Contractors must be up to date in their tax filings…
Private contractors in Quebec will have to show clients that they are in good standing with Revenue Quebec before they can proceed with projects worth $25,000 or more
By Brynna Leslie
The Quebec government has promised to clamp-down on tax evasion in three specific industries, a move that will directly impact home renovators in the province.
Starting in September, contractors involved in a project worth $25,000 or more will be required to demonstrate they are in good standing with Revenue Quebec, according to an article in the Montreal Gazette.
A move announced in February’s budget, Contractors will be required to show clients a paper copy of this to their clients or risk having their business affairs sanctioned.
The province estimates it loses $1.5 billion in annual revenue due to tax evasion in the construction industry, which represents one in 20 jobs in the province.
“Contractors must be up to date in their tax filings and have no outstanding balance with Revenue Quebec,” reports the Gazette.
Since 2010, when the province first increased investigations on contractors, the Quebec government says it has generated $1.2 billion in additional revenue and 30,000 convictions for unreported work.