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Member You - Requirements To Produce Tax Information (What's Up With That?)
The market is changing and the internet is finding its way into every aspect of our life. In fact, many trade publications agree that by the year 2012, internet accessibility will be about as common and depended on as cellular phone connections. Little by little the internet is finding its way into coffee shops, your car, your T.V., and even in nature. Yes, many state parks across the country have free Wi-Fi (wireless internet) available in the camping and recreational areas.Your business more than likely has a web site. If not, you need one. Unfortunately, many older businesses are hesitant to place their products and services online because they don’t want to become an “internet” company. It may sound somewhat ridiculous but many business owners really feel that doing business online will immediately brand them as an internet company or “one of those “dot-coms”.Of course, being an internet company is nothing to be ashamed of. The king of the internet companies is of course Google Inc. Google Inc.’s market value is $140 Billion which is $15 Billion more than all of the companies traded in Indonesia. Yes, Google is worth more than Indonesia.All of that aside, doing business online doesn’t immediately brand you as an internet company. If you advertise in a phone book, are you a phone book co
If you are subject to such a "compliance audit" you will want to have your accountant involved as soon as possible in the process.
If, however, you are audited and shortly thereafter charged with an offence under the ITA speak with your lawyer as this "audit," it may have violated s. 7 of the Charter and the Jarvis principles.
S. 231.2(1) ITA: Requirements To Provide Information and Documents ("RPIDs")
If CRA wants you (or a third party) to produce (a) information or (b) any document the Minister of National Revenue ("MNR") may, for any purpose related the ITA, give notice served to you, or that third person, personally requiring production, within a reasonable time, of stipulated materials listed in the notice: Tower, above, s. 17.
Like you, CRA must follow the wording of s. 231.1(1) ITA (Ludmer v. Canada, [1995] 2 F.C. 3 (F.C.A.), CHEVALIER D.J. at p. 17).
CRA does get this wrong from time to time.
In todays global economy we can no longer assume that all business ventures are viable for growth in any given marketplace soil. Passion and hard work are just not enough. Where you grow your economic crop is now key to success.Labour intensive manufacturing in the North American marketplace has been transitioning to provinces, states and countries where the nutrients required to be profitable are a labour force of much lower costs and greater stimulus offered for rapid growth; tax incentives, power considerations etc.The manufacturing sector provides a very strong case for the "Organics" that need to be considered when opening a new business in a particular region. Natural growth is the key to its success, with little effort will it grow? The manufacturing sector once thrived wherever entrepreneurial seeds were dropped. Pretty much any soil along a decent transportation route would suffice. This is no longer the case as companies struggle to downsize, massive layoffs to try and keep a manufacturing facility open. The economic soil no longer sustaining what that profit driven plant requires.A few considerations in the Organic economy...First and foremost start with the size of the local market for your product, then the price point "globally", labour costs in that region, government
--Strother Martin in Cool Hand Luke
Statutory Law
Governments pass laws, it's what they do. It is the job of others to interpret the laws that Parliament has made.
Statutory Construction
It is "presume[d] that the legislature avoids superfluous or meaningless words, that it does not pointlessly repeat itself or speak in vain. Every word in a statute is presumed to make sense and to have a specific role to play in advancing the legislative purpose": Tower v. M.N.R., [2004] 1 F.C. 183 (F.C.A.) per MALONE J.A. per curium at para. 15.
Also Communities Economic Development Fund v. Canadian Pickles Corp., [1991] 3 S.C.R. 388, per IACOBUCCI, J. at page 408 Interpretation of the Canadian Income Tax Act ("ITA") in practice is primarily done by the Canada Revenue Agency ("CRA"); followed closely by tax accountants and lawyers with the tying vote going to the Courts.
The Legislative Purpose
To raise money and implement federal policies.
The Accounting/Legal Purpose
To assist taxpayers to legally structure their affairs so as to minimize the taxes they must pay: IRC v. Westminster, [1936] A.C. 1 (H.L.), at p. 19 and Stubart Investments Ltd. v. The Queen, [1984] 1 S.C.R. 536 (S.C.C.), at p. 540.
It is not difficult to foresee that the legislative objective and private sector tax adviser will frequently disagree. While CRA wins many such arguments by default (e.g., the taxpayer can't, or won't, fight) for those that do contest a restrictive or erroneous interpretation of the ITA, there is a heartening rate of success.
A caveat should be interjected here, this presumes challenges where have been made thoughtfully; that is, were CRA "got it wrong" and the taxpayer has called them on it. Frivolous challenged or specious arguments (i.e., R. v. Klundert) are not going to succeed.
