Selected for an audit? Do you know your rights? Worried about making things worse? Feeling overwhelmed, confused and anxious?
The Voluntary Disclosure Program is available to taxpayers in the following situations:
· Unfiled personal and/or corporate tax returns
· Unreported income
· Unreported foreign assets
Whether you’ve not filed tax returns, underreported your income, or not disclosed all of your assets, a failure to pay your taxes to the Canada Revenue Agency (CRA) fully and accurately, could result in severe financial penalties, interest, and even criminal prosecution.
The good news is that there is a program which allows for taxpayers to come forward and correct their errors under the Canada Revenue Agency’s Voluntary Disclosures Program (VDP).
It truly is a second chance for taxpayers to correct their mistakes and avoid the severe repercussions mentioned above. A successfully done VDP process rewards taxpayers who cooperate with the CRA. Those rewards include the waiver of all penalties, a 50% reduction in arrears interest and the CRA will also waive their right of prosecution.
Our team consists of James Bell, a former Senior CRA Manager, with over 22 years of CRA experience, and Beitel Tax Law, a law firm with which we have a close affiliation.
There are five conditions that you must be eligible for.
The most common include ineligible expenses, failure to file a tax return, and not reporting your full taxable income.