Tax Debt Solutions | Faris CPA

Tax Debt Solutions

Like most countries, Canada has special laws that allow the Canadian Revenue Agency (CRA) to collect unpaid taxes. These laws enable them to ensure that people who owe them money use the assets at their disposal to pay their debts and do so promptly.

When you have tax debts, the CRA can move extremely quickly to recover that money. They do not need a court action to be able to collect what is owed.

Things are set up in a way that means that the penalties involved in not paying off the tax debt fast enough are high. For example, compound daily interest accrues on the amount owed and does so from the date the tax was due. It is surprising how fast the amount owed in interest grows. It is incredibly expensive, which is why our advice is to avoid incurring tax debt as much as possible.

Importance of Avoiding Incurring Tax Debts to the CRA

When you get into debt with the CRA you do need to pay the tax debt, as soon as possible. The consequences of not doing so are just too serious not to take this approach.

You need to bear in mind that the CRA has the power to:

• Seize or freeze the cash in your bank accounts
• Seize or sell your assets
• Put a lien on your property so that you cannot sell it and dispose of the funds without paying them first
• Force you to sell your property and use the proceeds to pay them
• Garnish your wages – you can find out more about how they do that by clicking here
• Garnish your other sources of income

Understandably, most people do not want any of the above to happen to them. So, we work fast when people get in touch with us and ask for help to manage their tax debt issues.

How a CPA Can Help Devise Tax Debt Solutions

As Chartered Professional Accountants, we are well-placed to put together a tax debt solution for you. One that takes account of your circumstances and uses the way the CRA´s tax debt collection system works to your advantage.

Of course, you will still have to pay what you owe. But we will guide you to make sure that it is done in a way that minimizes the negative impact as much as possible.

We do this by taking the following approach:

• Help you understand why you have received a tax debt certificate from the CRA
• Identify and discuss the best way to tackle your tax debt
• Negotiate a manageable payment plan with the CRA
• Work with you to prevent the CRA from taking other types of legal action against you
• Give you advice on how to avoid bankruptcy
• Create a long-term plan that will help you to bounce back financially

Tax debts are serious. Get a Tax Accountant who will devise a Tax Debt Solution for you.

Talk to a Faris CPA Tax Accountant today about Tax Debt Solutions

At Faris CPA, we have extensive accounting and taxation experience. For many years, we have been helping companies, private individuals, and other types of organizations to successfully manage their financial affairs.

Providing expert advice on tax planning. Including, in some cases tax debt management.

Naturally, in the course of carrying out those duties, we have built up a deep understanding of Canadian tax laws and the way the CRA works to enforce them. You can find out more about us, our experience and what we have to offer, by clicking the link.

Call Faris CPA Today to Solve Your Tax Debt Problems

Getting in touch with us is easy, here are the ways you can do it:

• Use our online contact form to conveniently schedule an assessment
• Visit our office
• Call our phone numbers
• Reach us through email

Whichever way you choose to contact us we will respond quickly. You can rest assured that we will help you to sort out all of your tax issues and do so quickly.

We fully understand how worrying having to deal with the CRA is for most people. So, we are here to support you in every way we can.

PRO TIP :

“If you can’t pay your tax debt in full, you can opt for a payment arrangement with the CRA. This lets you complete smaller payments over time until you have paid the whole debt, plus interest.”