Audits

In Canada, the obligation to report income accurately to the Canada Revenue Agency (CRA) is not just a legal requirement but a cornerstone of our tax system. However, instances of unreported income can arise due to various reasons, sometimes inadvertently, leading to potential legal implications with the CRA. Understanding Unreported Income...

It is crucial to understand whether a real estate transaction in Canada is subject to the Goods and Services Tax (GST) and Harmonized Sales Tax (HST). For those dealing with residential complexes, certain sales may be exempt from GST/HST under specific conditions outlined in the Excise Tax Act (ETA). Canada Revenue Agency (CRA) audits targeting...

When dealing with the Canada Revenue Agency (CRA), it’s crucial to understand the significance of having access to all relevant working papers, documentation, and information. This is especially true when preparing to arguments in support of a Notice of Objection. Failing to obtain and thoroughly review these documents can severely...

Are you considering leaving Canada for tax purposes, otherwise known as becoming a non-resident of Canada for tax purposes? Whether you’re relocating for work, retirement, or simply seeking a change in lifestyle, there are important tax implications to consider.Why People Leave Canada for Tax Purposes There are several reasons why...

Tax deductions play a crucial role in reducing the taxable income of small businesses in Toronto, allowing them to retain more of their hard-earned profits. Understanding and maximizing available deductions can significantly impact the financial health of small businesses. In this blog post, we’ll explore the importance of tax deductions...

As a tax lawyer, I understand the stress and uncertainty that comes with receiving a notice of an audit, especially when it pertains to being classified as a personal services business. Being audited for this classification can be daunting, but it’s crucial to remember that you have rights and options. In this blog post, I’ll dive...

When selling a property, difficult rules and exceptions or exemptions may apply. Among these rules lies Subsection 191(5) of the Excise Tax Act (ETA), which introduces an exception that can significantly impact builders of residential complexes or additions. Normally, when a builder moves into a home, they must self-assess GST/HST. This means...

Renovating a property can be an exciting endeavor, whether it’s for personal enjoyment or as an investment. However, when it comes to tax implications, particularly under the Goods and Services Tax/Harmonized Sales Tax (GST/HST) in Canada, understanding what constitutes a substantial renovation is crucial. The reason is because if you...

Receiving a notice of audit from the Canada Revenue Agency (CRA) can be a daunting experience for taxpayers. However, with the right approach and guidance, navigating a CRA audit can be manageable and less stressful. In this blog post, we’ll discuss tips on how to handle CRA audits effectively, drawing insights from a Toronto tax...

Tax Free Savings Accounts (“TFSA”) have been available to Canadian resident taxpayers since 2009. Each year taxpayers can contribute an additional amount to their TFSA. As the name suggests, the income/capital gains earned in the account are tax-free. But what happens is you contribute more than you are allowed to? TFSA Over-Contribution Penalty...