When Is the T5018 Filing Deadline?
The T5018 filing deadline in Canada is six months after the end of the reporting period chosen by the construction business. A calendar-year filer with a period ending December 31, 2026, normally files by June 30, 2027. A business with a different fiscal period can have a different due date.
Qualifying construction businesses use T5018 slips to report payments made to Canadian-resident subcontractors. The return includes the slips and a T5018 Summary. Check your own period before choosing a deadline. Phoenix Knight Financial Services works with BC businesses on construction accounting and tax records.
T5018 Due Dates for 2026 and 2027
Here are examples of standard filing dates. These are examples, not a rule that all contractors share one deadline.
| Chosen reporting period ends | Normal T5018 due date | Who this example fits |
|---|---|---|
| June 30, 2026 | December 31, 2026 | Fiscal-period filer |
| September 30, 2026 | March 31, 2027 | Fiscal-period filer |
| December 31, 2026 | June 30, 2027 | Calendar-year filer |
If a due date falls on a Saturday, Sunday or CRA-recognized public holiday, the CRA accepts a return received or postmarked by the next business day. Special situations, such as closing a business, may change the normal rules.
Who Must File a T5018 in Canada?
A construction business generally needs to report payments when all three conditions apply:
- More than 50% of its business income comes from construction activities.
- It pays Canadian-resident subcontractors for construction services.
- It pays a subcontractor more than $500 during the reporting period, before GST/HST.
Construction can include home building, renovation, roofing, drywall, plumbing, electrical work, paving, and many other trades. The rules can apply to corporations, partnerships, trusts, and sole proprietors.
Example: A Surrey general contractor pays a local drywall subcontractor $4,000 for labour over the year. If the contractor meets the construction-income test, the payment normally belongs on a T5018 return.
When projects involve both staff and independent trades, contractor accounting support can help keep payment records and worker classifications organized.
What Is the $500 T5018 Reporting Rule?
Check total payments made to each subcontractor during your reporting period. The CRA's current guidance uses a threshold of more than $500, excluding GST/HST.
| Payment example | Report on T5018? | Reason |
|---|---|---|
| $450 for construction work, before tax | No, under the stated threshold | Not more than $500 |
| $1,000 for construction work, plus $50 GST | Yes | Threshold is met; report $1,050 in Box 22 |
| $2,000 for goods only | No | Goods-only payments are excluded |
| $700 for work done by an employee | Not as subcontract work | Employee pay is generally reported on a T4 |
Remember: You test the threshold without GST/HST, but Box 22 includes GST/HST and PST, if applicable. Payments can include cash, cheques, barter, and amounts credited or offset against a debt.
Sales-tax reporting is a separate issue. See our BC GST and PST filing guide for background on those obligations.
How to File T5018 Slips and the T5018 Summary
Use these steps to prepare a clean return:
- Choose the reporting period. Use the calendar year or your fiscal period.
- List subcontractors. Gather names, addresses, and required SIN or business account numbers.
- Add payments. Use actual amounts paid during the period, not only unpaid invoices.
- Prepare a T5018 for each reportable recipient. Check Box 20 for the period end, Box 22 for payments, and Box 24 for the identifier.
- Prepare the T5018 Summary. Match the totals to the slips.
- File with the CRA by the deadline. Save your submission confirmation and supporting records.
Do You Have to File T5018 Online?
Yes, if you file more than five T5018 slips of the same type. Since 2024, the CRA requires electronic filing above that threshold. CRA Web Forms and Internet File Transfer are available. A paper return may be allowed when you are not required to file electronically.
The CRA also accepts a correctly prepared listing or printout with all required T5018 and summary details in eligible circumstances. Do not send only the summary without slips.
What Happens If You File a T5018 Late?
The CRA may charge a late-filing penalty. Its reduced administrative penalty for certain slips, including T5018, depends on how many slips are filed late.
| Number of late T5018 slips | CRA reduced penalty |
|---|---|
| 1–5 | $100 flat penalty |
| 6–10 | $5 per day, up to $500 |
| 11–50 | $10 per day, up to $1,000 |
| 51–500 | $15 per day, up to $1,500 |
The CRA has additional tiers for more than 500 late slips. Filing more than five slips on paper when online filing is required may trigger a separate incorrect-format penalty. If you missed a deadline, review the payments and file the correct information as soon as possible.
Common T5018 Filing Mistakes to Avoid
- Using February 28 as the deadline. That is a common T4 deadline, not the standard T5018 rule.
- Counting GST/HST toward the $500 test. Test the threshold before GST/HST, then include applicable sales tax in Box 22.
- Reporting invoices instead of payments. T5018 reports amounts paid or credited during the period.
- Skipping small, repeated payments. Add each subcontractor's payments across the chosen period.
- Missing the summary or recipient details. Reconcile names, identifiers and totals before submission.
Keep a clear contractor ledger and confirm amounts against your bank records. For a larger team, proper bookkeeping can make this much easier. For broader business tax questions, read our BC contractor tax-planning guide.
T5018 vs. T4 vs. T4A: What Is the Difference?
| Slip | Typical use |
|---|---|
| T5018 | Report qualifying construction subcontractor payments. |
| T4 | Report employment income paid to employees. |
| T4A | Report certain other payments for services when applicable. |
Non-resident contractors can fall under other rules, including T4A-NR reporting. Worker status and tax residency matter, so check the facts before choosing a slip. Our payroll services page explains support with employee pay and reporting.
T5018 Filing Deadline: Frequently Asked Questions
Is the T5018 deadline always June 30?
No. June 30 applies to a December 31 reporting period. Other fiscal-period ends lead to other dates, normally six months later.
What is the T5018 filing deadline for the 2026 calendar year?
For a reporting period ending December 31, 2026, the normal deadline is June 30, 2027.
Do I file T5018 slips for subcontractors paid exactly $500?
CRA's current guidance states more than $500, before GST/HST. Review all payments to that subcontractor for the full reporting period.
Does a subcontractor need to receive a T5018 copy?
The CRA does not require payers to distribute T5018 slips to recipients, but you may give the subcontractor a copy.
Do I report only subcontractor labour, or materials too?
Goods-only payments are not reportable. If an invoice includes construction services and materials, review the service part and the CRA rules for mixed payments.
Can a bookkeeper or accountant file T5018 forms for me?
Yes. An authorized professional can help collect subcontractor records, reconcile payments, prepare slips, and file. The business remains responsible for the accuracy and timeliness of its return.
Need Help With T5018 Filing?
If you run a construction business in Surrey or the Lower Mainland, GoPK can help review your subcontractor payments, tidy your records, and prepare for reporting deadlines.
CRA Sources and Review Notes
This article uses current Canada Revenue Agency instructions and was reviewed on October 21, 2026. Tax rules depend on your business facts; confirm requirements before filing.