Got it today from CRA.
These motherfuckers want me to pay another $4000 between now and Dec. 15th as an income tax credit.
What will happen if I simply ignore it?
I have always paid any income tax owing in April (if I owed after doing my tax return).
As far as I'm concerned, these motherfuckers can fuck off.
I didn't even get those one year when they were only sending paper statements to my old address. Apparently filing my taxes with a new address isn't enough and I have to call somebody to update their files. I've been at the new place for 3 years, and received all my income tax assessments, but they somehow manage to still send payment reminders to the wrong place. Anyways when I finally figured out how to log into their awful website, i owed a few hundred bucks in interest on the pre-payments I didn't make.
I think it starts accruing interest the day you miss it, rather than at the end of the year after you've already filed.
You'll owe interest on it, the same way you would if you didn't pay your income tax on time in April. They want that money ASAP so they can earn the interest on it, not you!
Edit: Bah, 1 minute too slow.
Fuck me. Even tho I've always paid on time, they want me to pay sooner? What a total crock of shit this is.
Yup. I had the same reaction. How did I owe more in interest than some people pay in taxes all year...
It's also due to how work had structured the payroll not to deduct enough. But to submit the form to increase the deductions is a yearly task that I never got around to.
P.S. forgot to tell you we are no longer at the same company.
It's complete horseshit, but I'm guessing the reality is that for every guy out there that ends up with a decent tax bill once a year and pays it right away in full there are 10 more behind him that didn't set the money aside and now Uncle Justin and friends have to try to collect blood from a stone.
Everyone else pays taxes throughout the year.. Why shouldn't you?
Whaaat? Damn dude I was just thinking about you the other day lol. Thot it was you walking into the SOC haha.Quote:
Originally Posted by jwslam
All the best to you! Back in Calgary full time?
Lots of info about it here:
https://www.canada.ca/en/revenue-age...xable%20income.
I think I'm going to call CRA tomorrow and have a reasonable conversation about this and when diplomacy inevitably fails, I'll just cut into the bastards.Quote:
Originally Posted by Masked Bandit
I pay taxes every two weeks like many other full time employed individuals.Quote:
Originally Posted by lasimmon
LOL what a bunch of fuckers.
But you've also been getting some big lump sum payments here and there (or maybe just one) every year for the past couple of years, haven't you? That's the income tax they want sooner than later so they can earn the interest on it.Quote:
Originally Posted by 16hypen3sp
Wait, this is for employed people? (who already pay taxes)Quote:
Originally Posted by 16hypen3sp
I thought this was JUST for the SP and coporations out there (I got one too).
Well my mistake then, I assumed you weren't a full time employee paying regularly.Quote:
Originally Posted by 16hypen3sp
From my link up above:Quote:
Originally Posted by revelations
***************
Why should you pay tax by installments?
If you earn income that has no tax withheld or does not have enough tax withheld for more than one year, you may have to pay tax by installments.
This can happen if you earn rental, investment, or self-employment income, certain pension payments, or income from more than one job.
***************
For me they started doing it when I was cashing in stock options a couple of years in a row and owing fat tax on it at the end of the year.
^ ok thats fine.... its not for the average employee then ... you have to be banking some good coin elsewhere it seems
Yah that is certainly my situation. However, I don't see how they could think I'll owe more than $3000 next year. I could utilize my RRSP and have a $0 tax owing next year. I have tons and tons of contribution room in it still.Quote:
Originally Posted by Swank
Edit: Fucking pricks man, always trying to fuck whoever they can.
The interest amount is actually fairly small - they charge something like 1.5%/annum for income tax.
It's a dick move, especially when you pay in installments on a year where you don't end up making extra money, they're just assuming you will based on previous years. They then owe you all that money back but you have to wait until normal tax time to file for it. You'd think with all that money they'd at least spring for some lube.Quote:
Originally Posted by 16hypen3sp
I’m self employed and they started asking for instalments after my second year filing as self employed. They just asked for an extra grand on my last two instalments this year for some reason, but I’m definitely going to get a refund based on earning less this year and paying more in instalments.
They didn’t even send me a paper letter the first time I was suppoaed to make instalments so I had no idea, until they handed me a bill for $350 in interest. I called and very politely explained I had no idea and apologized, asked for more info so I don’t make a mistake again and there was nothing they would do.