Corporate Tax News from CRA

Startling findings come to light with the June 18th, 2019 release of the Canada Revenue Agency’s fifth and final report on the tax gap. CBC News reports the fifth report focused specifically on corporate taxes while previous reports examined factors such as sales tax fraud, domestic tax evasion, and the use of offshore tax havens to look at how much leakage Canada’s taxation system has.

Tuesday’s report estimates that in the 2014 tax year, Canadian corporations managed to pay somewhere between $9.4 billion and $11.4 billion less than they should have in taxes.

Quoting Canada’s Minister of National Revenue, “Our government is committed to cracking down on tax evasion and aggressive tax avoidance, in Canada and offshore,” said Diane Lebouthillier, Canada’s minister of national revenue.

Along with previous reports, Tuesday’s corporate tax data “will help the CRA evaluate its approaches and better target compliance actions to ensure a tax system that is fair and equitable for all Canadians,” she said.

To read the full article click here.

Many corporations both big and small are often unaware of tax laws and unknowingly under report taxable income. Which leads to the question, is your small business corporation tax compliant? Do you need help navigating through the self-employed business and corporate tax ‘maze’?

At White Lotus Accounting Services we provide full cycle accounting and tax services for Sole Proprietors and privately held Corporations. Need help? We’re here to help you and your business.  Click here to send us an email and get started now.

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