T2125 is the CRA form for reporting self-employment and professional income as part of your T1 return.

When are instalment payments due?

CRA quarterly instalments are typically due March 15, June 15, September 15, and December 15 for self-employed taxpayers who owe tax.

What is the difference between CPP and EI for self-employed?

Self-employed workers pay CPP on net earnings. EI is optional for self-employed persons in most cases unless you opt in.

When are CRA instalments due?

Quarterly instalments are typically due March 15, June 15, September 15, and December 15 for individuals who owe tax.

Canada — federal + Ontario default · Tax year 2025 · Self-employment income

Canada Self-Employed Tax Calculator

Estimate federal and Ontario provincial tax, CPP, and quarterly instalments on T2125 net income.

Self-employment gross income (CAD)

Business expenses (CAD)

Province

Net income (T2125)

$53,000.00

CPP contributions

$5,890.50

Federal tax

$7,508.21

Provincial tax

$2,527.76

Total estimated tax

$15,926.48

Quarterly instalment (est.)

$3,981.62

Effective rate

30.0%

Tax year 2025 · CRA self-employed estimate · CPP at combined self-employed rate

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Canada self-employment tax (T2125) guide

Reporting self-employment income

Self-employment and professional income is reported on Form T2125 as part of your T1 return. Net income is subject to federal and provincial tax plus Canada Pension Plan (CPP) contributions.

This calculator defaults to federal plus Ontario provincial rates. Other provinces use different brackets — treat results as directional if you reside elsewhere.

CPP and instalments

Self-employed individuals pay both employee and employer CPP portions on net earnings within prescribed limits. Instalment payments may be required if your balance due exceeds CRA thresholds.

Business expenses reduce net income. Common deductions include home office, vehicle, software, and professional development — subject to CRA rules.

Frequently asked questions

?What is T2125?: T2125 is the CRA form for reporting self-employment and professional income as part of your T1 return.
?When are instalment payments due?: CRA quarterly instalments are typically due March 15, June 15, September 15, and December 15 for self-employed taxpayers who owe tax.
?What is the difference between CPP and EI for self-employed?: Self-employed workers pay CPP on net earnings. EI is optional for self-employed persons in most cases unless you opt in.
?When are CRA instalments due?: Quarterly instalments are typically due March 15, June 15, September 15, and December 15 for individuals who owe tax.