CRA Frozen Bank Accounts
If your bank account has been frozen by the CRA, this is a situation that needs to be resolved quickly. Trust Farber Tax Solutions to help.
Fill out the form to get started or give us call
Solve Your Tax Problem
Book A Free Confidential Consultation
CRA Frozen Bank Accounts
In instances where taxpayers do not voluntarily pay what they owe, the CRA can take legal action to seize assets. By issuing a legal notice called a Requirement to Pay, the CRA can demand funds from a third party to pay a taxpayer’s arrears. When issued to a bank, a Requirement to Pay legally compels the bank to freeze a taxpayer’s bank account and forward all funds to the CRA.
Why Do Bank Accounts Get Frozen?
Under the law, the CRA has the right to freeze bank accounts pursuant to section 224 of the Income Tax Act or section 317 of the Excise Tax Act. The CRA does this in instances where taxpayers fail to pay their taxes. Often done without warning, the CRA uses the element of surprise to prevent taxpayers from shifting funds before they can be captured. Once a bank account is frozen, all funds are seized by the CRA and the account becomes inoperable. Any funds deposited into a bank account after it is frozen, are immediately sent to the CRA, until the tax arrears are paid in full.
How Long Can Bank Accounts Stay Frozen?
A bank account will stay frozen as long as the CRA’s Requirement to Pay remains in effect. The only ways to unfreeze a bank account are to either pay the outstanding tax arrears in full or to negotiate a payment arrangement with the CRA.
How We Help
Our team are experts in securing long-term payment arrangements with the CRA, resulting in the removal of all legal and enforcement actions including frozen bank accounts. Being faced with enforcement action can be stressful and intimidating. When faced with an unfamiliar situation where so much is at stake, seeking professional guidance is absolutely essential to resolving the issue quickly and easily. At Farber Tax Solutions, our professional team of ex-CRA, tax lawyers and accountants are experts in dealing with CRA collectors, negotiating long-term payment arrangements and getting legal action withdrawn immediately.
Let Us Solve Your Problems
With decades of combined experience and a history of successful negotiation, the professionals at Farber Tax Solutions specialize in removing existing or impending legal action taken by the CRA and securing long-term payment arrangements on behalf of our clients. Our capable team of ex-CRA, tax lawyers and accountants will give you the confidence and peace of mind you need to resolve your tax problems.
If you have more questions about your specific situation or our services, contact us at 1-888-868-1400 for a free consultation.
Farber Tax Solutions can help you successfully deal with CRA problems. We utilize the experience of our tax experts to:
- 1| Offer a comprehensive solution that is focused on achieving the most favourable possible outcome for your tax issue;
- 2| Communicate with the CRA on your behalf and navigate the entire CRA dispute process; and
- 3| Offer a complete solution to your tax problems, including ex-CRA professionals and tax lawyers from Farber Tax Law.