June 23 2015 , Robert McMechan, Senior Tax Litigation Lawyer

The Canada Revenue Agency (CRA) will inform you of a reassessment of your income by Notice of Reassessment. Often Notices of Reassessment are accompanied by the CRA’s reasoning for the reassessment. You should review the basis of the reassessment, preferably with a tax professional, to determine if there is any merit to the CRA’s decision.

If you disagree with the CRA’s decision, then you should act quickly. The deadline to file a Notice of Objection is 90 days from the mailing of the Notice of Reassessment (not the date you receive it). It is possible in some circumstances to request an extension of up to one year after the 90 day period, but you should explain why you were unable to file the Notice of Objection within the 90 day period.

The Notice of Objection should set out the facts, reasons and, if possible, law to support your position that the CRA’s decision was incorrect. You should consult a tax professional to assist you with the preparation of Notice of Objection or have one prepared for you.

The Notice of Objection will be reviewed by the Appeals Division of the CRA. It can take up to a year for an Appeals Officer to be assigned to review your Notice of Objection. The Appeals Officer will usually send a letter informing you that he or she has been assigned to your file and for you to provide any further information you may have within a specified time.

The Appeals Officer may vacate, change, or confirm the reassessment of your income. If you disagree with Appeals Officer’s decision, then you should retain a lawyer to file a Notice of Appeal with the Tax Court of Canada.

Visit our informational website www.TaxDisputeCRA.ca to learn more about the tax dispute process with the Canada Revenue Agency.

This article is for informational purposes only and does not constitute legal advice. If you wish to discuss your issue with a lawyer, contact us today.  +1 (613) 706-1757