Will the federal strike impact my tax return?: Windsor accountant answers your questions
The May 1 tax deadline is not being extended despite the ongoing federal workers strike.
John Ropac, office managing partner of KPMG Windsor branch, spoke with CTV News to answer some frequently asked questions.
Will my tax returns be delayed because of the PSAC Strike?
Ropac: Right now we've been successful. We've been e-filing for our clients’ returns and they’ve been accepted by the CRA electronically. We're getting notifications those are being assessed and accepted. The CRA has said those filing on a paper basis will be stockpiled and left until the strike action is completed.
What penalties will I face if I miss the May 1 deadline?
Ropac: The penalties are fairly severe. Five per cent of the amount owing on May 1 is automatically assessed. Plus one per cent a month of that amount keeps getting added on to a total of 17 per cent for just not for filing return. Try to get the thing filed to the best of your ability. Then we can always adjust the return later to add information. As long as it was received on time, there should be no penalty assessed.
What services will be impacted the most by the CPAC strike?
Ropac: If it's a straightforward return that can be just filed, it should go right through. If someone has a question for the CRA, they may have difficulty in getting the help they need at this time. They're doing their best with limited people on the phone. You may or may not get through. The CRA’s chat service has been disabled.
Free tax clinic of lower-income residents in Windsor
For those with lower income, there are several free tax clinics in Windsor. Family Services Windsor-Essex (FSWE) volunteers have already helped over 3,000 people file their taxes free of charge this year.
To qualify, individuals must make under $35,000 annually, couples under $45,000, families with one child below $47,500/year.
“We can't complete taxes for folks who passed away. We can't complete taxes for those with self-employment income like Uber Eats or business income,” said Carol Kavosi, FWSE office coordinator.
In-person appointments are being offered again as well as a document drop-off option. Call 519-966-5010, extension 1234 to schedule an appointment.
“Every single person whose taxes we complete, receive a benefit, whether it's a tax return, GST, Trillium, or the Climate Action Incentive Payment,” said Kavosi.
“It's important for people to file their taxes. You don’t want to lose out on those benefits.”
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