Description: The Canada Revenue Agency (CRA) is coming; coming for taxes that is. CRA is expanding an audit program to ferret out wealthy individuals and companies that may have been avoiding taxation, particularly through offshore activities. The federal government has directed an additional $444 million over the next five years to help the CRA’s audit efforts. The CRA is hoping to add $400 million in tax revenue from this expanded effort this year, a tidy sum to be added to the typical $13 billion its audit activities generate annually.
Date: February 23, 2017
1) What is your opinion on these tax audits? Do you see it primarily as a revenue generator or more as a deterrent to promote taxpayer compliance?
2) Do you think you would like to try a career as a tax auditor? Why?
3) The article notes that their is some controversy over whether taxpayers who voluntarily disclose their avoidance of taxes should be allowed a second shot at this voluntary disclosure. What do you think?