The Ontario government is taking measures to uproot tax cheats by creating teams of specialized auditors after budget numbers show upwards of $930 million since 2013-2014 has been collected through CRA enhanced methods.
This money is only part of what Statistics Canada estimated the total underground activity in Canada to be – about $42.4 billion, or 2.3%.
Part of this program is the targeting of electronic sales suppression devices or software, also known as zappers, which were made illegal in last year’s budget, the article noting “When some businesses use sophisticated technology or software to hide sales, they take an unfair advantage over others by underreporting business income, paying less tax to government and retaining taxes paid by consumers.”
Through targeted measures, the CRA has collected over $835,000 is federal taxes evaded through the use of zappers.
However, these schemes are not the only targets. Private contractors such as roofers have also become a focus, thanks in part to an increase in health and safety concerns, as well as underreporting of income.
Read the full article here: http://www.thestar.com/business/2016/02/25/ontario-cracks-down-on-underground-economy-goes-after-tax-cheats.html.
If you are concerned that these programs designed to catch tax cheats may just lead agents to your door, call Tax Solutions Canada today. We can help you explore the various options for disclosure and relief: 1-888-868-1400.