Tax Issue

[MissCroft]

I know this is a bit personal but want some advice. I know that there are at least a few accountants, (tax) lawyers, tax people, etc. on this site. Or at least people who are knowledgeable who can help me out.


I have been paying the CRA in installments. According to their assessment which they mailed me (mailed on the 23rd of December, received yesterday) there appears to be no record of my last two installments. The amount owing doesn't go down. The last payment that they have a record of was back in August and my payments made in October and November don't seem to exist. I have the bank statements to prove that I made payments and they say I must come in to the Front St. office to prove that I made those payments. Is this normal? This is a few thousand dollars from my bank account..... that seems to have just gotten lost in cyberspace. ?

The last time I had to bring my bank statements in to prove that I had made payments they took everything from me. (Am I being audited?)


Should I contact a tax lawyer and go in to the office with him?


Today and tomorrow are uselss of course but I think they are open on Friday.... can someone give me some advice. I just want to know what the problem is... could my payments be going to some different department...? How the hell can they can not keep track of stuff? Why should I have to prove in person that I made payments?


Sorry - my last rant of 2013. I promise! lol


Happy New Year everyone!! LOL

 

[fuji]

You don't need a tax lawyer unless they dispute something. Just go give them the statements. If you are being audited, they will tell you.

It is normal for CRA to request random records from time to time, it is a bit weird that they don't show your payment.

Possibly you paid to the wrong tax account? In that case they should fix it up, and your bank should also be able to trace the money.

 

[MissCroft]

Possibly you paid to the wrong tax account? In that case they should fix it up, and your bank should also be able to trace the money.

Thank you.


What other tax account could it go to? I paid with their remittance vouchers..... It has my name, social insurance number. Isn't it kind of their job to keep track of this stuff.?

 

[Ceiling Cat]

Don`t go, it is a trick. If you were really bad, they make you have sex with Esco!

Seriously, if you have the proof that you paid, there is nothing to worry about. ( no sex with Esco. ( Pheww! )

 

[great bear]

CC there should be a phone number to contact them on your from. Call and explain the situation then send them your bank statement showing the payments were made.

 

[danmand]

CRA are way behind in processing installment payments.t

 

[great bear]

CRA are way behind in processing installment payments.t

Is it time to put Blackrock on the job?

 

[needinit]

It's a Banking and CRA processing issue - know a few people there and some things move at a glacial pace - if you go in person get the name of the person you see and ask they make a copy of your bank record - cross out other payments if part of a statement....they are just behind in processing, but also make sure they don't try and apply penalties later as well so keep an eye on the next few statements.

 

[danmand]

Is it time to put Blackrock on the job?

To deal with numbers??? You must be kidding?

 

[SamTores]

I am in tax practice and I have noticed that occasionally CRA would miss-apply a payment to another account (i.e. HST, personal taxes, etc.) or to another year (i.e. 2014 instead of 2013).

From your message it appears that you making installment payments against earlier balance due and the last two installments you paid in October and November are not appearing on the latest statement you received from CRA. If you have the bank statements to prove the payments were taken from your account then you are good.

Normally there is no need to meet them in person. You can provide the copy of the bank statements with a cover letter explaining the situation either by fax or mail. It is wired that CRA is not showing the payments on your statements. In case of you are being audited, CRA would inform you in writing and send you a list of information you need to provide them.

In your case, the payment is gone missing and you need to send them the supports to resolve the issue. I don't think you need to go there personally or retain a tax lawyer at this time.

Hope this helps. If you have any follow-up questions or require clarification then PM me and we can chat off-line.

 

[shack]

I have the bank statements to prove that I made payments

Aside from this, I know that when I pay something online, I always print out the final page showing the payment and usually one of their confirmation numbers.

As well I also get an e-mail with one of their official receipts, which I also always print out.

Tracking would be easier with this info. Did you not print these or were you not given the option?

 

[Mikehorn]

They probably applied the payments to 2013 instead of the prior year balance owing. You should call them and ask them to check if this is what happened.

