How to handle a CRA audit

Whether this is the first time you have been selected for an audit, or you have undergone previous audits by the CRA, there are a number of key actions by the taxpayer that can minimize the effort and time invested, reduce the potential for reassessment and allow you to exercise some control over the conduct of the audit.

Tax audit often leaves tax payers overwhelmed with feelings of anxiety and fear which make it difficult for them to function well. While the CRA allows you to represent yourself in a CRA audit, it is in your best interest to employ a highly experience CPA of Canada.

In many situations, it’s obvious that you need to act fast. But even if you think you have lots of time to consider your alternatives, deadlines such as sneak up on you and you need time to prepare. So it’s always better to react quickly. Responses to the auditor’s queries should be provided within the deadlines set by the tax auditor. If additional time is required to obtain some of the requested documents or information, this should be discussed with the auditor at the earliest possible time and not once the deadline has passed. Information that is available should be provided within the previously set deadline.

Our tax dispute resolution service assists taxpayers end-to-end. From establishing solid tax positions all the way to taking a decision to the courts for the best possible outcome. We work with clients to proactively prevent, favourably resolve and effectively litigate tax audits and disputes in Canada.

If you are looking for tax consultants that can help you with your audit problems, call us at (416) 222-2201 or (416) 560-0356 to get a free confidential consultation!