CRA Data Breeches Put Taxpayer Information at Risk

An important deadline is coming up, around the same time that Canadians get ready to file their 2026 tax returns at the start of tax season 2027. Since 2020, more than 42,000 data breaches have occurred at the CRA. A class action lawsuit was launched in 2020 and a $8.76 million settlement was reached.  Eligible Canadians affected by these security incidents can now submit claims through the KPMG Claims Portal until February 3, 2027.  

Still in a health care emergency that in the short term continues to cloud economic recovery, Canada’s new minority Liberal Government will lead the country through the next phase of the pandemic and into what well could be a period of higher inflation, interest raters and taxes. 

The Accounting Place is hiring!  We currently are looking for an experienced full-time permanent Tax Specialist to work in our office located in Stoney Creek, ON.  For full details and to apply for this position, please visit our website.

Advisors should be aware of the definition of principal residence and the Canadian tax implications regarding the sale of a principal residence. Awareness of the provisions outlined in this article will provide detailed information about qualifying for the principal residence exemption and calculating the optimal time to dispose of capital real property. This is part 1 of a 3 part series on the topic.

While it may be politically popular to consider raising corporate tax rates, it is the opposite that may be needed to get back to economic health in Canada. At least according to the authors of a new report on tax competitiveness, Philip Bazel and Dr. Jack Mintz who will share wisdoms on October 18 at DAC Acuity 2021. The report, entitled “2020 Tax Competitiveness Report: Canada's Investment Challenge” share some startling facts about Canada’s current economic malaise and offers solutions:

It’s a lucrative non-refundable tax credit many people miss out on, particularly those who are younger. The Disability Tax Credit has a real dollar value of about $1300 on the federal return for 2021.  The provision, however, may not be claimable, if long term care home costs over $10,000 are claimed as medical expenses.  Advocates for those who have suffered catastrophic disabilities believe neither of these tax provisions adequately reflect the economic hardship the individual and families endures in these cases. A true story from Knowledge Bureau Faculty Member Kareen Rekowski follows:

Do you have clients who want to develop a Winner’s Mindset about money to achieve financial independence on his or her own terms?  Treat them to a new Canadian bestseller, the second edition just published by Knowledge Bureau. Managing the Bull provides the secret sauce for financial decision-making in today’s uncertain times for a simple reason.  It is written by a trusted advisor with over 35 years real experience advising real people and educating thousands more:  Mr. David Christianson, BA, CFP, R.F.P., TEP, CIM