The Voluntary Disclosure Program is intended to encourage conformity with Canada’s existing tax regulations. Its goal is to encourage people to come forward voluntarily to resolve their tax issues with the CRA. It’s a legitimate way to avoid understatement fines and other administrative penalties for income, sales, property, and other forms of taxes. Many people have been able to resolve their tax issues & obligations through a voluntary disclosure program. Thanks to this convenient program & a very generous way to come clean and have a fresh start!
Residents of Canada, as well as non-residents in certain circumstances, are required to file tax returns. They just pay sums owed to the Canada Revenue Agency for each tax year. These tax filing and payment duties are sometimes missed or incorrectly met. It may be purposeful or accidental! When it comes to paying taxes, mistakes happen. If they aren’t rectified correctly, then you or your business might face additional penalties. There is the possibility that you may even invite a criminal procedure as well. It’s simple to get caught. Did you comprehend with the fact that the CRA possesses records from Canadian banks, corporations, traders, and other entities that reveal how much and for what you were paid? Countries are increasingly agreeing to automatically share international data. It means that even overseas accounts and transactions are easier to track down.
Are you worried about the fact that your hard-earned money will be taken away from you and your family? Consider asking yourself the following questions:
• Did you fail to report your income when you were paid in cash?
• Have you taken any personal expenses into account when calculating your earnings?
• Did you make some error while calculating your taxes?
• Have you been taken advantage of by a dishonest tax preparer?
• Did you missed out on any legitimate tax payments that must have to get reported?
• Did you misunderstand or get the legislation wrong?
Are you responded yes to any of the above questions? Are you knowingly or unknowingly failing to filed your taxes yet? The CRA’s Voluntary Disclosure Program might be the most viable opportunity before you to come out of several worries. The Voluntary Disclosure Program is a way for Canadian taxpayers to address previous tax errors. It is a second opportunity before you. You must ensure that your disclosure comes in ahead of the CRA’s audit. You have bad luck if you’re being audited or asked to file returns that haven’t been filed before. Don’t wait for the CRA to catch the mistakes. You are safeguarded from penalties and prosecution only if you use the Voluntary Disclosure Program. Your tax counsellor or a certified public accountant can help you decide which approach is best for you.
The taxpayer is at a disadvantage if back taxes are not disclosed but are discovered during an audit. It will result in a variety of fines as well as interest on any past-due taxes. Filing a VDA regarding your past sales or income taxes could be a wise business option. If you own a small business, the penalties imposed by governments resulting of an audit could bring significant impact on your financial stability. In most cases, a successful voluntary disclosure will simply compel you to pay the taxes you were required to pay anyway. The CRA and the courts give the business a waiver of some fines and other incentives in exchange for voluntarily reporting the unsettled taxes.
Are you hoping to accomplish a fair & clean tax filing and save from penalties? A voluntary disclosure program may be the right way you can proceed! If you need help understanding what is best for your business or would like to discuss if you qualify for a VDA, reach out to Maroof HS CPA Professional Corporation, A CPA firm registered with CPA Ontario and CPA Alberta in Canada. Let them manage your VDA for you!