They told me it was untaxable in 1965' no excuse for failing to declare income, judge finds

Adsense


While Canada’s tax system is generally one of self-reporting, there are a variety of checks and balances built into it to verify that taxpayers are, indeed, reporting their income properly each year. The most common method the Canada Revenue Agency has of checking up on us is to match the various types of income we report with the income that is reported on T-Slips, copies of which are electronically submitted to the agency by payors. For example, employers report employment income on a T4 slip, investment income is reported on T3 or T5 slips, the disposition of securities is reported by your broker on a T5008 slip and RRSP withdrawals are tracked on T4RSP slips

A 2017 report studying the tax gap found that for the 2014 tax year, 86 per cent of income assessed on our personal tax returns was “assured,” meaning that it can be independently verified by the CRA by matching information reported by taxpayers with information provided by arm’s-length third parties.
But just because the CRA knows about the income reported on your tax doesn’t mean you’re off the hook from reporting that income on your return. Indeed, you can rack up significant penalties and arrears interest for the non-reporting of the income, even if the CRA has the info already.



Powered by Blogger.