The Canada Revenue Agency (CRA) recently conducted a poll to gauge Canadians' opinions on tax avoidance by the rich, revealing widespread resentment. Blacklock's Reporter says according to in-house records, the CRA spent $174,047 on the research, which aimed to understand public perception of the tax habits of wealthy Canadians.“There was specific interest in gauging how respondents view the Agency’s treatment of ‘rich’ people without defining ‘rich,’” stated an Agency report titled Annual Corporate Research. The findings indicated that two-thirds of Canadians believe wealthy individuals have an easier time avoiding taxes.“Results reveal 67% of respondents strongly agreed that rich people have an easier time tax cheating than middle-class Canadians, while half, 50% strongly agreed that the Agency targets middle-class Canadians but turns a blind eye to rich taxpayers and corporations,” the report noted.The study, conducted by Quorus Consulting Group Inc., surveyed 2,400 individual taxpayers, 770 small and medium-sized business owners, and 810 accountants and tax preparers across Canada.Nearly half of the respondents, 46%, agreed that “the Canada Revenue Agency should publish a list of people found guilty of tax offences in court.” The CRA already maintains a blacklist of individuals who plead guilty or are convicted of violating the Income Tax Act.When asked if they agreed with the statement, “The Canada Revenue Agency would never find out about income received in cash that is not declared on income tax forms,” 34% strongly agreed. Additionally, 22% strongly agreed with the statement, “It’s acceptable for people to pay cash for goods and services in order to avoid paying the GST.” Nineteen percent of respondents did not consider it cheating to “get a deal on home or car repairs by paying cash.”“More than two-fifths of small and medium-sized enterprise respondents, 41%, felt business tax cheating was quite common, while 38% felt it was moderately common,” the report stated. When asked “how likely they would be to report a company that may be cheating on their taxes,” a majority indicated they would not.Regarding the level of taxes Canadian businesses pay compared to the services they receive from the government, 51% of accountants surveyed felt businesses paid too much.The CRA's 2022 Overall Federal Tax Gap Report estimated that the value of unpaid taxes nationwide is up to $40.4 billion annually. This figure aligns with a 2019 Budget Office study, Preliminary Findings On International Taxation, which also estimated the tax gap to be at least $40 billion.
The Canada Revenue Agency (CRA) recently conducted a poll to gauge Canadians' opinions on tax avoidance by the rich, revealing widespread resentment. Blacklock's Reporter says according to in-house records, the CRA spent $174,047 on the research, which aimed to understand public perception of the tax habits of wealthy Canadians.“There was specific interest in gauging how respondents view the Agency’s treatment of ‘rich’ people without defining ‘rich,’” stated an Agency report titled Annual Corporate Research. The findings indicated that two-thirds of Canadians believe wealthy individuals have an easier time avoiding taxes.“Results reveal 67% of respondents strongly agreed that rich people have an easier time tax cheating than middle-class Canadians, while half, 50% strongly agreed that the Agency targets middle-class Canadians but turns a blind eye to rich taxpayers and corporations,” the report noted.The study, conducted by Quorus Consulting Group Inc., surveyed 2,400 individual taxpayers, 770 small and medium-sized business owners, and 810 accountants and tax preparers across Canada.Nearly half of the respondents, 46%, agreed that “the Canada Revenue Agency should publish a list of people found guilty of tax offences in court.” The CRA already maintains a blacklist of individuals who plead guilty or are convicted of violating the Income Tax Act.When asked if they agreed with the statement, “The Canada Revenue Agency would never find out about income received in cash that is not declared on income tax forms,” 34% strongly agreed. Additionally, 22% strongly agreed with the statement, “It’s acceptable for people to pay cash for goods and services in order to avoid paying the GST.” Nineteen percent of respondents did not consider it cheating to “get a deal on home or car repairs by paying cash.”“More than two-fifths of small and medium-sized enterprise respondents, 41%, felt business tax cheating was quite common, while 38% felt it was moderately common,” the report stated. When asked “how likely they would be to report a company that may be cheating on their taxes,” a majority indicated they would not.Regarding the level of taxes Canadian businesses pay compared to the services they receive from the government, 51% of accountants surveyed felt businesses paid too much.The CRA's 2022 Overall Federal Tax Gap Report estimated that the value of unpaid taxes nationwide is up to $40.4 billion annually. This figure aligns with a 2019 Budget Office study, Preliminary Findings On International Taxation, which also estimated the tax gap to be at least $40 billion.
