Canada Revenue Agency’s big push to investigate contractors
It's a $42-billion underground economy. Finance Minister Bill Morneau, however, seems to have other priorities.
While Finance Minister Bill Morneau is determined to squeeze a lot more taxes out of law-abiding, tax-paying small businesses, we have tens of billions of underground work going on across Canada. Here’s a comment about that…
Home renovation contractors are at the top of the CRA shit list for tax evasion, accounting for almost 30 per cent of the $42 billion underground economy and it’s not all their fault. CRA has 35 investigation teams on the move, many of them looking at contractors. It takes two to tango, and it’s unfortunate that so many homeowners insist on playing the cash-under-the-table game. Unfortunate, because when the tax man shows up, it’s the contractor who gets nailed to the wall. I’m with the contractors on this one and I know it’s tough to compete against a tax cheat. CRA needs to change the rule – when one of these situations shows up, both parties should face similar consequences.