Who files a tax return for a deceased person in Canada?

The legal representative (executor or administrator of the estate) is responsible for filing the deceased's final tax return. This is typically the person named in the will or appointed by the court.

What is the deadline for filing a deceased person's tax return?

If the person died between January 1 and October 31, the final return is due April 30 of the following year (the normal deadline). If they died between November 1 and December 31, the return is due 6 months after the date of death.

Is there a deemed disposition at death in Canada?

Yes. The CRA treats the deceased as having sold all capital property at fair market value immediately before death. This triggers capital gains tax on any appreciated assets (stocks, real estate, etc.) unless rolled over to a spouse or qualifying trust.

How to File Taxes for a Deceased Person in Canada

Overview: Tax Filing for a Deceased Person

When someone passes away in Canada, their legal representative must file one or more tax returns to settle their tax obligations.

Types of Returns

Return	What It Covers	Required?
Final return (T1)	Income from Jan 1 to date of death	✅ Mandatory
Rights and things return	Income owed but not received at death	Optional (may save tax)
T3 Trust Return	Income earned by the estate after death	✅ If estate earns income
Prior-year returns	Any unfiled returns from previous years	✅ If outstanding

Filing Deadlines

Date of Death	Final Return Deadline	Balance Due Date
January 1 – October 31	April 30 of next year	April 30
November 1 – December 31	6 months after death	6 months after death

Step-by-Step Process

Step 1: Obtain Necessary Documents

Death certificate
Social Insurance Number (SIN) of deceased
Will and executor appointment (or court-appointed administrator)
All T-slips (T4, T5, T3, T4A, etc.)
Records of property owned at death

Step 2: Notify the CRA

Call CRA at 1-800-959-8281
Provide death certificate and executor documentation
Request the deceased’s prior tax records if needed

Step 3: File the Final Return

Report all income from January 1 to date of death
Claim all eligible credits and deductions
Report deemed disposition of capital property

Step 4: Report Deemed Disposition

Asset	Treatment at Death
TFSA	Tax-free transfer to successor holder or beneficiary
RRSP/RRIF	Full amount included as income (unless rolled to spouse)
Principal residence	Exempt from capital gains (principal residence exemption)
Stocks/investments	Deemed sold at FMV — capital gains tax applies
Rental property	FMV minus ACB = capital gain

Step 5: Request a Clearance Certificate

File Form TX19 with CRA after all returns are filed and taxes paid
CRA confirms no outstanding tax debt
Do not distribute estate assets without this certificate — executor may be personally liable

Tax-Saving Strategies

Strategy	How It Helps
Spousal rollover	Transfer RRSP/RRIF to surviving spouse tax-free
Rights and things return	Split income across two returns (lower effective rate)
Charitable donations	Claim up to 100% of net income in year of death
Capital gains reserve	Spread gains over up to 10 years in some cases

Common Mistakes

Mistake	Consequence
Not filing on time	Interest and penalties accumulate
Distributing estate without clearance certificate	Executor personally liable for taxes
Missing the spousal rollover	Unnecessary tax on RRSP/RRIF
Forgetting deemed disposition	CRA reassessment and penalties