Published: January 11, 2022
Last Updated: October 21, 2022
A husband and wife asked that we represent them during a CRA income-tax audit. As a result of our submissions, the income-tax auditor reduced the initial proposed taxable income by $145,000.
After the audit’s conclusion, we pursued the dispute with the CRA’s Appeals Division. So far, the appeals officer has agreed to reduce the couple’s taxable income by another $386,000 and cancel all $332,000 in gross negligence penalties.
The objection remains active. But, to date, we have saved the couple from over $265,000 in taxes and $332,000 in gross-negligence fines. They got a total savings of about $597,000, plus a corresponding reduction to the interest previously accrued on the $597,000.
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