The CRA late filing penalty (as a result of not filing your previous year’s tax return on time) may be 10% of the total CRA tax owing, plus 2% of the CRA tax owing for each full month your return was late, for up to 20 months. This is in addition to the compound interest which will be charged on your tax debt and penalty, retroactive to when you should have filed.
A CRA tax penalty and interest can be crippling and cause your tax debt to balloon to a size that can make it impossible to pay CRA under terms they will accept and that you can live with.
If you have a tax debt and you’re concerned that you can’t pay CRA, we can help you to:
Tax Solutions Canada offers you a free initial consultation, during which we review your specific tax problems over the phone. To request your free consultation, please call us at (855) 662-7229, or fill in the form on the top of this page.