When dealing with a tax audit or a tax reassessment, you need to know where you stand.
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Do you?
Audits
During a tax audit, an auditor is assigned to review specific aspects of your tax filing. As part of this process, he or she will inquire into your specific situation and has wide powers to request that documents be provided. Contact us if:
- the audit involves sensitive or complex tax issues beyond your comfort level;
- the auditor is not responsive to your representations; or
- you have concerns over how the audit is unfolding.
Reassessments
Once the audit completed, the auditor will issue a notice of reassessment stating your tax liability. From that point on, you have 90 days to object. Your objection will be reviewed by a different officer. It is critical that you present compelling arguments at this stage to try to end the process here and avoid the matter being escalated before the courts. Contact us to have a clear assessment of your legal position, especially if you’re on the hook for a significant amount of taxes, have been reassessed beyond the normal reassessment period or penalties are involved.
Do not abdicate your rights before having a clear understanding of your legal position and the options that are open to you. Turning a blind eye to the problem will not make it go away. Once the timeline to object has passed, the tax authorities will go after your assets. It will be too late to act then.