# review by revenue canada



## christinad (Apr 30, 2013)

My union dues are being reviewed by revenue canada. When I looked at my t4 I noticed I put the wrong amount but I don't know how. I realize I'll have to pay the money back but will I get in trouble from revenue canada? Is it considered an offence? It isn't that large an amount but it is by 1000.


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## Just a Guy (Mar 27, 2012)

If this is an annual thing, they probably noticed the discrepancy, thus triggering the review. Chances are you'll have to pay the difference and a penalty (interest) and the will be the end of it.


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## stardancer (Apr 26, 2009)

Be careful not to make any more mistakes for a few years. You will be on their radar because of this one mistake, albeit a minor one.


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## fraser (May 15, 2010)

Don't worry about it. They are simply doing their job. You will get re-assessed.

I have been audited twice in the past for automobile expenses-both desk audits with no subsequent changes.

CRA have just asked for our 2013 charitable donation receipts and some other information on stock option deductions. I am actually pleased to see CRA do this type of follow up-it is what they are supposed to do.


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## christinad (Apr 30, 2013)

Thanks for the replies. I may have a tax preparer do my taxes for the next few years as I made a mistake with my homebuyers plan too.


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## kcowan (Jul 1, 2010)

I have had numerous reviews over the years. They are always reasonable if you display a cooperative attitude and admit your errors. They are heartless if you are caught using avoidiance schemes such as inflated charitable deductions.


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## MrMatt (Dec 21, 2011)

Honest mistakes happen, they're pretty reasonable.

Why would they waste their limited resources harassing a person who made a single mistake, when there are actual crooks?


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## RCB (Jan 11, 2014)

A few years ago I used Turbo Tax software for the first time. CRA sent a letter regarding my husband's union dues, as they were exactly double what his T4s showed. I don't know if it was my error or the software, or me WITH the software. 

I wrote a "my bad" letter stating the error, including copies of the T4s, as requested. A few weeks later we received a polite letter stating how much we owed CRA, I sent a cheque, and all has been good since. There was no penalty and no interest. No audits since then, or ever. This was four or five tax years ago.

I'm pretty certain there must be a group of common errors that occur regularly in uncomplicated returns, and I'm sure CRA is aware of them.


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## nobleea (Oct 11, 2013)

I've been asked for follow up proof/info 3 times from CRA. I guess that's a paper audit?

Once, I claimed moving expenses for moving cities for a co-op job. Sent in the receipts and a letter and never heard back from them.
Then, I accidentally put my tuition credits in the wrong line (this was with paper). It was under the tuition transferred from a child or grandchild. Sent in the receipts and a letter explaining and never heard back from them.
This year, they requested receipts for an unusually large medical expense claim. I sent everyone one of them in, along with a letter detailing the reasons. Just sent it in, but I don't expect to hear back from them.


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## fraser (May 15, 2010)

That is a desk audit.

Believe me, you will know when it is a full blown audit. You will also know when they think that there could be an issue....they keep asking for more data, and exand it to more than one or two years.

I worked for Revenue Canada years ago as an auditor. Mostly business and some personal. Not desk audits...the whole hog audit starting with all banking information.


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## Brian K (Jan 29, 2011)

After years of submitting paper tax filings to CRA, they sent numerous letters requesting that I e-file and this would not result in an increased chance of being audited etc. So I started e-filing in 2012 and again in 2013. Then a few months ago, I was asked to provide receipts for Blue Cross premiums and foreign income in the amount of about $5 that was on a T5 (or maybe a T3) which I thought they got copies of. I submitted it electronically and never heard a thing from them. It would be nice if they closed the loop and confirmed all was OK and they accepted what I submitted - but then maybe no news is good news - maybe. I don't want to receive a letter from them saying what I submitted wasn't enough and they deny my deductions.


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## gibor365 (Apr 1, 2011)

CRA is ridiculous organization... about 3 years ago, I noticed that I got unexpected credit from CRA to my checking account.... I called them, CRA admited that this is their mistake and told me to pay amount I got back... I paid.... than I checked account balance on their website and noticed that I have also to pay interest! Nice ah! They paid me in error , I returned money back and got charged interest! It took me about month and 4-5 calls to get this interest waived... 
Just cannot imagine what if I wouldn't notice that they credited my account in error....
My wife had an issue with public transit credit couple of years ago.... GO switched to Presto. CRA didn't accept receipts we printed from Presto and forced my wife to pay credit back with penalty and interest.


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## christinad (Apr 30, 2013)

Cra seems to have taken a month to review my claim. The notice was very neutral-no assigning of blame. I owe 300.00 but only 3.00 in interest. I was surprised I didn't owe more in interest as I thought they'd date it back to the end of April.


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## gt_23 (Jan 18, 2014)

gibor said:


> CRA is ridiculous organization... about 3 years ago, I noticed that I got unexpected credit from CRA to my checking account.... I called them, CRA admited that this is their mistake and told me to pay amount I got back... I paid.... than I checked account balance on their website and noticed that I have also to pay interest! Nice ah! They paid me in error , I returned money back and got charged interest! It took me about month and 4-5 calls to get this interest waived...
> Just cannot imagine what if I wouldn't notice that they credited my account in error....
> My wife had an issue with public transit credit couple of years ago.... GO switched to Presto. CRA didn't accept receipts we printed from Presto and forced my wife to pay credit back with penalty and interest.


Typical Government bureaucracy. How is it possible to be good at customer service when you've never had a customer (willing that is)?


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## Eclectic12 (Oct 20, 2010)

christinad said:


> ... I was surprised I didn't owe more in interest as I thought they'd date it back to the end of April.


My experiences with CRA have typically been like this with maybe two exceptions.




gt_23 said:


> Typical Government bureaucracy.
> How is it possible to be good at customer service when you've never had a customer (willing that is)?


Hmmm ... I can understand wanting improvements ... but if "typical" means worldwid - CRA's customer service starts looking a lot better.

Examples of bad customer service that I can think of include:
a) Want an application filed in the gov't Embassy in a foreign coountry? Pay a bribe.

b) Gov't mandates new paperwork for citizens at the same time as disqualifying embassies that used to do the paper work from doing it ... the result an a forced visit to the home country for paperwork.

c) Gov't told you that you weren't a citizen twenty years ago but now that they are cash strapped, the laws were changed so that you are a citizen. Now not only do they want tax returns filed, it's going to cost hundreds to give up this new citizenship.

d) Policeman gives a ticket for turning left improperly, one asks what indication there was that today it was illegal, get thrown in jail where one's family has to pay for your meals.

e) Phone the police to report a break in at your house and get thrown in jail for bothering the police as you are from the wrong group.


Cheers


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## wendi1 (Oct 2, 2013)

I've always found CRA polite and helpful.

The real problem is that politicians are always "tweaking" the tax code. There is no reason an average adult citizen should have hire professionals or buy software to calculate income tax. It should be simple, obvious, and stable from year to year.

I especially hate those wierd tax breaks like children's exercise classes, or reno rebates.


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## MrMatt (Dec 21, 2011)

wendi1 said:


> I've always found CRA polite and helpful.
> 
> The real problem is that politicians are always "tweaking" the tax code. There is no reason an average adult citizen should have hire professionals or buy software to calculate income tax. It should be simple, obvious, and stable from year to year.
> 
> I especially hate those wierd tax breaks like children's exercise classes, or reno rebates.


Free software is available.
The weird tax breaks need to go.
Make it simpler.

It's annoying that I can deduct sports fees for my kids, but not the equipment for those same sports, or even proper running shoes to play. 
To be fair, you can't get a preschool boy out of rubber boots anyway.


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