If you’ve received an unexpectedly large tax refund, the Globe and Mail says be wary – it may be a CRA error. Even if you’ve done your due diligence, had your taxes completed and filed through a tax professional, that doesn’t mean that the CRA won’t make a mistake.
This recent Globe and Mail article explains just how prolific this issue is – and why it is such a problem. The sheer volume of paperwork and data entry done by CRA agents is bound to result in mistakes – but those mistakes end up costing you – the taxpayer – not the government. Check it out here: http://www.theglobeandmail.com/globe-investor/personal-finance/taxes/what-to-do-when-you-suspect-the-cra-has-made-a-mistake-on-your-taxes/article32442238/.
If there is an error, the onus is always on the taxpayer to recognize and fix the problem – even if the error originated with the CRA.
Our very own James Bell weighed in, noting that “There’s an enormous amount of uncollected debt in Canada…Collections is under a great deal of pressure to turn that accounts receivable into cash. Some of the more wealthy, better-represented taxpayers out there are protected by various corporations and organizational structures. But for the average Canadian, they can hammer away at you very quickly.”
If you’re an average Canadian taxpayer, the consequential enforcement action may include a property lien, wage garnishment or frozen bank account. Ignoring the problem is only going to make it worse.
If you’re suffering from a CRA error which has resulted in a tax debt or enforcement action thanks to that tax debt, call Tax Solutions Canada. We can help you resolve the issue: 1-888-868-1400.