Canadians dodged paying feds up to $3B in taxes on foreign income: CRA

So far, the federal government has collected up to $14.6 billion less than it would have in 2014

Canadians dodged paying Ottawa somewhere between $800 million and $3 billion worth of taxes on foreign personal income in 2014, says a new federal estimate released Thursday.

The study by the Canada Revenue Agency says the missing funds represented between 0.6 per cent and 2.2 per cent of the total income tax revenue Ottawa collected that year from individuals.

So far, the federal government has collected up to $14.6 billion less than it would have in 2014, had all tax obligations been fully met — and that number is expected to grow as the agency’s research continues.

In previous reports, the agency has already released other estimates on the so-called tax gap — the difference between what is owed to the government and what was collected — for personal income tax and the federal portion of the GST and HST.

The agency’s next study will focus on domestic and international businesses, a report it says will provide CRA with its first estimate of Canada’s overall tax gap.

The latest numbers come as Ottawa invests more resources in analyzing and cracking down on tax evasion.

“Most Canadians pay their fair share of taxes,” National Revenue Minister Diane Lebouthillier said in a statement. “They expect their government to pursue people and businesses that try to avoid doing the same.”

The agency said Thursday that international audits it conducted between 2014-15 and 2016-17 uncovered close to $1 billion in income — and identified $284 million in additional taxes. In the process, it assessed 370 individuals, 200 corporations and a small number of trusts.

The CRA analysis also found that in 2014, Canadians earned $9 billion in foreign income and held a total of $429 billion worth of assets outside the country — with most of it reported in the United States and the United Kingdom.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

Rebels victorious over Swift Current Broncos

New Forwards Brett Davis and Cameron Hausinger showing lots of confidence on the ice

One hundred and five trees of Christmas

Red Deer couple decorated 105 Christmas trees to raise money for the Central Alberta Humane Society

Nuit Blanche Red Deer looking to make a comeback in 2019

Local organization is hosting a Christmas artisan market on Dec. 15th

Site of future Child Advocacy Centre on RDC campus unveiled

Centre to be located on the southwest area of the campus

Lacombe, Red Deer snubbed from new ambulance list

Lacombe Councillor Chris Ross continues to advocate for added care in Central Alberta

WATCH: Every dog has its day

Red Deer and District Kennel Club’s show began Friday and runs all weekend at Westerner Park

Top House Dems raise prospect of impeachment, jail for Trump

It could be an “impeachable offense” if it’s proven that President Donald Trump directed illegal hush-money payments to women during the 2016 campaign.

Macron addresses France amid protests; is it too late?

Paris monuments reopened, cleanup workers cleared debris and shop owners tried to put the city on its feet again Sunday.

CUPE calls off Flair Airlines job action citing job security concerns

The union says it’s going to challenge Flair’s move at the Canada Industrial Relations Board before proceeding with any job action.

Trump looking at several candidates for new chief of staff

Trump’s top pick for the job, Nick Ayers, is out of the running and Trump is now soliciting input on at least four individuals.

Canadian physicist collects Nobel Prize

Canada’s Donna Strickland is one of three winners of this year’s Nobel Prize for Physics.

Canada Post backlog, Greyhound exit creating headaches ahead of the holidays

The federal government forced members of the Canadian Union of Postal Workers back to their jobs late last month

Top EU court rules UK can change mind over Brexit

Britain voted in 2016 to leave the 28-nation bloc, triggering a two-year exit process

WATCH: CP Holiday Train rolls into Lacombe

Kelly Prescott performed for hundreds of Central Albertans

Most Read