No More Sworn Testimony, But Audits Are Still Stress Inducing

“That” Phrase: it’s one no taxpayer wants to hear – digitally or otherwise. “You’re being audited.” If you’ve had to deliver that news you’ll know that the reaction can range from indignity to shock to panic. Based on the latest piece of legislation before Parliament, you might have to tell more of your clients to buckle up, it’s going to be a bumpy ride. CRA will now have greater powers. Consider this:

Whatever you want in life, other people are going to want it too. Believe in yourself enough to accept the idea that you have an equal right to it. Diane Sawyer

The refundable tax credits replacing the Family Tax Cut, Universal Child Care Benefit arrive this week.  What to expect?  Tax and financial advisors could be very busy tending to questions about the whether the size of the cheques is right, and filing 2015 tax returns for delinquent filers.

Leaked documents from CRA have been reported in China, indicating that 50 tax auditors and 35 additional staff have been deployed to crackdown on real estate tax cheats in Vancouver.  CRA confirmed to the CBC that indeed 339 audits have reaped $14 million in tax recoveries in 2015/2016.   Here’s how to stay out of trouble.

A just-released synopsis of the FINRA National Financial Capabilities survey of close to 30,000 Americans from June to October 2015 showed a stunning lack of financial understanding there; at a time when wealth and income inequality is at an extreme not seen since World War II. But Canadians did not do much better.

It’s been a month of turmoil in France, Turkey, the US and even Brazil.  In such times people consider alternative investments, such as gold (traditionally) and bitcoins (non-traditionally), as safe havens.

The province of BC has decided to take the Canada Pension Plan changes to its citizens, rather than signing on to the federal agreement to raise rates and change benefits, indicating it thinks the federal government should do the same.