Today, 21st February 2024, the Canada Revenue Agency (CRA) might send you a Notice of Reassessment. This notice means the CRA has looked at your income tax returns again. They might find something that needs you to pay more taxes or penalties.
The CRA has a three-year period to reassess your tax returns. If they find something, they will send this notice. It’s important to look at why the CRA reassessed your tax with help from a tax expert.
Summary of Notice Of Reassessment
| Aspect | Details |
|---|---|
| Issuer | Canada Revenue Agency (CRA) |
| Country | Canada |
| Reassessment Period | Within three years from original assessment date |
| Response Time | 90 days to object |
| Potential Reasons | Discrepancies in tax returns, denied claims |
| Importance | To correct tax obligations, avoid penalties |
| Next Steps | Review, object, or pay as necessary |
| Assistance | Consult a tax expert, consider payment plans |
What is a Notice of Reassessment?
A Notice of Reassessment is sent after the CRA reviews your tax return. It shows if you owe more taxes. You might get it if the CRA changes something in your tax return.
If you’re chosen for an audit, the CRA will ask for more information. They’ll use this to decide if they need to reassess your tax.
Understanding the CRA Audit Process
The CRA can audit your tax returns within three years. They will tell you if they need more information. After the audit, they might send a Notice of Reassessment.
This notice means the CRA might not agree with your tax return. They compare your information with other data. This can lead to you owing money to the CRA.
The Importance of the Notice of Reassessment
The Notice of Reassessment is important. It shows changes to your tax return. You should act quickly if you owe money.
You have 90 days to respond if you think the CRA is wrong. This is your chance to object to their decision.
What to Do After Receiving a Notice of Reassessment
After getting a Notice of Reassessment, you have 90 days to object. You can also accept it and pay the amount due.
The process involves the Appeals Division of the CRA. An Appeals Officer will review your case. This can be complex, so it’s good to talk to a tax expert.
Seeking Professional Help
If you agree with the CRA but can’t pay in full, get professional help. A tax expert can guide you. The CRA might let you make a payment plan.
It’s good to understand your options. A tax expert can help you decide the best course of action.
Frequently Asked Questions
What is a CRA Notice of Reassessment?
It’s a notice from the Canada Revenue Agency saying they’ve reassessed your tax return. It might mean you owe more taxes.
Why would I receive a CRA Notice of Reassessment?
You could receive it if the CRA finds discrepancies in your tax return or if they change something during an audit.
What should I do if I receive a Notice of Reassessment?
Review it, consult a tax expert, and decide whether to object or pay the reassessed amount.
How long do I have to respond to a Notice of Reassessment?
You have 90 days from receiving the notice to respond or object to the CRA’s findings.
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