Does your business owe taxes to the Canada Revenue Agency (CRA)? Ignoring your tax debt isn’t the best strategy. Avoiding payment could result in financial and legal consequences for you and your business. The CRA charges interest at the prescribed rate compounded daily on debts owing until they are paid in full. Don’t avoid paying since they can freeze your bank account and remove all the money from it.
To help the CRA determine your ability to pay, you may have to give details of your financial situation and proof of your income, expenses, assets, and liabilities. You can do this by telephone or by filling out a financial questionnaire sent to you by a collections officer.
The quickest and easiest way for your business to pay its debt to the CRA is to pay online. For more information on the payment methods available to you, go to make a payment.
Staying up to date with your tax obligations is an important part of managing your business. If your business is struggling to make its payments, see the CRA’s page on collections and the video Keeping Your Business on Track for more information. The webpage and video tell you where to go to pay your debt to the CRA and how to set up a payment arrangement if you can’t pay all at once. It also lets you know what happens if your business doesn’t pay its debt in full and on time.
Beware of scams: The CRA doesn’t use email or make you fill out an electronic template to get information. If you are wary of telephone scams, check out What to expect when the CRA calls you.
If you need help talking to the CRA please call us at 250-334-3797 and one of our awesome staff members at our office will be please to correspond with them on your behalf.