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PAYROLL ADVANCES

In an April 26, 2016 Technical Interpretation (2015-0623571I7, Waugh, Phyliss), CRA opined that where an employer provides a payroll advance to an employee in respect of their future earnings, the amount is not generally considered to be a loan. A salary advance is a payment for salary, wages or commissions that an employee is expected to earn in the performance of future services. These amounts are generally included in the employee’s income under Subsection 5(1) in the year the advance is received.

For further information see Video Tax News Monthly Tax Update Newsletter, Issue No. 424

T-SLIP TURNAROUND - E-filed slips - generally 48 hours - Paper filed slips - around 90 days

On February 27, 2017, a CPA Canada blog (FAQs: T-slip turnaround for auto-fill my return) address how quickly T-slips filed with CRA are reflected in the My Account, Represent a Client, and auto-fill my return services, with the following information provided:

  • With 95% of slips being filed electronically, most slips are processed within 48 hours of receipt. Processing delays can occur for quality reasons, such as invalid account numbers, duplicate slips, and other errors.
  • Paper-filed slips, less than 5%, have a general standard of 90 days to process. CRA prioritizes slips which have the greatest impact, such as T3, T4 and T5 slips.
  • Amended slips vary in processing times. Electronically filed amended T3 and T5 slips are usually processed within 48 hours. The service standard for amended T4 slips filed electronically is 60 days. No standard was provided for paper-filed amended slips.

For further information see Video Tax News Monthly Tax Update Newsletter, Issue No. 428

 

Watch! Interview with Dean Blachford discussing Director Liability - Resigning

Dean Blachford, Tax Litigator at HazloLaw, discusses Director Liability and some considerations with regards to resigning as a director.

This video is for general information purposes only and deals with dynamic, time-sensitive and complex matters that may not apply to particular facts and circumstances. The information provided should not be relied upon as a substitute for specialized professional advice in connection with any particular matter. For more information visit videotax.com/disclaimer. ©Video Tax News Inc. 2017, All Rights Reserved.

Watch! Interview with Robert Neilson discussing re-appropriation of refunds

Interview with the counsel on record, Robert A. Neilson of Felesky Flynn LLP, in the Cybernius case; where a judicial review of CRA's rejection of re-appropriation of a withheld refund was not considered reasonable.

This video is for general information purposes only and deals with dynamic, time-sensitive and complex matters that may not apply to particular facts and circumstances. The information provided should not be relied upon as a substitute for specialized professional advice in connection with any particular matter. For more information visit videotax.com/disclaimer. ©Video Tax News Inc. 2017, All Rights Reserved.

CRA PROJECTS AND INITIATIVES – AN UPDATE

CRA and CPA Canada have recently released a number of questions and answers on the Liaison Officer Initiative (LOI) noting that:

  • The LOI is voluntary and there is no link between not wishing to participate and future compliance/enforcement actions.
  • Taxpayers who do not fix errors identified in the LOI could still be exposed as they may be evaluated through CRA’s separate risk assessment program as high risk.
  • The LOI was originally a pilot project from 2014 to 2016 and was only offered to select industry groups across much of Canada. The program is now permanent and will be expanded to include new businesses in any sector.
  • A LOI visit does not constitute an enforcement action and, therefore, would not preclude a Voluntary Disclosure by a taxpayer.

For further information see Video Tax News Monthly Tax Update Newsletter, Issue No. 422