Published: April 15, 2020
Last Updated: January 17, 2022
If you disagree with an income tax assessment you have 90 days to file a Notice of Objection. If you miss that deadline you have no further rights to appeal without the consent of the Canada Revenue Agency.
"This article provides information of a general nature only. It is only current at the posting date. It is not updated and it may no longer be current. It does not provide legal advice nor can it or should it be relied upon. All tax situations are specific to their facts and will differ from the situations in the articles. If you have specific legal questions you should consult a lawyer."
There are no specific steps on how to win a tax dispute. When filing an objection, your main goal should be to disprove the assertions and assumptions made by the CRA. That is why it is a good idea to hire professionals who can give you advice and assistance to increase your chances of winning the objection.
These information should be included when you file for an objection: your name and address; a telephone number where the CRA can reach you during the day; the date of your notice of assessment; the tax year of the assessment; your social insurance number or business number; the relevant facts and reasons for your objection; copies of all documents that support your objection; and the name and address of your authorized representative (if applicable).
You can file your notice of objection a number of ways:
- Completing Form T400A and mailing it to the Chief of Appeals at your Appeals Intake Centre
- Mailing a signed letter outlining the facts and reasons for your objection
- Using the CRA’s online account portal to register a formal dispute with the Appeals Division
Any Notice of Objection must clearly explain your objections and why you disagree with that assessment or determination, including all relevant facts and documents. You have only 90 days from the date of your notice of assessment, or one year after the tax filing deadline for the return in order to file your objection.
The late filing penalty for CRA is 5% of your 2020 balance owing and an additional 1% for each full month you file after the due date up to 12 months. Moreover, late filling penalties still exist even if you qualify to obtain interest relief if you received COVID-19 benefits.
Yes, tax evasion is a serious criminal case. Whether you are cheating on your taxes or hiding money or assets, you are obliged to pay for the fines or even go to jail.
As stated under taxpayer relief provisions, the CRA has the discretion to cancel or waive interest or penalties. This is applicable when the taxpayer fails to meet their tax obligation due to circumstances beyond their control. Additionally, the CRA can only grant relief in 10 years.