The CRA Underground Economy Advisory Committee includes industry
partners such as Restaurants Canada and Canadian Home Builders'
Association, experts and professional organizations including the
Chartered Professional Accountants of Canada and was set up by CRA
to help combat Canadian
tax evasion through unreported cash transactions. Minister of
National Revenue Diane Lebouthillier and Parliamentary Secretary to
the Minister of National Revenue Emmanuel Dubourg met in early June
2016 with members of the Committee to look at ways to join forces
to more actively combat the underground economy in Canada. The
Committee advises the Minister and the Canada Revenue Agency and
collaborates with members on measures to reduce the acceptability
of and participation in the underground economy with a view to
making under the table cash transactions socially unacceptable. The
Committee's advice and recommendations will assist the CRA in
improving its methods and strategies to more effectively identify
Canadians and who commit tax fraud by not declaring their income
and not paying their fair share of taxes and to bring them into
compliance with the law and to prosecute tax cheats for income tax
evasion. Tax audits of the cash economy remain a CRA focus. The
CRA's Underground Economy Strategy focuses on three strategic
themes to try to reduce participation in the underground cash
further refine the CRA's understanding of the Canadian
underground cash economy;
seek to reduce the social acceptability of participation by
Canadians in the underground cash economy; and
deploy a range of initiatives to encourage tax compliance and
reduce participation in the underground cash economy.
tax lawyers we provide income tax advice to taxpayers who have
engaged in unreported cash transactions and have decided to correct
their back tax filings. Provided they have not been subject to a
CRA tax audit they can submit a CRA voluntary disclosure through
our Toronto tax law firm to correct unreported GST/HST or
unreported income. By submitting a successful tax lawyer voluntary
disclosure there will be no tax evasion prosecution and no
penalties and there may be an interest reduction. The Minister is
quoted as saying: "I am pleased to work with industry partners
on this important issue - the fight against the underground
economy. Their insight will help the CRA deliver on the
government's commitment to combat tax evasion and tax
avoidance. The vast majority of Canadians pay their fair share of
taxes and they must have confidence that the tax system is fair for
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The CRA provides new housing rebates for individuals who have purchased or built a new house or have substantially renovated a house or made a major addition to a house who plan on living in it personally or letting a relative live there.
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