Revenue Canada wants my assets...I own nothing, house is in mama bear's name...how long is Revenue Canada's arm? can they take the house?
what are my options? bankruptcy?
what are my options? bankruptcy?
Revenue Canada has no sense of humour...
- Thread starter sizematters
- Start date
If you don't have any assets to take, they can't them, obviously. However, depending on the circumstances, I'm guessing they can throw you in the clink or garnish your wages.
Without asking you to divulge anything that shouldn't be divulged publically, what happened to get you in this mess? Maybe, TERBites can help by brainstorming with you.sizematters said:
sizematters said:
I bet you are wishing that you had not filed your taxes!!!
I may know many people who have not filed for a few years because they owe money
As for the house, if they can trace the ownership and find you "gave" it to her at the start of your economic troubles, they can make an attempt to sieze it. This goes for any other assets you may have had at one point.
ie: You own a house. You sell that house to someone for a grossly undervalued rate or "give" it to them (also known as divesting yourself of assets). I can guarantee you that this method of avoiding taxes will get you arrested.
As stated, they can garnish your wages, freeze your bank accounts (or make them For Deposit Only) but before they do any of this they will most likely want you in for an interivew. My suggestion is to go to this interview and try to work out a payment schedule.
ie: You own a house. You sell that house to someone for a grossly undervalued rate or "give" it to them (also known as divesting yourself of assets). I can guarantee you that this method of avoiding taxes will get you arrested.
As stated, they can garnish your wages, freeze your bank accounts (or make them For Deposit Only) but before they do any of this they will most likely want you in for an interivew. My suggestion is to go to this interview and try to work out a payment schedule.
If you don't, two things will happen:Papi Chulo said:
they will send you a letter requesting that you file a return
if you don't, you can be arrested/penalized for not abiding by their order. I forget what the procedure is (on their part) but I know it's pretty severe.
Word of warning: Do not put it past CRA to "invent" evidence to fine you large sums of penalties and "estimated" taxes owed. I can attest personally of them doing this.
Here's my story:
I don't collect much in the way of GST and more often than not, I get a credit when I fill out the form.
So I get a statement from them saying I owe $27,000.00 in past GST and penalties totalling $13,000.00. I laughed, man did I laugh. Well, I didn't get past the amounts so I said, I'd better file my returns. Whoops, didn't see the paragraph about them freezing my bank account. So I call up the lawyer they have listed on the "freeze" document and ask her: How the heck did you come up with those amounts? I said "you do know what I do right"? She said "you're listed as a carpenter...". I said, " do you know what my TOTAL gst collected and paid last year was? She said "umm no...." I said, "TOTAL of both is about $800.00" I again asked where they came up with that number? she said "we examined the records of other people in your business and estimated the amount". I said "do you realize for me to OWE $27,000.00 in gst that means my sales would have to have been about $650,000.00? WHAT self employed carpenter makes THAT kind of money, that's insane...You invented these amounts to justify the freezing of my accounts didn't you" No answer "I said you did didn't you because no one in their right mind would approve freezing someone's account and all the legal fees associated with doing that for $400.00...." When she didn't answer I knew I was right....btw: they assessed NO penalties to me and my final GST bill for the YEAR was $326.00.........
So believe me, they WILL invent reasons to go after you and if that means over estimating what you owe, they will do just that.
I will be honest, and if any official is reading this, then hark my words: After that conversation with the CROOKS at CRA, for just ONE second I knew what the terrorists and insurgents felt like and why they attacked governments. If they can falsify information to justify freezing my accounts then just what ELSE are they up to?
Think about it...say they have a policy in place that says no action can be taken for amounts owed under, oh, $100,000.00. So what do they do? Doctor their paperwork to show that you "should" owe $100,001.00. Whether you do, or their estimate is based on any sense of reality is irrelevant.
tboy said:
It usually takes more than 3 years for them to send you a letter demanding that you file within 30 days... until then, the penalties are not severe
simple really...just a fucked up life...the last six years are a blur...wife with cancer, death of both parents, one will challenged by a sibling, diagnosed with a chronic crippling disease...all the while trying to keep a small company afloat...a bit overwhelming...and CRA was not a priority.shakenbake said:
No one to blame but me.
lol, readin this thread makes me want to move my business offshore and only pay taxes on what i bring in for myself
There is actually something called the Fraudulent Conveyances Act which covers this exact scenario... any divesture of asset three months before a bankruptcy or examination by creditors is examined in full detail, and they will question the value of the transaction. Arrests stem from a criminal charge, so I don't think it will get you thrown into the slammer for this, but will it make your financial troubles worse when they find-out how you "divested" - absolutely. Will it wind you and the person to whom you gave the asset in court - it sure will.tboy said:
I had an ex business partner who managed to get into a situation where CRA got their claws into him... he was ready to jump out a 20th story window. Had the opportunity to see the letters sent to him (and they keep coming and are written in such a way as to scare the sh*t out of you), his bank accounts frozen, their knowledge of his assets, the artificial fines and amounts owing. His plans to buy a car got wiped-out and the amount he had to spend in legal and accounting bills was crushing him, especially as his bank accounts were froze. It was devastating and have since vowed to be relatively straight with CRA.
If you have a trusted friend or relative open a joint account with them, CRA cannot freeze joint accounts, this makes it that you can still pay your bills while you deal with the theives, yes I meen CRA.....
b d
b d
I'm curious to see if CRA can toss you in jail for non-compliance. I know in the US they can, as stated, that's how they got Al Capone.
I heard that happened to the guy that wrote the book 'Take your money and run'...The Cunning Linguist said:It's my understanding they can kill you with no repercussions.
he was a big hit in the late 90's till about 2003 when he didn't show up for an interview by the national post... he did however post on an expatriots website about his fears that RevCan had a hit on his head and he either went into international hiding or the cronies caught up to him. He apparently was helping too many middle classers avoid paying any income taxes on investments and helped many move their rrsp's out and offshore so they didn't have to pay on withdrawals when they retire.
all traces of him seem to disappear, except for a few good reads... I know 3 different people that have used his services before and lucky for them, they live a much more luxurious lifestyle not having to give their 50% over... actually, his services were so widespread, i doubt any of us have never come into contact with someone that has used his services to get money offshore. the smart ones keep their mouths shut.
