Canada Revenue Agency to pay for tips on cheats
The Canada Revenue Agency headquarters in Ottawa, Nov. 4, 2011. (FILE PHOTO)
The Canada Revenue Agency is on the lookout for tax cheats and is asking Canadians to help flush them out — offering financial incentives as a lure.
In Vancouver Wednesday, National Revenue Minister Kerry-Lynne Findlay launched the Offshore Tax Informant program meant to “crack down on international tax evasion and aggressive tax avoidance.”
The new program will pay tipsters a percentage of the tax recovered from those on which they inform, if the amount of recoverable taxes appears to be more than $100,000 upon initial review of information.
Payment will be made to those who assist the CRA after the funds are recovered.
“Unfortunately not all taxpayers approach their tax obligations in the same way,” she said. “A small minority go to, in effect, great lengths to avoid paying the correct amount of taxes that are owing.”
The tipster incentives come with a push to crack down on tax cheats, including a $30-million investment in compliance and auditing efforts, and an electronic funds transfer initiative.
Findlay said tax evasion affects Canadians by reducing the amount of funds available for programs Canadians use.
She added it also can provide an unfair advantage for businesses not paying the full amount they owe.