Legislative Tools
In order to expedite the collection of taxes Parliament has given CRA broad powers to enforce the ITA, some require taxpayers to cooperate under a compulsion of law.
While such compulsion may be permissible in the civil context (R. v. McKinlay Transport Ltd., [1990] 1 S.C.R. 627), the same is not true if the information sought or seized by CRA will be used to prosecute the taxpayer for an offence under the ITA (R. v. Jarvis [2002] 3 S.C.R. 757; s. 7 of the Canadian Charter of Rights and Freedoms).
Thus the following material assumes a CRA civil audit, but if you believe that in your situation CRA abused these provisions while you were under a criminal prosecution (e.g., s. 239(1)(d) ITA for evasion) then obtain immediately legal advice.
S. 230(1) ITA: Books & Records
Every "person" carrying on business or required to pay, or collect, taxes under the ITA is required to keep records and books of account at their place of business or residence. What books? Enough to enable you to calculate the taxes and for CRA to see that you did it correctly. "Person" includes corporations (s. 248(1) ITA).
This ties into with the obligation on each Canadian taxpayer to estimate the amount of the taxes payable in any taxation year under s. 151 ITA.
S. 231.1(1) ITA: Inspect, Audit & Examine Books
Someone from CRA may, enter your place of business to inspect, audit or examine your books and records, or those of another taxpayer, to see you fulfilled your obligation under s. 151, above. They may not enter your home without a search warrant, unless you invite them in.
Although the wording of this provision is broad, it is not unlimited: the person has to be authorized, their approach has to be at a reasonable time(s), the request has to be related to enforcement of the ITA and it is restricted to "inspect[ing], audit[ing] or examination[s]."
If you are subject to such a "compliance audit" you will want to have your accountant involved as soon as possible in the process.
If, however, you are audited and shortly thereafter charged with an offence under the ITA speak with your lawyer as this "audit," it may have violated s. 7 of the Charter and the Jarvis principles.
S. 231.2(1) ITA: Requirements To Provide Information and Documents ("RPIDs")
If CRA wants you (or a third party) to produce (a) information or (b) any document the Minister of National Revenue ("MNR") may, for any purpose related the ITA, give notice served to you, or that third person, personally requiring production, within a reasonable time, of stipulated materials listed in the notice: Tower, above, s. 17.
Like you, CRA must follow the wording of s. 231.1(1) ITA (Ludmer v. Canada, [1995] 2 F.C. 3 (F.C.A.), CHEVALIER D.J. at p. 17).
CRA does get this wrong from time to time. J
As I am sure about this, almost everyone has received the same pre formatted reply from a company that you have written about a specific inquiry that you have made on this entity. Well, these already formatted responses are called as auto responders. They are called as such because they immediately or better yet, automatically respond to any letter or e-mail that gets into its own mailbox. The idea was developed primarily to make sure that interested clients can immediately receive a response from these people erasing from the sender the thought that his e-mail might have just been dumped. Now, along with the evolution of the auto responders, a few guidelines were also made to effectively use the auto responder. When setting up your auto responder message, create a message that encapsulates all concerns of the person who made an inquiry on your company. By doing t his, you are putting an air of importance on what the person was inquiring about. Make sure that there is a clear acknowledgment on the things that are being inquired by the client. Auto responders are actually pre loadable, so you may want to pre set your messages to avoid cramming. There are some auto responder programs that have a higher message capacity. Since this feature comes along with the auto responder p
The Legislative Purpose
To raise money and implement federal policies.
The Accounting/Legal Purpose
To assist taxpayers to legally structure their affairs so as to minimize the taxes they must pay: IRC v. Westminster, [1936] A.C. 1 (H.L.), at p. 19 and Stubart Investments Ltd. v. The Queen, [1984] 1 S.C.R. 536 (S.C.C.), at p. 540.
It is not difficult to foresee that the legislative objective and private sector tax adviser will frequently disagree. While CRA wins many such arguments by default (e.g., the taxpayer can't, or won't, fight) for those that do contest a restrictive or erroneous interpretation of the ITA, there is a heartening rate of success.
A caveat should be interjected here, this presumes challenges where have been made thoughtfully; that is, were CRA "got it wrong" and the taxpayer has called them on it. Frivolous challenged or specious arguments (i.e., R. v. Klundert) are not going to succeed.
Legislative Tools
In order to expedite the collection of taxes Parliament has given CRA broad powers to enforce the ITA, some require taxpayers to cooperate under a compulsion of law.
