If any of following cases apply to you as an Canadian Tax Resident, please consider use the VDP – Voluntary Disclosures Program to correct your tax affairs with CRA.
Beyond the VDP is the opportunity to apply for Taxpayer Relief for full or partial relief of penalties and or interest, if applicable.
Save yourself the hassle of being subjected to someone else’s agenda. Know your rights, and your options. Know the truth.
For further information or to discuss the VDP and Taxpayer Relief provisions, send an email to us at TaxServices@AccXpert.com
Robert has not filed his income tax returns for a number of years
Since becoming a resident of Canada three years ago, Robert has not filed a Canadian income tax return. While at his local community centre, he found out that he must report his income by filing an income tax return. Robert can fix his situation by contacting the CRA and completing Form RC199, VDP Taxpayer Agreement,and sending it to the indicated tax centre. By filing his returns through the Voluntary Disclosures Program, Robert may not have to pay penalties or be taken to court for the information disclosed.
Jill did not report her interest income earned outside of Canada or file her T1135 Foreign Income Verification Statement
For the past five years, Jill, a resident of Quebec, has always filed her income tax return correctly and on time and is in good standing with the CRA. After her grandfather passed away five years ago, she inherited $100,000 from investments he had made in a foreign bank. Jill was not aware that she had to report the income from this investment on her tax return and file Form T1135 to disclose this asset. Jill should consider making a disclosure and correcting her tax situation by filling out Form RC199, VDP Taxpayer Agreement, and sending it to the indicated tax centre. If she qualifies under the program, she may not have to pay penalties or be taken to court for the information disclosed.
Joe did not report his investment income on his income tax return
Since his kids moved out of his house in Nova Scotia, Joe has started to invest his “extra” money into a mutual fund. His smart investments helped him earn interest and dividend income, but unfortunately, he forgot to declare this income over the last few years on his personal income tax returns. Joe should consider fixing his mistakes by making a voluntary disclosure usingForm RC199, VDP Taxpayer Agreement, and sending it to the indicated tax centre. If he qualifies under the program, he may not have to pay penalties or be taken to court for the information disclosed.
Peter did not report the money he received from doing odd jobs
Peter has been a contractor in the construction industry for the past ten years. In his spare time, he often does odd jobs for cash but has not reported the money he earns as income on his tax return. While getting supplies at the lumber yard, he heard another contractor talking about being audited for income taxes. Peter can fix his situation by contacting the CRA and completing Form RC199, VDP Taxpayer Agreement, and sending it to the indicated tax centre. If he qualifies under the program, he may not have to pay penalties or be taken to court for the information disclosed. He can then stop worrying about being audited regarding those jobs and risk incurring penalties for under-reporting his income.
This non-resident company did not withhold, remit and report on payments made to non-resident sub-contractors for the work they did in Canada
A US technology company won a contract to provide its services in Canada on a project in Ontario. During the project, which lasted a few years, the US company sub-contracted several non-resident independent contractors. However, the company did not withhold and remit any taxes to the CRA under Regulation 105, nor did it receive authorization from the CRA not to withhold. The owners of the company are now concerned that they may be subject to audit and penalties for the amounts owing. The company should make a disclosure and correct its tax situation by filling out Form RC199, VDP Taxpayer Agreement, and sending it to the indicated tax centre. If the US company qualifies under the program, it may not have to pay penalties or be taken to court for the information disclosed.
