Tax debts, particularly taxes payable to the CRA, are often very stressful and overwhelming for many people to do deal with by themselves.

A tax debt can attract penalties and interest and swell up over time if it remains unpaid. The CRA will also pursue you for it relentlessly.

The CRA requires you to pay your tax debt immediately on becoming due. If you don’t, then the CRA has immense powers under the law to collect it from you.

The CRA can garnish your bank account, salary, and other income to enforce collection of tax debts from you.

The CRA can even seize and sell your house, car, and other assets, and use any other legal means to collect the taxes that you owe.

In some situations, the CRA can also enforce collection of your tax debts from your spouse and children.

The CRA also has the powers to collect the unpaid tax debts of a corporations from its directors and their spouses and children.

Moreover, your unpaid tax debts can also affect your credit rating with its associated consequences.

Your unpaid tax debts and CRA’s actions to collect them can be very costly for you financially, emotionally, socially, and in other ways.

Therefore, if you have a tax debt, it is advisable to pay it off right away. But if you can’t, then remember that you can legally cancel it or settle it with the CRA.

Ignoring a tax debt is not a good option for anyone regardless of whether they can or can’t pay it off.

Depending on your case, your tax debts can be settled with the CRA on nil payment, partial payment, or installments payment.

If you can’t pay your tax debt or disagree with it, you should immediately consult a licensed Canadian lawyer for legal advice on negotiating a settlement for you with the CRA and any court proceedings.

At Abbas Law, we provide legal advice and services to negotiate and settle your tax debts with the CRA. We have experience in tax debt settlement cases with the CRA.

Contact us for legal consultation to help you achieve the best possible outcome in settling your tax debts with the CRA or other departments.