Tax Tip - Trucking industry: Make sure you're meeting your reporting obligations

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Tax Tip - Trucking industry: Make sure you're meeting your reporting obligations

Canada NewsWire

OTTAWA, ON, Feb. 5, 2026

OTTAWA, ON, Feb. 5, 2026 /CNW/ - Trucking is essential to connecting Canada and supporting our economy, but tax non-compliance in this sector undermines fair competition. If you operate a business in the trucking industry, there are important tax reporting requirements you need to follow to stay compliant and avoid penalties.

Reporting fees for services in the trucking industry

Starting with the 2025 tax year, the Canada Revenue Agency (CRA) has lifted the moratorium on penalties for failure to report fees for service transactions in the trucking industry. This means if your trucking business makes payments of fees for services over $500 in a calendar year to a Canadian-controlled private corporation (CCPC) in the trucking industry, you must report these amounts in box 048, "Fees for services," of the T4A slip. Failure to do so can result in penalties.

Who this applies to

Your business is considered to be operating in the trucking industry if your primary source of income is from trucking activities. Primary source of income is defined as representing more than 50% of a business's income-earning activities.

You can see a list of applicable and non-applicable activities at Compliance requirements for the trucking industry.

How to report

To meet your obligations:

  • Open a payroll account with the CRA if you don't already have one.
  • Complete a T4A slip with the total amount paid to a CCPC during the calendar year in box 048.
  • Issue the completed T4A slip to the recipient by the last day of February of the following year.
  • Include the total of the amounts reported on all T4A slips on a T4A summary.
  • File both the T4A slips and summary with the CRA.

For the 2025 tax year, payments for fees for service must be reported to the CRA by February 28, 2026. Since this date falls on a Saturday, an information return will be considered on time if the CRA receives it or it is postmarked on or before March 2, 2026. 

Personal services businesses

If you set up a corporation to provide your services to another company that would normally be done by an employee of that company, your corporation may be considered to be operating a personal services business (PSB). 

As a corporation operating a PSB in the trucking industry, you should receive a completed T4A slip reporting the fees for services paid to you by another business in the trucking industry. This will give you an accurate representation of the income your corporation has earned throughout the year. You must also issue T4A slips for payments your corporation makes to other CCPCs in the trucking industry.

Note: PSBs are subject to different tax rules under the Income Tax Act, and therefore have different tax obligations compared to other corporations. See Understand your obligations as a corporation carrying on a PSB or the payer of a PSB for details.

These reporting requirements help improve transparency, strengthen compliance, and ensure both payers and workers are meeting their tax obligations. For more information, including detailed examples, please visit Compliance requirements for the trucking industry.

Contacts 

Media Relations
Canada Revenue Agency
613-948-8366
cra-arc.media@cra-arc.gc.ca

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SOURCE Canada Revenue Agency