Other jurisdictions such Chile, Spain and California are coming on board. Norway, Denmark and Sweden already offer automatic tax-filing. If taxes could be filed automatically, it would eat into their profits. The tax preparation industry including Intuit, maker of TurboTax, has spent $6.6 million in the U.S. Automatic tax-filing probably wouldn’t work for those with complex returns such as business owners who could opt out of the automatic return. In my case, I had the option of changing the CRA-generated forms or not. Except for political and charitable donations, CRA already had all my information.Īutomatic tax-filing doesn’t mean that the returns can’t be reviewed and corrected. When I filled out my tax return using TurboTax, my forms were automatically filled out by accessing my CRA account. Automatic enrolment is in place for the GIS so that seniors no longer have to apply for this benefit. The same is true for the Guaranteed Income Supplement (GIS). You no longer have to apply for the Canada Workers’ Benefit because the CRA automatically assesses returns for eligibility for the tax credit. One way to ensure low-income Canadians receive the benefits of filing a tax return is to have their returns automatically filed for them.Īlmost everything is now in place for that to happen. Working-age Canadians in the bottom 20 per cent of other income get the vast majority of their income from government transfers, “income that could be put at some risk if they can’t or don’t file a return,” adds Robson. ![]() ![]() Through a notice of assessment from CRA, the system also helps people prove their annual income so they can qualify for means-tested programs including housing and daycare subsidies, home heating rebates, and many others.” (Canadian Centre for Policy Alternatives Monitor, November/December 2019) It delivers cash benefits such as the GST credit and Canada Workers’ Benefit, for example. “For many Canadians, the tax system can be more like a social service system. In normal times, we help hundreds of people prepare returns at our Northills Shopping Centre location. That’s certainly the case for the society I belong to, CSI Kamloops. So, why wouldn’t low-income Canadians file returns? The reasons vary but when you don’t have much money, you can’t afford to pay for someone to prepare your taxes or to pay for a program like TurboTax that helps navigate the torturous forms.Īnd this year could mean even fewer low-income Kamloopsians file returns because the volunteers who usually help out with taxes are physically isolating themselves. ![]() They pay virtually nothing in taxes and receive the greatest household income in terms of benefits from the Canada Revenue Agency (CRA). While most Canadians - including me - think of what they owe at tax time, low-income Canadians should be thinking about what they could receive. MANY LOW-INCOME CANADIANS are missing out on benefits because they don’t file tax returns.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |