Non-Filed Tax Returns in Richmond
Accountants-BC Ltd. offers fast and reliable tax return processing for individuals and business owners with non-filed returns.
Schedule a consultation with one of our tax professionals today. Reach us at (604) 683-2341.
What Is the Penalty for Non-Filing of Return?
Before we go into the penalties, it’s important to know that filing as soon as possible can go a long way to alleviating your penalties. Accountants-BC Ltd.’s accountants can help you with your non-filed returns to get your tax situation back on track.
With that said, failing to file your tax return by the deadline may result in significant penalties imposed by the Canada Revenue Agency (CRA). The initial penalty is 5% of your balance owing, plus an additional 1% for each full month your return is late, up to a maximum of 12 months.
If the CRA has issued a demand to file for a previous year and you still haven’t filed, the penalties could be even higher - 10% of your balance owing, plus 2% for each full month the return is late, up to a maximum of 20 months. Additionally, repeated failure to comply can be seen as willful neglect, potentially leading to criminal charges and prosecution in extreme cases.
Does Owing Tax Affect Credit Scores in Canada?
In general, owing money to the CRA won’t directly impact your credit score. The CRA does not report to credit bureaus, so simply having a tax debt won’t automatically impact your credit rating.
However, if the CRA takes specific collection actions, such as filing a lien or obtaining a court judgment against you, these actions can become part of the public record and may be picked up by credit bureaus, thereby negatively impacting your credit score.
Furthermore, neglecting your tax obligations can lead to significant financial stress and difficulties securing loans or credit approvals in the future. Therefore, it’s crucial to manage your tax debts proactively to avoid such adverse consequences.
Filing Back Taxes with Accountants-BC Ltd.
We are qualified, certified, and up-to-date tax professionals who prioritize your tax needs. Our goal is to deal with your late tax returns with professionalism, tact, and compassion. More than that, our aim is to identify and execute a strategy that will minimize your tax burden and maximize your return. Some of the services we offer are:
- Tax classification
- Personalized consultations
- Tax planning
- Late tax processing
- Tax debt management
- Representation services
- And much more!
Personalized Consultations with a Tax Advisor
We tailor our services to suit the unique needs of our clients. That’s we prioritize personalized consultations so that we can speak with our clients in-depth. When you give us a call, we’ll book an appointment with you at your earliest convenience.
We’ll discuss with you the scope of your non-filed returns, as well as their associated financial consequences. Then, we’ll lay out your options to resolve the problem once and for all.
We’ll help you complete and file your outstanding documentation and create a payment plan to pay back any remaining tax debt. You can expect our team to help you stabilize your tax situation in a comfortable, compassionate environment.
How Does the CRA Find Out About Unreported Income?
The Canada Revenue Agency (CRA) employs sophisticated methods to identify unreported income. One primary tool is the information provided by third parties, such as banks, employers, and other financial institutions, which are required to submit detailed financial data to the CRA.
Additionally, the CRA uses data-matching techniques to compare an individual’s reported income with various data sources, ensuring consistency and identifying discrepancies. The CRA also conducts audits and investigations, sometimes triggered by tips or complaints from the public.
Failure to file tax returns or underreporting income can result in interest, penalties, and potential criminal charges.
Tax Help and Debt Assistance
If you have non-filed tax returns, you may be incurring costly penalties and fees. Unfortunately, these fines often come with high-interest rates, meaning your debt can accumulate quickly.
Our highly trained tax specialists have the knowledge and experience necessary to minimize your tax burden wherever possible. We can even serve as a mediator between you and the tax authorities to negotiate your sum of debt and settle on a payment plan. With our help, you’ll be able to find your way out of penalties and into financial well-being.
How Can You Reduce Your CRA Debt?
There are several options available to help you reduce your CRA debt:
- Negotiate a payment plan: Contact the CRA to discuss setting up a payment plan that will allow you to pay off your debt in manageable installments over time, based on your financial situation.
- Make a consumer proposal: If you are unable to pay your tax debt in full, consider filing a consumer proposal through a licensed insolvency trustee. This legal process allows you to make a formal offer to the CRA to settle your debt for less than the full amount owed.
- Access financial assistance programs: Investigate whether you qualify for any government financial assistance programs or tax credits that could alleviate some of your financial burden, thereby making it easier to pay down your debt.
- Prioritize payments: Allocate your budget to prioritize paying off your CRA debt first, as the penalties and interest on unpaid tax debts can escalate quickly. This approach can help you reduce the overall amount owed in the long term.
Seasoned Tax Professionals
Our tax professionals are specialists in tax law. We carefully follow the most recent developments in tax policy to ensure we’re capitalizing on every tax-saving opportunity on behalf of our clients.
What’s more, we’re committed to providing our clients with compassionate and non-judgmental support. We understand that tax filing can be a stressful and overwhelming task. Our job is to take all the burden we possibly can off your shoulders.
Fast Unfiled Tax Return Processing
When you bring your tax returns to us, they’ll be filed within the shortest delay. We realize that dealing with non-filed returns is a time-sensitive matter. That’s why we employ an efficient, organized, and fast filing practice in our attempt to minimize late fees. While our filing process is quick, rest assured it’s thorough too. We maintain impeccable standards for quality assurance, so your return will be free of discrepancies and errors.
Overdue Tax Return Assistance in Richmond
Don’t risk your financial security by putting off your tax filing any longer. Enlist our professional help to reduce your liabilities and increase your return.
Schedule a consultation with one of our tax representatives today.