Kevin's blog

I know that most of you are still thinking (and stressing) about Christmas and all the things that still need to be done, but I need you to start thinking about something else that will be upon you before you are ready. What is it? Glad you asked. RRSP’s (Registered Retirement Savings Plans).  As most of you know the deadline for contributions is the end of February.  Now is a good time to start planning and saving.  There are also a few things I would like to share to make sure you don’t run into problems. Problems?

As a short follow up to the previous blog with this title, here are the results.

I dealt with a very nice appeals officer in Calgary who will remain nameless to protect their identity.  The appeals officer basically allowed all the expenses as claimed with a few minor changes for items that should have been capitalized when the original return was filed.  In short, I win CRA auditor looses (BOOYAH!!!!!   Happy dance time.)   So there are people at the CRA that you can count on, and if you keep your documents properly and do your part things usually work out in the end.

Here is an interesting issue that needs to be dealt with.  Buying and selling on the internet is good, but if you are a business owner there are a few things that you should know.  If you are a seller, pay attention, because this will affect you as well.

Receipts

Buyers

The pun in the title is intended.  Because waiting on hold to talk to the CRA is a real pain in the ear, amongst other places (insert your own body location here).

I hate paying taxes as much as the next person, but there is a fine line between legally avoiding taxes and tax avoidance.  One is legal, and I highly encourage planning to legally avoid paying more tax than necessary, while tax avoidance is illegal and will get you in lots of trouble.  Below are a couple of Court cases that were recently decided.  Now, firstly let me say I am not picking on the specific organization mentioned in the Court cases, nor am I saying that they did anything wrong.  However, I will say that I am unclear as to what legal (Tax law) basis they

Ok, I know this is a little late, but who has time to vent when they actually have work to do?  Not just work.  I have been busier than a one-legged man at the proverbial butt kicking contest.

“Right, personal taxes”.  Why does everyone out there think that if you DON’T get a refund your accountant messed up?  Why does everyone think that a tax refund is free money?

Ok, sometimes if you don’t get a refund your accountant did screw up, but most of the time that is NOT the case.  I am going to share some tidbits now for everyone to consider.

So (don’t you just know there is a problem when I start a blog with the word “so”) a client go a letter from the CRA (didn’t see that coming did you?  Insert eye roll here).  The letter said that the CRA was not going to assess the client’s 2012 return because the client did a donation tax shelter.  They said that they were going to audit the tax shelter and would not assess the clients return until the tax shelter audit was completed.  The letter also said that if the client wants to renounce the tax shelter permanently then the CRA would assess the return immediately.  I have more than a

So I realize I have been a little reticent about writing blogs, aka story time, and I am feeling a little guilty.  As a result I am taking time away from that most wonderful time of the year, yah I am referring to tax filing season, to tell you about my latest knock down drag ‘em out with the CRA. 
 

There is a misconception out there that the CRA is always right and that they only go after people that are dishonest in filing their taxes.  Well if you read the Tax Court of Canada Case reproduced below you will see that the CRA again is taking unreasonable positions on situations that should be painfully obvious.  Again the sheer stupidity is amazing.  This went through a team leader, Notice of Objection, Notice of Appeal, and then a Justice Lawyer.  Even with all this review it still went to Court.  I am happy to report that the Court ruled in favor of the taxpayer, but it should never

So I have written a few blogs that discuss receipts and documentation.  In every one I have said, “never, never, ever send the CRA original documentation”.  As an auditor I reviewed lots of documents, and never demanded originals.  I would ask for originals if the copies were hard to read and relevant, but most of the time copies were more than adequate.  Recently I have encountered CRA personnel who emphatically insist that I or my clients MUST provide original documents and that copies are not acceptable.  So I perused the CRA website and the Incom