Taxpayers often encounter income tax disputes with the CRA. Broadly speaking, they usually disagree with the CRA’s assessment of their tax, interest, and penalties or disallowance of their benefits.

Sometimes the CRA may misinterpret the facts of a case and incorrectly apply the law in determining a person’s taxability. This can lead to imposition of tax, interest, and penalties which are not lawfully due.

A proper understanding of income tax and allied laws is necessary to know whether or not your tax treatment is correct. Otherwise, you may either inadvertently pay undue tax or pointlessly pursue dispute resolution with the CRA and waste your time and money.

Also, once you take a position on the facts and law in your case at an early stage of proceedings before the CRA, you may not be able to change it later on at the advanced appellate level where the courts can award costs against you. You, therefore, don’t want to start on the wrong foot while dealing with the CRA.

If you feel that the CRA has misunderstood the facts and law in your case, you may seek legal advice from a lawyer to know, protect, and assert your rights under the law.

At Abbas Law, we provide legal advice, services, and representation in domestic and international income tax dispute resolution and litigation with the CRA.