Learn what remittance means in Canadian tax administration and why it matters in payroll and other CRA payment workflows.
A remittance is a payment sent to the CRA or another tax authority to satisfy a reporting or collection obligation.
Remittance is one of those terms that appears in payroll, GST/HST, and other tax workflows. If you misunderstand it, it becomes harder to see the difference between collecting an amount, reporting it, and actually sending it in.
In payroll context, remittance often refers to sending source deductions and related employer amounts to the CRA on the required schedule. In broader Canadian tax language, it can also refer to sending other required tax amounts, such as sales-tax amounts or balances that must be paid.
That is why the term is broader than “withholding.” Withholding is about taking money off a payment. Remittance is about sending the required amount to the authority that must receive it.
An employer may withhold income tax, CPP, and EI from employee pay. Those amounts still have to be remitted. The withholding step and the remittance step are related, but they are not the same action.
Remittance is not the same as a deduction itself.
It is also not limited to payroll. The same word can appear in GST/HST and other tax-payment workflows.
What is the difference between withholding and remittance? Answer: Withholding is the act of taking an amount from a payment. Remittance is the act of sending the required amount to the tax authority.
Is remittance used only in payroll language? Answer: No. It can also appear in other tax-payment workflows, including GST/HST context.
Schedules, remitter classifications, and payment channels depend on the tax program and taxpayer situation, so the exact remittance obligation should always be checked in the current CRA guidance.