While such compulsion may be permissible in the civil context (R. v. McKinlay Transport Ltd., [1990] 1 S.C.R. 627), the same is not true if the information sought or seized by CRA will be used to prosecute the taxpayer for an offence under the ITA (R. v. Jarvis [2002] 3 S.C.R. 757; s. 7 of the Canadian Charter of Rights and Freedoms).
Thus the following material assumes a CRA civil audit, but if you believe that in your situation CRA abused these provisions while you were under a criminal prosecution (e.g., s. 239(1)(d) ITA for evasion) then obtain immediately legal advice.
S. 230(1) ITA: Books & Records
Every "person" carrying on business or required to pay, or collect, taxes under the ITA is required to keep records and books of account at their place of business or residence. What books? Enough to enable you to calculate the taxes and for CRA to see that you did it correctly. "Person" includes corporations (s. 248(1) ITA).
This ties into with the obligation on each Canadian taxpayer to estimate the amount of the taxes payable in any taxation year under s. 151 ITA.
S. 231.1(1) ITA: Inspect, Audit & Examine Books
Someone from CRA may, enter your place of business to inspect, audit or examine your books and records, or those of another taxpayer, to see you fulfilled your obligation under s. 151, above. They may not enter your home without a search warrant, unless you invite them in.
Although the wording of this provision is broad, it is not unlimited: the person has to be authorized, their approach has to be at a reasonable time(s), the request has to be related to enforcement of the ITA and it is restricted to "inspect[ing], audit[ing] or examination[s]."
If you are subject to such a "compliance audit" you will want to have your accountant involved as soon as possible in the process.
If, however, you are audited and shortly thereafter charged with an offence under the ITA speak with your lawyer as this "audit," it may have violated s. 7 of the Charter and the Jarvis principles.
S. 231.2(1) ITA: Requirements To Provide Information and Documents ("RPIDs")
If CRA wants you (or a third party) to produce (a) information or (b) any document the Minister of National Revenue ("MNR") may, for any purpose related the ITA, give notice served to you, or that third person, personally requiring production, within a reasonable time, of stipulated materials listed in the notice: Tower, above, s. 17.
Like you, CRA must follow the wording of s. 231.1(1) ITA (Ludmer v. Canada, [1995] 2 F.C. 3 (F.C.A.), CHEVALIER D.J. at p. 17).
CRA does get this wrong from time to time.
In marketing information you must have authentic and reliable data so that the readers would keep coming back to your website. When the internet users trust the content of your website they might recommend you to their acquaintances and will help boost the traffic on your site. Yes, content is essential. But how can you create the finest quality content? The answer is research.Without research you cannot provide the content that your readers would want to know. If content is king then research is the mother of the king. How can you sell you product if you cannot explain to the prospects clearly what your product or service is?What is research? Research is the systematic process of gathering data and information about a certain topic. In doing research you will know what your client wants and what your clients expect from your site. It involves building up dependable marketing information that you clients can rely on. What are the steps in researching? First, you must gather all the basic data regarding the insights of your customers to your business, product or service. You can use research tools such as survey forms and questionnaires. These tools can produce results that you needed to evaluate your business. You give your current custome
Legislative Tools
In order to expedite the collection of taxes Parliament has given CRA broad powers to enforce the ITA, some require taxpayers to cooperate under a compulsion of law.
While such compulsion may be permissible in the civil context (R. v. McKinlay Transport Ltd., [1990] 1 S.C.R. 627), the same is not true if the information sought or seized by CRA will be used to prosecute the taxpayer for an offence under the ITA (R. v. Jarvis [2002] 3 S.C.R. 757; s. 7 of the Canadian Charter of Rights and Freedoms).
Thus the following material assumes a CRA civil audit, but if you believe that in your situation CRA abused these provisions while you were under a criminal prosecution (e.g., s. 239(1)(d) ITA for evasion) then obtain immediately legal advice.
S. 230(1) ITA: Books & Records
Every "person" carrying on business or required to pay, or collect, taxes under the ITA is required to keep records and books of account at their place of business or residence. What books? Enough to enable you to calculate the taxes and for CRA to see that you did it correctly. "Person" includes corporations (s. 248(1) ITA).
This ties into with the obligation on each Canadian taxpayer to estimate the amount of the taxes payable in any taxation year under s. 151 ITA.
S. 231.1(1) ITA: Inspect, Audit & Examine Books
Someone from CRA may, enter your place of business to inspect, audit or examine your books and records, or those of another taxpayer, to see you fulfilled your obligation under s. 151, above. They may not enter your home without a search warrant, unless you invite them in.
