Week's extension to file tax forms by Netfile; deadline for money due unchanged

Income-tax filers trying to access the Canada Revenue Agency's Internet site were in for long waits and repeated "time-outs" as the midnight filing deadline approached. As a result, the agency said anyone having difficulty sending or correcting their returns using Netfile will get a one-week extension, until May 6 - but that's only for the actual return.

Monies owing for the 2007 tax year still had to be paid by the April 30 deadline, said a spokeswoman for Revenue Minister Gordon O'Connor.

"It's actually not an extension," Ann Matejicka said in an interview. "Every year, the (agency) allows for a grace period of a week, which would bring us to May 6 for taxpayers who might have experienced any delays in submitting their returns online.

"People need to be aware of the fact that, if they owe money, it's still due by midnight (Wednesday night). However, they have until May 6 to transmit their returns."

Late filers who owe taxes to the government face a five per cent penalty, and that doubles to 10 per cent for habitual late filers.

More than 17 million people had filed returns by last Sunday, 6.3 million by paper and 10.4 million - almost two-thirds - electronically. Another 415,000 filed by telephone.

The 10 per cent increase in electronic filers over last year was anticipated, said Matejicka, but the site was gummed up nevertheless.

"It is a slowdown," she acknowledged, distinguishing it from technical problems. "There is nothing to resolve at this point.

"It's not a filing problem. The system's performing as planned. ... I can use the analogy, let's say, of using your debit card at Christmas time. There might be a slowdown to the system just because of the volume of people using that service."