LEAP YEAR REMINDER: TRUST RETURN DEADLINE
If you are the trustee of a trust, or otherwise responsible for filing a “T3” trust income tax return, you need to be aware of the effect of 2020 being a leap year.
The deadline for filing the return for a trust with a December 31 year-end is often thought to be March 31, but it is not. It is 90 days after the year-end.
Because 2020 is a leap year, there were 29 days in February. As a result, the deadline is Monday March 30, not Tuesday March 31.
Missing the deadline by just one day can result in a 5% penalty for any unpaid tax, and can cause serious problems if certain elections that are required to be filed by the return deadline are not made on time.