Tax - Administration Flashcards
1
Q
Filing Deadline: Individual & Corporation
A
- individual: April 30 or June 15 if taxpayer or spouse carried on a business, or the later of regular deadline and 6 months after date of death
- corporation: 6 months after year end
2
Q
Balance due date: Individual & Corporation
A
- individual: April 30
- corporation: 2 months after year end (3 months for some CCPCs)
3
Q
Instalments requirement: Individual & Corporation
A
- individual: balance due > $3000 for current year and prior 2 years
- corporation: balance due estimated to be > $3000 in current year or previous year
4
Q
Individual Installments
A
- due March 15, June 15, September 15 and December 15
- there is a calculation for the installment amounts to be paid, and it is the least of the 3 calculations
5
Q
Corporate Installments
A
- due monthly, or quarterly for small CCPC where conditions are met
- amounts are the least of 3 calclations
6
Q
Interest and Penalties
A
- Arrears interest for missing the payment deadline (prescribed rate +4%)
- Late installments interest is prescribed rate + 4%
- Late installment penalty is 50% x greater of $1000 and 25% of interest payable if no instalments are made
- Failure to file penalty
- repeated failure to report income equal or greater than $500 penalty
- False statement penalty
- Failure to efile ($25 for T1 and $100 for T2)
- misrepresentation penalty
7
Q
Notice of Re-assessment
A
- individuals: CRA can reassess for up to 10 years
- Corporations; CRA can reassess for up to 4 years (plus another 3 years if transactions with non-residents)
8
Q
Notice of Objection
A
- if for an individual or testamentary trust the due date if the later of:
1) 1 year after filing
2) 90 days after mailing date of NOA - all other taxpayers have 90 days after mailing date of NOA
9
Q
What happens if CRA objects NOO?
A
- taxpayer has 90 days after the NOO was filed to appeal to the Tax Court of Canada
