TORONTO, November 22, 2018 – The Canada Revenue Agency treats taxpayers in similar situations in different ways and does not accurately report the results of its compliance activities, says the Auditor General of Canada. News of the double standard comes just one week after a CRA public relations campaign during which the agency touted its record in pursuing offshore tax evaders.
In his audit of compliance activities at the CRA, Auditor General Michael Ferguson found that the CRA inconsistently applied tax rules when it audited or reviewed taxpayers’ files, even though the Taxpayer Bill of Rights requires the agency to apply the rules in the same way to taxpayers in similar situations. It gave different taxpayers in similar situations different times to provide information and waived penalties and interest inconsistently.
As the report points out, the federal government’s budgets in 2016 and 2017 gave the CRA almost $1 billion in additional