There is a misconceived notion about the taxpayer relief Canada program that it is offered by CRA as a one-time event for a particular taxpayer. It is not so. The taxpayer relief Canada program is available to all residents in Canada who have been charged penalties and interest. These residents have a legal right to appeal for relief on every occasion if it is demanded justifiably.
It has to be noted that the CRA team for taxpayer relief does not necessarily keep a record of collection inventory because they review every case on its own merit of submission. There is no impact from any record of collections being maintained by the CRA collector who is assigned to a particular case.
Some people feel that the taxpayer relief Canada program is used to set up a negotiation deal of some sort between the CRA and the taxpayer for getting the debt resolved and that this relief is a buffer to accept lesser amount than the actual which is owed to the CRA. This is also a wrong notion because the CRA is not in the habit of settling debts through the relief programs or for accepting lesser payments than the actual tax dues outstanding.
All taxpayers have to remember that before they apply for the taxpayer relief Canada program, they have to file their outstanding tax returns up to date. All the installments have to be taken into account. If this does not happen, then it will be construed as a failure to file tax returns and will also be looked at as a criminal offence, resulting in prosecution. It is better on the part of taxpayers to file their returns before applying for relief and come clear to the CRA that their financial situation is keeping them from paying their tax dues in full. If the tax returns are not filed by a taxpayer, then the application that he or she makes for taxpayer relief Canada is kept on hold until the returns are up to date.
Some taxpayers feel that they could qualify for taxpayer relief Canada if they have a congenital problem such as disability or some illness from birth. This may not happen, particularly if a taxpayer has been conducting his or her tax affairs for a period of time without any defaulting issues. The concerned taxpayer cannot use the basis of illness or disability. This could only be considered if the penalties and interest levied by the CRA were partially responsible for the deterioration in the health or a disability condition of the taxpayer. The appeal for taxpayer relief Canada program by the taxpayer would be considered by the CRA if there is substantiation with letters supported by doctors or medical specialists.
Ever since the taxpayer relief Canada program has been revamped by the CRA, it is required that the taxpayer includes all supporting information when submitting the application. The claim can be rejected if the information is not included. The taxpayer can also establish if he or she can qualify for relief or seek professional help to ascertain grounds for applying.