Back Taxes: Garnished Wages
What can the tax department do if you don’t file your tax returns? One of the weapons in their arsenal is garnishing wages. If the Canada Revenue Agency (CRA) has sent you letters requesting that you file your tax returns, and you have ignored the requests to file the tax returns; you may find that your pay cheque is less that what it usually is. Most of the cases that we have seen, CRA has garnished wages from 20% to 50%. This is substantial and can dramatically affect your standard of living.
What should you do?
Keep all the correspondence from CRA. The correspondence should have contact information of any collection individuals. Contact a tax professional at Tax Doctors Canada; they can act on your behalf. An accountant can call the CRA and inform CRA that your tax returns are being competed. The accountant can provide a timeline for completing the tax returns. Once CRA receives the requested tax returns, they should remove the garnishment. Many times CRA garnishes wages based on a notional assessment i.e. an estimate. After completing the tax returns, your final balance could be significantly less than what CRA has estimated. Another good reason to complete your tax returns as expeditiously as possible. Once you have completed the tax returns you will know what your final tax payable is. You can then set up a payment plan to repay your outstanding debt to CRA.
The key to addressing the garnishment is contacting an accountant at Tax Doctors Canada, have your tax returns prepared as quickly as possible, and contact CRA to inform them that you have hired Tax Doctors Canada to complete the tax returns. Tax Doctors Canada has been been helping happy clients with their back tax issues for over 20 years. Our professional tax accountants will file necessary tax returns and get the CRA to remove wage garnishments and any other penalties that have been applied to you. We have an outstanding record of success with the CRA.
Do not hesitate any longer, call toll free at 1 855 TAX DOCS (855 829 3627) or use our convenient contact web form on this page for a free initial no obligation consultation for your personal and business back tax requirements. The professional accountants at Tax Doctors Canada can negotiate a settlement for you with the tax department and possibly save you interest, penalties and prosecution. There are Tax Doctors Canada locations in Mississauga, Toronto and Markham to serve you.
Contact us using the web form below or call toll free at 1 855 TAX DOCS (855 829 3627) for a a free initial no obligation phone consultation. We have convenient locations in Mississauga, Toronto and Markham to serve you.