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How To Qualify For a Tax Debt Relief In Canada

Failing to pay your tax obligations on time can lead to penalties and interest charges. Unlike any other creditors, CRA is a powerful government agency that performs collection activities to another level. However, there is a taxpayer debt relief program available for Canadians.

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Qualify For a Tax Debt Relief

Learn more about this government tax debt relief program and how you can qualify.

Penalties are charged at a 5% rate of the unfiled tax return and an additional 1% on each month you are late in filing up to 12 months. There will also be an additional 10% for unreported income if you repeatedly fail to file, and 50% of the tax you owe.

When you file your income report, you can apply for a CRA Taxpayer relief program. But certain conditions need to be assessed by CRA to grant your request.

It is important to note that this taxpayer relief program can only help you with waiving penalties and interest charges, not the tax obligation itself.

Scenarios That Are Considered Qualified for CRA Taxpayer Relief Program

CRA Taxpayer Relief Program
  • Financial hardship or inability to pay Taxes
    Examples of financial hardship include job loss or unemployment.
  • Unforeseen life events
    These are serious illnesses, accidents, disasters like floods or fire.
  • CRA errors or wrong actions
    Errors resulting in interests or penalties can be waived.

Form RC4288

Canada Revenue Agency

Do you qualify for the CRA Taxpayer Relief Program based on the above scenarios? CRA will require you to provide more information about your current situation.

The form RC4288 is available on the Canada Revenue Agency Website and can be also downloaded at this link.

To assess your finances and the accuracy of the information you provided, more details need to be submitted to CRA including completion of the form RC376 or the “Statement of Income and Expenses and Assets and Liabilities for Individuals”.

You may send the forms and other supporting documents by mail to the designated CRA office. You have 10 years from the end of the calendar year to request CRA Taxpayer Relief.

What Happens During the Assessment of CRA Taxpayer Relief?

Assessment of CRA Taxpayer Relief

Your CRA Taxpayer Relief request will be reviewed by personnel of the Canada Revenue Agency and will then prepare a report for the CRA official that will handle your case.

During the review process, you may be contacted by CRA to provide additional documents supporting your claim or provide missing information or clarifications.

Factors that can affect your application and the decision towards your request:

  • Your filing history or record of paying on time.
  • Your attitude and efforts in working with CRA to deal with issues.
  • Your responsiveness to CRA deadlines.

What to Do if My Request is Rejected?

Taxpayer Relief

If you get rejected or denied of your request for CRA Taxpayer Relief, you can request a second-level administrative review. This request must be done within 30 days from the date you received the decision.

A second administrative review request will include the following:

  1. The reason behind your disagreement about the decision.
  2. New documents that can support your request, new facts, or correspondence.

The second review will be done by a different team of CRA personnel to maintain an impartial and fair decision.

However, if the second review ends up rejected again; you can apply for a judicial review to the Federal Court. This should also be done within 30 days from the date of the 2nd decision.

Do You Need Help on Underlying Tax Obligation?

Underlying Tax Obligation

Since the CRA Taxpayer relief provision only applies to penalties and interest charges, CRA has no power to reduce the actual tax obligation you owe to the agency.

If you don’t qualify for the program, or if the taxpayer relief is not enough to solve your tax crisis, we can help.

We can settle your tax debt with CRA through our government-approved debt relief program. All unsecured debts can also be included in this debt consolidation plan and will help reduce your debt by up to 75%.

At National Debt Relief Services, we negotiate with your creditors on your behalf and create an affordable payment plan.

Know more information about this amazing program by taking advantage of our free consultation and know how much you can save in minutes. We understand the importance of your health and your family, that is why this process can be done at home.

Our Clients 5-Star Reviews

Sheldon Dalley
Sheldon Dalley
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Lori Wock was quite professional and very friendly. She is great at her profession. I'd recommend National Debt Relief Services to anyone. Thank you Lori.
Shannon Flood
Shannon Flood
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I received help from a wonderful lady named Dawn. She was kind and compassionate and explained the whole process thoroughly to ensure I knew exactly what was happening. I would definitely recommend their service to anyone.
Ian Weber
Ian Weber
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Antaisha was very professional, very helpfuland seems to be trustworthy also seems to care about their clients in stressful situation. I was very hesitant about this situation but Antaisha made me feel comfortable when talking about my finances .
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Top 5 Key Benefits of our Ontario Debt Relief Program:

To know more what you can benefit from our Ontario Debt Relief Program, simply try our Debt Consolidation Calculator below and one of our debt specialists will get in touch with you and provide you the best debt relief option that fits your situation.

Do you want to experience Peace of Mind from all of these?

  • Credit Card Debts
  • Personal Loans
  • Car Loans
  • Taxes
  • HST
  • 407
  • Household Bills
  • Payday Loans
  • Student Loan
  • and more…

Talk to us! We will help you get out of debt.

We will help you reduce as much as 75% of your debts and consolidate it into a single affordable monthly payment. Your creditors will stop harassing you and all interest will freeze if you get into our Ontario Government Debt Relief Program.

Many Ontarians are already benefiting from our Debt Relief Program, YOU should too!

