Filing Outstanding Tax Returns
2014 is now coming to a close, but you haven’t filed your 2010 personal taxes!
Haven’t filed your personal or corporate taxes in several years or more?
Are you having trouble sleeping at night, wondering when the tax man’s axe will fall on you?
Worry no further – with proper preparation, strategies and filing process, your situation may not be as bad as you think!
What is affected if I don’t file a tax return?
- The bank almost always insists on the notice of assessment of corporate or personal tax returns in order for borrowing for a big purchase like a house.
- CPP benefits, old age security payments, GST/HST and child tax benefits will be reduced or stopped.
- Once Canada Revenue discovers unfiled tax returns and cannot contact you they may issue estimated assessments or tax invoices. These estimated assessments can be 2 to 3 times what Canada Revenue suspects your income to be and will included penalties and interest.
- And many more….
What can I do, it is too late and I am too far behind!
- Don’t worry not all is lost, it is better for you to file outstanding tax returns before CRA requests them.
- If you deliberately not declared income or overstated expenses, you can still request amendments to prior year’s returns.
- If you have simply not bother to file tax return, there are advantages to gathering your income and expenses for multiple years so the big picture is available.
- It is usually not as bad as it seems, you may actually get a refund!
- CRA cannot prosecute you criminally once you have filed correct tax returns before they have required you to do so. It is not illegal to owe tax.
- Payment arrangements can be made with Canada Revenue.
- The first step is to talk with an accountant!
Call Ann Harper Inc. Chartered Professional Accountant toll free at 1-888-368-0106 to discuss your tax preparation needs!