Requesting a Refund for Amounts in Dispute: CRA

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When you’ve filed an objection with the Canada Revenue Agency (CRA) and certain conditions are met, you have the option to request a refund for the amounts in dispute. Here’s everything you need to know about this process. Eligibility for a Refund: You can seek a refund if:
  • You have already paid the amounts you owe.
  • You have not received a decision on your objection within 120 days.
However, please be aware that there are some limitations:
  • For objections related to charitable donation tax credits or large corporations, refunds are generally limited to 50% of the amount in dispute.
How to Request a Refund: There are two ways to request a refund:
  1. Include it with Your Objection: You can include your refund request when submitting your objection to the CRA.
  2. Submit it Separately: Alternatively, you can make a written refund request separately from your objection. In this case, ensure that you include the case number assigned to you and send it to the Chief of Appeals at the address provided in Appendix B.
Making Payments to the CRA: If you need to make payments to the CRA for personal income taxes, business taxes, or certain government programs, you can easily do so online at canada.ca/payments. Difficulty Paying Your Tax Debt: Should you find it challenging to pay your full tax debt, you may have the option to arrange a payment plan. It’s essential to proactively contact the CRA to resolve your situation and avoid accruing additional interest on the amount you owe. For more information, visit canada.ca/cra-collections. In some circumstances, you may also request relief from penalties and interest, potentially reducing the total amount you owe. Learn more at canada.ca/cancel-waive-penalties-interest. Need More Information? If you’ve filed an objection and require further information about its status, don’t hesitate to reach out to the Appeals Intake Centre, as listed in Appendix B. For insights into income tax objections processing times, visit canada.ca/tax-objections-processing-time. Forms and Publications: To access the necessary forms or publications, you can visit canada.ca/cra-forms-publications or contact 1-800-959-8281. Teletypewriter (TTY) Users: TTY users seeking bilingual assistance during regular business hours can call 1-800-665-0354. Navigating the tax objection process in Canada requires understanding your rights and the available options for refunds and payments. Keep this guide handy for reference, and visit the CRA’s official website for additional resources and updates.
Appendix A – Example of an Objection Letter By fax: (refer to Appendix B)   Your current address contact number Date   Chief of Appeals Appeals Intake Centre P.O. Box 2006, Station Main Newmarket, ON L3Y 0E9   Subject: Objection to 2020 Reassessment (please include your account number)   Dear Sir or Madam: I am writing to formally object to the reassessment of my 2020 income tax return. Enclosed, you will find a copy of the notice of reassessment dated June 15, 2021, which is the subject of my objection. In July 2020, I relocated from Vancouver to Edmundston, New Brunswick, to embark on a new job opportunity. On my 2020 tax return, I claimed moving expenses and submitted Form T1-M, which supports my Moving Expenses Deduction. As indicated in my T1-M form, my family and I traveled to Edmundston by car. In my claim for transportation-related expenses, I included the subsequent costs incurred during a side trip to Banff. These costs are as follows:
  • Travel expenses (fuel + car repair) $478.75
  • Overnight lodging (1 night) $175.00
  • Meals (2 days) $205.50
Regrettably, the Canada Revenue Agency has disallowed this portion of my claim. I would like to emphasize that my initial intention was to undertake a day trip from Calgary to Banff. However, unforeseen circumstances arose as my car experienced overheating issues during the journey, necessitating an overnight stay for radiator repairs. Given the uncontrollable nature of this situation, I respectfully request that you reconsider allowing these expenses as legitimate moving expenses. At the very least, I request that you permit me to claim the $443.75 spent on car repairs. I am open to further discussion and would appreciate the opportunity to address this matter with you. Sincerely, [Your Full Name]

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