You should also set up a "My Account" on their website. http://www.cra-arc.gc.ca/myaccount/ That way in the future you can check online to see if this is what they've done (if it happens again) and submit a request online for them to move the money, they usually comply with this pretty quickly.

 

[fuji]

What other tax account could it go to? I paid with their remittance vouchers..... It has my name, social insurance number. Isn't it kind of their job to keep track of this stuff.?

Depending on your situation, they may have set up different accounts for different tax years. Maybe you used the wrong year's vouchers? Or as others have speculated, they may simply be way behind in their processing.

Your money isn't lost. It went through the bank, and the bank will be able to help you prove that CRA got the money. It will get sorted out, and you will only need a lawyer if they come back and dispute your income or your deducations to such an extent that you are on the hook for a level of money that needs professional intervention -- I wouldn't hire a lawyer for a tax dispute under 10k or 20k, I would just fight on my own for smaller amounts in any case.

But for administrative problems like, "you can't find my payment", that can be sorted out by delivering to them the records proving that you have paid.

 

[SkyRider]

they say I must come in to the Front St. office

When I was last at the Front Street office in April, there were no live CRA personnel there, even the date stamp machine was gone. Only a drop off box for tax returns.

 

[Bobzilla]

Thank you.


What other tax account could it go to? I paid with their remittance vouchers..... It has my name, social insurance number. Isn't it kind of their job to keep track of this stuff.?

Check your pm's.

 

[K Douglas]

I am in tax practice and I have noticed that occasionally CRA would miss-apply a payment to another account (i.e. HST, personal taxes, etc.) or to another year (i.e. 2014 instead of 2013).

From your message it appears that you making installment payments against earlier balance due and the last two installments you paid in October and November are not appearing on the latest statement you received from CRA. If you have the bank statements to prove the payments were taken from your account then you are good.

Normally there is no need to meet them in person. You can provide the copy of the bank statements with a cover letter explaining the situation either by fax or mail. It is wired that CRA is not showing the payments on your statements. In case of you are being audited, CRA would inform you in writing and send you a list of information you need to provide them.

In your case, the payment is gone missing and you need to send them the supports to resolve the issue. I don't think you need to go there personally or retain a tax lawyer at this time.

Hope this helps. If you have any follow-up questions or require clarification then PM me and we can chat off-line.

Occasionally? They do it all the time.

 

[explorerzip]

Isn't it kind of their job to keep track of this stuff.?

You would think that government employees would be more careful and track this important information, but that's not to be. Thankfully, you have all your records to fall back on. It's a real nightmare if you didn't have them.

 

[cityguy57]

I know this is a bit personal but want some advice. I know that there are at least a few accountants, (tax) lawyers, tax people, etc. on this site. Or at least people who are knowledgeable who can help me out.


I have been paying the CRA in installments. According to their assessment which they mailed me (mailed on the 23rd of December, received yesterday) there appears to be no record of my last two installments. The amount owing doesn't go down. The last payment that they have a record of was back in August and my payments made in October and November don't seem to exist. I have the bank statements to prove that I made payments and they say I must come in to the Front St. office to prove that I made those payments. Is this normal? This is a few thousand dollars from my bank account..... that seems to have just gotten lost in cyberspace. ?

The last time I had to bring my bank statements in to prove that I had made payments they took everything from me. (Am I being audited?)


Should I contact a tax lawyer and go in to the office with him?


Today and tomorrow are uselss of course but I think they are open on Friday.... can someone give me some advice. I just want to know what the problem is... could my payments be going to some different department...? How the hell can they can not keep track of stuff? Why should I have to prove in person that I made payments?


Sorry - my last rant of 2013. I promise! lol


Happy New Year everyone!! LOL

I assume resolved (or on the right path to resolve). I work full time in tax practice as well - some good advise here already - no tax lawyer needed for this. Recommend, as mentioned already, to get your self set up so you can view online information (such as account balances/installment balance). feel free to PM if needed.

 

[Keebler Elf]

It's the new CRA service approach... you don't pay your taxes on time and they don't report your payments on time either!

 

[one.of.a.kind]

CRA are way behind in processing installment payments.t

This happened to me a year ago. I'd just wait till the end of January. They'll show up.