Many businesses had a difficult time during the ice storm, and are still trying to recoup from both the potential physical damage it may have caused to their establishments, as well as playing havoc with the operation and administrative sectors of their business. For some that had tax obligations to attend to through this time it was impossible for them to do this.
The CRA has acknowledged this and has issued a news release stating that there have tax relief provisions put in place for those who were not able to meet their tax responsibilities during the power outages that occurred.
If this included you then you will need to apply for the relief that will be applicable to your circumstances. If you were not able to file a return or make your payments on time, then the application for relief could related to interest and/or penalties that would be applicable to this time. It is not something that you want to exaggerate as the CRA will be looking at each case on an individual basis.
If you are not familiar with the tax payer relief program, and happen to be in a tax mess it really is something that you should familiarize yourself with. The CRA has the authority to give permission for the cancellation or wavering of penalties or interest. Under this program they may also grant acceptance of some later, amended or revoked income tax election. Plus some other potential benefits to the tax payer who is in trouble with their tax obligations. These actions are covered by legislation called tax payer relief provisions.
There are several circumstances that may exist for a tax payer that could qualify them to apply for relief under this provision, and often deals with penalties and interest obligations. There could be extraordinary circumstances. The tax payer just may not have the financial resources to pay, or there could be other extenuating reasons.
You won’t know until you pursue some of the tax payer relief options, and here as your Toronto accountant we can assist you with how to go about applying for this program.
