Changes to Paper Filing Disempowering

Last tax season, only 7% of all Canadian tax filers filed on paper. The CRA is pushing for zero. It continues to steer the holdouts to digitized filing by adding lots of obstacles. Most recently, it is removing almost all the schedules from the tax return package it mails. This seems unfair to people who paper file because they can’t afford a computer and internet, distrust the security of online filing and those who are neither tax or computer literate. Here’s what they are up against:

The new Registration of Tax Preparers Program, proposed to launch during the 2016-2017 fiscal year, will keep track of errors associated with a particular registrant in an effort of improve compliance. CRA is seeking input on this change in its relationship with professionals.

Jane Rooney has been selected as the Financial Literacy Leader of Canada. The Task Force on Financial Literacy provided 30 recommendations, including the appointment of a Financial Literacy Leader, to help Canadians become equipped with the knowledge and skills necessary to make responsible financial decisions.

The Tax Court of Canada (TCC) recently decided that, although a relevant factor, prior convictions in criminal proceedings resulting from plea bargains are not determinative of the relevant facts and issues in a subsequent civil tax appeal.

Canadians are increasingly transacting online and tracking the path the money takes – into and out of various accounts – and credit arrangements can be complicated, frustrating at times, and difficult to track.

Lori Campbell earned her MFA-Succession and Estate Planning Specialist designation in 2012 and has been a frequent delegate of the Distinguished Advisor Conference over the last seven years. We are pleased to have Lori as one of our distinguished grads.

The donation credit is non-refundable and reduces taxes payable. For those who have donated in the past, the credit can be close to 50 cents on the dollar, depending on how much you give. First-time donors can get an extra 25% credit for cash donations up to $1,000.