onto your NOA. You will need it to register for CRA My Account, and it is one of the most frequently requested documents during rental applications, mortgage approvals, and immigration processes.

If you earned income in Canada during the year, your NOA will also show your RRSP contribution room for the following year; a detail that becomes more relevant as your career in Canada develops.

If you are owed a refund, it arrives by direct deposit or cheque. Direct deposit, set up through CRA My Account once your account is active, is the faster option.

Benefits applied for through RC66 or RC151 will begin arriving once those applications are processed. Canada Child Benefit payments are monthly. The Canada Groceries and Essentials Benefit pays out quarterly.

What Filing Unlocks: CRA Benefits for Newcomer Families

Filing your first return does more than settle your account with the CRA. It activates a series of regular payments that continue for years, as long as you keep filing each year.

• Canada Child Benefit (CCB): Monthly, tax-free payments for families with children under 18. The amount is calculated from your household income and the number and ages of your children.
• Canada Groceries and Essentials Benefit (formerly the GST/HST credit): Quarterly payments that help offset the sales tax you pay on everyday purchases. Calculated automatically from your return.
• Ontario Trillium Benefit and equivalent provincial programs: Varies by province. Ontario families receive this quarterly, covering a portion of energy costs, property tax, and sales tax.

For a family with two young children and a modest household income, the combined value of these benefits can reach thousands of dollars each year.

They exist specifically to support families during the settlement period but they are only calculated and released once a return is on file.

Frequently Asked Questions

Do I have to file taxes if I arrived late in the year?

Yes. Even if you lived in Canada for only a few weeks of the tax year, you became a tax resident from the day you arrived. You file for that partial year, reporting income earned from your arrival date onward.

Do I need an accountant for my first return?

For families with straightforward situations: employment income in Canada, no self-employment income, and foreign assets below CAD100,000; free filing software handles the return well.

If your foreign assets exceed CAD100,000, you are legally required to file a T1135 (Foreign Income Verification Statement) alongside your T1 return. In that case, a tax professional is worth the cost.

If you have significant foreign income, rental properties, or a more complex financial picture, an accountant is worth the cost.

Can I file my first return online?

Possibly, but it is not guaranteed. You need a SIN, and NETFILE sometimes rejects first-time filer returns when the CRA has no existing record of you. If that happens, paper is your fallback for the first year.

Most families move to online filing the following year without any issues.

What about income I earned in my home country before I arrived?

Income earned before your Canadian arrival date does not go on your Canadian return. You report world income from the date you became a Canadian tax resident only.

What is a Notice of Assessment?

It is the CRA’s confirmation that your return has been processed. It states whether you owe tax, are receiving a refund, or have a zero balance. Keep it, it is frequently requested during rental applications, mortgage approvals, and immigration documentation.

Where to Start

Your first Canadian tax return is one of the most important things you will do in your first year, not because it is complicated, but because so much of what follows depends on it being done.

Three things to have ready before you sit down:

1. Your Social Insurance Number — You need a SIN to file online. The CRA also offers a Temporary Tax Number (TTN) as an alternative if Service Canada cannot issue your SIN.
2. Your exact date of arrival in Canada
3. Any income documents from Canadian employers, banks, or benefit payers — T4 slips, T5 slips, and similar documents arrive from employers and financial institutions by the end of February each year

If you have children, submit RC66 and RC66SCH as soon as possible after arriving. You do not need to wait for tax season. Those payments start from the date your application is processed, not from the date of your return.

When you are ready to file and want to understand which free tools are built for a family’s first Canadian return, free tax filing tools available to newcomers in Canada covers your options clearly.