Tax Filing Obligations
As a resident of Canada receiving taxable income, you are obligated to file an annual T1 Income Tax Return each year. Canadian Corporations have an obligation to file annual T2 Income Tax Return. In some cases, Partnerships and Not-For-Profit Corporations must file annual Information Returns. Businesses who are registered for HST must file remittances each month, quarterly or year depending on the size of the business.
Many individuals or corporations are not up-to-date with their Income Tax Returns or GST Remittances.
Consequences of Unfiled Returns
If you have several years of outstanding returns, the CRA could issue arbitrary Notice of Assessments which demand that you pay tax on false earnings. These types of assessments typically require you to pay more tax than you would have if you had filed returns. This is because in notionally assessing you, the CRA imputes the highest earnings figure and does not consider business expenses to offset business income or Input Tax Credits to offset GST/HST owed.
We’re Here to Help
As part of our comprehensive and full service corporate and tax approach, we partner with accountants to prepare these outstanding returns so you are up to date and in good standing with the CRA.
Unfiled tax returns? We’re here to help™.