CRA Tax Dispute and Resolution Services
Working with the CRA can be intimidating and time consuming. Audits and tax disputes can tie up a lot of time and resources.
Our tax dispute resolution process has a proven track record of helping businesses and high-net-worth individuals navigate complex frameworks and ambiguity in compliance and time-sensitive resolutions. We can assist with preparation, presentation and corresponding with the CRA.
Get in touch for more information.
What is the CRA tax audit process?
If selected for an audit, an auditor will arrange to conduct the audit at your offices or a CRA office. The auditor will review records, statements, documents and information provided by your company and determine:
- The previous assessment was correct and no further action is required
- A reassessment is required and may result in taxes owing or a refund. You will receive a proposal letter outlining the reason for the reassessment and are to respond within 30 days
What is a CRA dispute letter?
The CRA dispute letter will outline the items of income they are including or expenses being denied along with reasoning for doing so.
How We Help Manage CRA Audits & Prevent Future Ones
An audit is a time-consuming and resource intensive process. We provide you with a management team experienced in auditing and working with the CRA.
Together we can mitigate the time and expenses incurred and reduce the chances for further scrutiny.
Our 4 Step Process for Assisting with CRA Audits
Our process for assisting with CRA audits consists of:
- Step 1: we review the assessment or reassessment along with the dispute letter
- Step 2: we speak with the auditor and gather their grounds for the dispute letter
- Step 3: we formulate a response to challenge the dispute letter if we determine there is sufficient evidence in doing so
- Step 4: we reach a resolution with the auditor or the case is to be referred to a tax lawyer who will file an appeal and try resolving the matter with the courts
Who We Work With on CRA Audits
Being audited by the CRA is often a stressful and unwelcome surprise to business owners. While auditing isn’t a fun process, our team of experts will help you to organize your documents, balance your books appropriately, and provide the CRA with everything they need for their audit.
If you’ve missed something, we’ll find it and help you make a plan so that you’re prepared for a possible reassessment.
Contact us today, we’re here to help.
High net-worth individuals
As an individual with many investments and potentially varied income sources, having an accounting team you can trust is key if you receive notice of a CRA audit.
Our expert chartered accountants will help you organize your accounts and determine a smart strategy for preparing for your audit.
Ready to get started? Contact us today to learn more about how we can help.
CRA Audits are not random. CRA conducts a risk assessment and determines an audit is necessary to ensure there are no reporting errors and that tax obligations are being met.
CRA audits can take anywhere from a few weeks to a few years to complete — it all depends on the size of the business and the complexity of the audit.
The CRA can audit as far back as they deem necessary. While you are only required to retain documents for up to 6 years, there is no limit if the CRA can justify there is reason to believe that there were irregularities on tax returns.
Maintaining good accounting practices throughout the life of your business (or your personal portfolio) is the best way to avoid an audit or be prepared if one comes. Our team can help.
You should hold onto tax documents for at least 6 years in the case of a CRA audit.
If you don’t agree with the reassessment from a tax audit, you can file an appeal.
Our process starts by reviewing the assessment/reassessment and the dispute letter. Next, we speak with the auditor and determine what grounds they have to dispute. Then, we work to build a response to challenge the dispute letter if there is sufficient evidence to support it. Finally, we’ll reach a resolution with the auditor. If a resolution cannot be reached, the case will be referred to a tax lawyer.
There are several things that may make your business show up on the CRA’s radar and result in a tax audit, including:
- Revenue discrepancies
- Recurring losses
- Reporting significantly higher or lower earnings than the industry norm
- Making large charitable donations
- Having a business with lots of cash payments