Soon it will be the end of tax season. Individuals will receive their notices of assessment, refunds will be deposited and amounts owing will be paid. However, for some people, it will not end at this point. Every year CRA decides to examine returns as a part of their review programs.
According to CRA, “There are a number of reasons why an income tax return may be selected in one of our review programs. These reasons include:
random selection; comparison of information on returns to information received from third-party sources, such as T4 information slips; types of deductions or credits claimed and an individual’s review history.â€
Credit and deductions that I have seen examined frequently include moving expenses, tuition transfers, medical expenses, foreign tax credits, employment expenses and child care expenses.
It’s important that you submit exactly what CRA needs within the time frame provided or they can adjust your return which could lead to paying them additional tax and interest.
Want to know more?
Shawn Oldridge
519.995.1153