June 11, 2021 – Canada’s tax system has not been overhauled significantly for decades. After having experienced a tax season like no other, there are indications it may no longer be synchronized with Canadians’ long-term wealth management goals.
Financial advisors are positioned perfectly to represent the real financial concerns of their clients and advocate for reforms to modernize the tax system in a big way. As such, there are several issues to consider in the quest for a fairer tax system.
Taxpayers bear an onerous burden of proof in filing their tax returns, subject to heavy fines, penalties, and even jail in severe cases. The Canada Revenue Agency (CRA) also has the power to seize assets and garnishee wages to collect on tax debt.
But tax law must be understood for taxpayers to comply with it. Unfortunately, this tax season was one of the worst for getting the right answers from the tax department and it often took long wait times averaging many hours. The complexity has become increasingly unmanageable. Globe and Mail reports. | READ MORE