Although the wording of this provision is broad, it is not unlimited: the person has to be authorized, their approach has to be at a reasonable time(s), the request has to be related to enforcement of the ITA and it is restricted to "inspect[ing], audit[ing] or examination[s]."
If you are subject to such a "compliance audit" you will want to have your accountant involved as soon as possible in the process.
If, however, you are audited and shortly thereafter charged with an offence under the ITA speak with your lawyer as this "audit," it may have violated s. 7 of the Charter and the Jarvis principles.
S. 231.2(1) ITA: Requirements To Provide Information and Documents ("RPIDs")
If CRA wants you (or a third party) to produce (a) information or (b) any document the Minister of National Revenue ("MNR") may, for any purpose related the ITA, give notice served to you, or that third person, personally requiring production, within a reasonable time, of stipulated materials listed in the notice: Tower, above, s. 17.
Like you, CRA must follow the wording of s. 231.1(1) ITA (Ludmer v. Canada, [1995] 2 F.C. 3 (F.C.A.), CHEVALIER D.J. at p. 17).
CRA does get this wrong from time to time.
When used to describe a web site, the term “sticky” refers to a site that is able to get viewers to stay at the site longer and come back frequently. Sticky web sites are more likely to turn viewers into customers.10 Ways to Make Your Web Site “Sticky”1. Keep content fresh! Feed daily news or update the site frequently with new information.2. Use appropriate interactive tools for feedback and user participation such as chat rooms, discussion boards, polls and surveys, or feedback forms.3. Teach your viewers. Adding tutorials and quick how-to articles to your site is a great way to bring viewers back. Proving you’re an expert in your field will also help turn viewers into customers.4. Offer an electronic newsletter. Allow viewers to subscribe to your “e-newsletter” and include advertisements or descriptions of your new products and services in the newsletter.5. Keep your web site pages light in content. In other words, don't fill the screen with a lot of text and expect your viewers to stick around!6. Make the navigation intuitive. Use familiar navigation tools such as hyperlinks, buttons, or pull-down menus. Ask others to navigate your site and give you feedback. Better still, make it possible for viewers to provide feedback when they're not able to find w
This ties into with the obligation on each Canadian taxpayer to estimate the amount of the taxes payable in any taxation year under s. 151 ITA.
S. 231.1(1) ITA: Inspect, Audit & Examine Books
Someone from CRA may, enter your place of business to inspect, audit or examine your books and records, or those of another taxpayer, to see you fulfilled your obligation under s. 151, above. They may not enter your home without a search warrant, unless you invite them in.
Although the wording of this provision is broad, it is not unlimited: the person has to be authorized, their approach has to be at a reasonable time(s), the request has to be related to enforcement of the ITA and it is restricted to "inspect[ing], audit[ing] or examination[s]."
If you are subject to such a "compliance audit" you will want to have your accountant involved as soon as possible in the process.
If, however, you are audited and shortly thereafter charged with an offence under the ITA speak with your lawyer as this "audit," it may have violated s. 7 of the Charter and the Jarvis principles.
S. 231.2(1) ITA: Requirements To Provide Information and Documents ("RPIDs")
If CRA wants you (or a third party) to produce (a) information or (b) any document the Minister of National Revenue ("MNR") may, for any purpose related the ITA, give notice served to you, or that third person, personally requiring production, within a reasonable time, of stipulated materials listed in the notice: Tower, above, s. 17.
Like you, CRA must follow the wording of s. 231.1(1) ITA (Ludmer v. Canada, [1995] 2 F.C. 3 (F.C.A.), CHEVALIER D.J. at p. 17).
CRA does get this wrong from time to time.
While looking for a reliable, well-established and trustworthy UK loan provider company, do search for a company who can deliver cost effective and user-friendly loan solutions to their customers. The UK loan provider company should offer its customers - a trouble less easy to get quotation form for their secured loans.If you owe a home of your own then it becomes an advantage for applying and getting a secured loan; as you can keep your home as security to be forfeited to the lender if case you fails to repay the loan. In order to get a secured loan, you have to put some form of valuable asset, like home, against which the companies provide you a secured loan. This valuable asset provides your lender an excellent level of security for the money he lends you. Secured loan is one among the various other personal loans which are linked to main assets like your home.Secured loans offered by secured--loan.co.uk are cheaper as compared to other loans, but in case, you fails to make any payments you risk loosing your home, you put as security against getting loan.Before signing an agreement for your secured loan, you should compare the APR of secured loans while deciding to opt for a secured loan. The best low APR rates are on hand easily for people who can secure loans against assets such as pro
If you are subject to such a "compliance audit" you will want to have your accountant involved as soon as possible in the process.
