The CRA conducts random reviews over the summer months to make sure that people are claiming their credits correctly. These requests from the CRA are not audits -- they are simply requests for supporting paperwork. However, some taxpayers will receive a Notice of Reassessment usually with an amount owing.
While the extension is good news for anybody who might have left their tax filing to the last minute, it demonstrates that mistakes can happen fairly easily. If the almighty taxman can miss updating a date on a memo then it's completely fathomable that we might make a few errors when it comes to our taxes. But tax mistakes can be costly.
If you don't owe, you may not feel any pressure to file but getting your tax return completed on time makes good financial sense. If you miss your tax filing deadline, you are immediately hit with a five per cent penalty on whatever you owe. It may be easy to put it off and file later, but you should remember that a tax refund is your money.
Everyone has their own style when it comes to filing their tax returns. You can file yourself, or use a tax pro, but make sure you file by the deadline. No matter how you choose to do your return, you want to make sure you are claiming all of the credits and deductions available so you don't pay any more tax than needed.
A report released today by the University of Victoria's Environmental Law Centre calls for sweeping reform of Canadian charitable law in line with other jurisdictions such as the U.S., Australia, New Zealand and England. Current rules around "political activity" are confusing and create an "intolerable state of uncertainty," the report says.
Children up to six years old will receive $160 per month or $1,920 for the year. Once they turn six, parents will receive $60 per month or $720 per year until the child turns 18. If you are a parent, it can make you excited about your taxes. However, it is not being paid out as part of your tax refund.
The debate about how "tricky" it is for the Director-General of CRA's Charity Directorate to consider political leanings when selecting charities for audits continues to rage in Canada. The outrage has reached the dreaded "gate" stage with respected opinion leaders asking "Why is this not considered Canada's own Auditgate scandal?"