Find out how much you can write off portion of your debts by getting your Free Savings Estimate below. A debt specialist from National Debt Relief Services in Ontario will discuss all options and provide you tailor-fitted Debt Relief Program.

We will help you compare
the options and savings of all formal debt relief programs available to you.

SEE IF YOU QUALIFY TO:

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Frequently Asked Questions

A Debt Consolidation is a negotiated debt settlement offer made between you and your creditors with the help of a Debt Relief Agency in Ontario. Some key benefits of Debt Consolidation are interest-free program, no upfront fee required, combined monthly payment into one affordable amount, no lawsuits, and many more.

Yes, your assets are safe from creditors. A licensed debt relief agency in Ontario will help you come up with an offer to your creditors that will make sure your assets will be out of the paper.

No, in fact, this is one of the great advantages of a Debt Consolidation Program. All wage garnishment will stop from the day you filed the proposal.

The effect on your credit score is not going to be severe. Your credit score will most probably go to R7 Rating and will remain in your credit report for another 3 years after you completed the program. This means that it will not be permanent and you will still be able to rebuild your credit score.

 

This varies depending on the proposal you will be discussing with the help of a certified debt relief agency. It is also worth noting that debt consolidation cannot exceed more than 5 years.

If a debt is shared, you need to file a joint debt consolidation offer to your creditors. However, in most cases, in which the debts are individually incurred will have no impact on your spouse.

After three missed payments, your debt arrangement with creditors will be broken and you will end up getting chased again for the original debt amount plus interest.

A debt consolidation offer can be paid off earlier if you can. In this way, you receive your “Certificate of Completion” sooner and you can immediately start rebuilding your credit score. 

National Debt Relief Services Ontariois a certified Canadian Debt Relief Agency that offers FREE CONSULTATION to your debt consolidation needs. We value the trust given to us by our clients by making sure your personal information is confidential and private. Our personalized plans are designed to tailor fit your financial capacity. Our specialists will get in touch with you by simply answering a few questions thru the link provided below.

Why Trust National Debt Relief Services?

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See What Our Customers Have To Say

Dawn Friesman
Dawn Friesman
20/09/2020
I've been working with Allicia Macdonald shes very professional and sweet. I cant thank her enough for helping me rebuild my life. Thank you so much.
Chantal Rolfe
Chantal Rolfe
18/09/2020
Today I had a wonderful experience with Rachael, she was Very professional I was very happy with what we talked about today she was very Caring I highly recommend national debt relief services hundred percent😃
Jennifer Magill
Jennifer Magill
18/09/2020
Brittany was awesome, she explained everything clearly and offered solutions every step of the way. It’s always nice to hear that you could do this or that, I didn’t feel forced to do anything and was able to decide clearly. Thank you 🙏🏼
Dave Tonnos
Dave Tonnos
18/09/2020
This company will work with you and through any difficulties that may arise. They actually hold themselves accountable, how refreshing during troubling economic times.
marian kamara
marian kamara
18/09/2020
I have a great experience working with Suma, she work me through the program, takes her time to explain everything to me about how the program work, what I need to do from start to end of the process. I’m so thankful to God for sending an angel Suma to help relief my debt. It’s a great company to work with. I will recommend this program for anyone in debt like me.
Donna Hutchings
Donna Hutchings
18/09/2020
Connie B. was absolutely awesome! She explained everything in detail to me. Very professional to work with and takes the time with you. She really has compassion. So glad she helped me out. Thank you
lynn collins
lynn collins
18/09/2020
Joel has made this so simple and effortless he made sure i was well informed and making the right decisions for my situation i would recommend joel at national dept Relief to anyone in hardship with there bills thanks alot joel i really appreciate everything you have done for me thanks!! 5 stars for sure! and its chad ball not my mom lynn lol
Billy Bong
Billy Bong
17/09/2020
I had a great experience with Brittany, so helpful and understanding. Never felt like I was being pressured or rushed into anything. She was always there with answers to my questions. Thanks for all the help and peace of mind you helped me achieve.
Amber-lyn Miller
Amber-lyn Miller
17/09/2020
Let’s Just Put It Simple....... Not All Hero's Wear Caps........I spoke with Suma over a fairly lengthy period of time because of my busy schedule and lack of free time on my part, and she was not only extremely patient and understanding, but also beyond helpful And informative. Any question I had and no matter how many times she had to explain it to me she took her time to make sure I completely understood every single step and process before she moved on to the next thing. I have been so stressed out and worked up about my debt and trying to figure out how to fix it all since I know I will not be returning to work at all in the future because of medical issues and being 26 with that realization makes things just that more stressful but Suma made everything so easy and my payments are $100 a month for less then 5 years with no interest or penalties for early pay off. I’m so glad that I didn’t settle with some other place that was asking for $350 + a month for 7-12 years and paying off early would cost you more.
Jessica Preston
Jessica Preston
17/09/2020
Caroline F. was phenomenal, she was so helpful, understanding and compassionate. Caroline did not make me feel bad for my mistakes, she was supportive and caring, she helped me through this dark time in my life I'm so incredibly happy I crossed paths with her. Thank you Caroline for being so wonderful to me! <3

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