If, however, you are audited and shortly thereafter charged with an offence under the ITA speak with your lawyer as this "audit," it may have violated s. 7 of the Charter and the Jarvis principles.
S. 231.2(1) ITA: Requirements To Provide Information and Documents ("RPIDs")
If CRA wants you (or a third party) to produce (a) information or (b) any document the Minister of National Revenue ("MNR") may, for any purpose related the ITA, give notice served to you, or that third person, personally requiring production, within a reasonable time, of stipulated materials listed in the notice: Tower, above, s. 17.
Like you, CRA must follow the wording of s. 231.1(1) ITA (Ludmer v. Canada, [1995] 2 F.C. 3 (F.C.A.), CHEVALIER D.J. at p. 17).
CRA does get this wrong from time to time. Just how serious their error is you can discuss with your lawyer. An irregular RPID doesn't necessarily mean the evidence will be excluded, but the mere possibility is sufficient to justify your lawyer thoroughly reviewing the memoranda, RPIDs and related materials for errors.
Only the MNR (or his delegate) can issue RPIDs. RPIDs must be subject to prior approval and the delegate must act in a quasi-judicial manner; or in other words, if they don't act unreasonably.
The Supreme Court of Canada has held that a taxpayer may have substantive defences to successfully attack RPIDs and any resulting prosecution (McKinlay Transport), defence which include:
1) unauthorized fishing expeditions by CRA (James Richardson & Sons, Ltd. v. M.N.R. [1884]1 S.C.R. 614 at p. 623), and
2) there is no a genuine and serious inquiry into a taxpayer's liability (relying on Canadian Bank of Commerce v. A.G. Canada (1962), 35 D.L.R. (2d) 49).
The court ruled that the test is objective, which means that what's important is statutory compliance not CRA's good faith.
If the Requirement power was used improperly and all of the resulting information was obtained in violation of the Charter then your lawyer may ask the Court to exclude the evidence: Charter s. 24(2).
If search warrants were obtained "based solely on information gleaned in violation of the Charter [those warrants] are invalid": R. v. Evans, [1996] 1 S.C.R. 8 at para. 26.
S. 231.2(2) ITA: Unnamed Persons
The MNR shall not impose on any third party a RPID to provide information or any document relating to any one, or more, unnamed persons without prior judicial authority.
The Supreme Court of Canada has held that warrantless searches are prima facie a violation of s. 8 of the Charter: R. v. Collins, [1987] 1 S.C.R. 265 per LAMER, J. at para. 22 and it then becomes a question of fact whether that violation was "reasonable."
To rebut this presumption the onus will be on the Crown/CRA; but normally a "search will be reasonable if it is authorized by law, if the law itself is reasonable and if the manner in which the search was carried out is reasonable" (Collins, at para. 23).
In other words, an RPID will be legal if:
* the ITA was followed, exactly (Tower);
* if it was done in the civil context (McKinlay Transport);
* if there was a genuine and serious inquiry into a taxpayer?¦s liability (Canadian Bank of Commerce); and
* the taxpayer was named (s. 231.2(2) ITA; Artistic Ideas Inc. v. Canada (CRA), 2004 FC 573 (F.C.T.D.) per SNIDER, J.);
And, an RPID will not be valid and enforceable if:
* the ITA was not followed;
* if the MNR?¦s delegate didn?¦t act quasi-judicially;
* if the RPID was used as part of an investigation (Jarvis);
* if CRA was "fishing" (Richardson & Sons); and
* if CRA didn't obtain prior authorization for the RPID (Hunter v. Southam Inc., [1984] 2 S.C.R. 145 DICKSON J.)
This is a simplified version of the law, only your lawyer can give you advice about your particular situation.
S. 231.3(1) ITA: Search Warrants
CRA can apply to a judge for a search warrant ("SW") without notice to you.
A CRA officer must swear an Information to Obtain (s. 231.3(2) ITA) and under s. 231.3(3) ITA a judge may issue the search warrant if they are is satisfied that there are reasonable grounds to believe:
(a) an offence under the ITA was committed;
(b) a document or thing that may afford evidence of the offence; and
(c) the building to be searched is likely to be contain such a document.
S. 231.3(3) ITA now reads "may issue" rather than "shall" because the Baron v. Canada, [1993] 1 S.C.R. 416 declared the former invalid as a violation of s. 8 Charter because it unduly restricted judicial discretion in refusing t
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