Income Tax Debt Solutions: What You Need to Know
Do you find that every time you file your income taxes you seem to owe the government money? Are you struggling to repay these debts and spiraling further and further into debt? You are not alone. Many people find themselves in a situation where they cannot pay their outstanding income taxes owing to the Canada Revenue Agency (CRA). There are many reasons as to why this happens, but there are also many solutions to aid this problem.
What Can Cause Income Tax Debt?
Income tax debt can come as a result of several different reasons. You could be self-employed and received a larger than expected assessment, you may not be able to make the adequate income tax installments, you may have had a previous income tax return re-assessed and now you subsequently owe money, or you could have had an unsuccessful appeal resulting in a greater tax debt than expected. These are just a few scenarios that could result in you going “into the red” at tax time.
When it comes to income tax debt, there are solutions aside from filing for bankruptcy. As a method of settling your debt, you can file a Consumer Proposal with our office. As a licensed professional, we can assist you in settling your debt with CRA and typically they will settle the debt for less than what you initially owed.
There are different ways you can propose a settlement. You can try and negotiate the settlement yourself, however CRA does not as easily accept settlement proposals from individuals, and won’t negotiate to the same extent as they will with a licensed Proposal Administrator/Trustee. Here at Albert Gelman Inc., our Trustees are trained and qualified to handle negotiations with the CRA. We will act as a liaison between you and the CRA to assist in obtaining a fair and reasonable settlement of your debt.
If you have income tax debt, don’t hesitate any longer. Sit down with one of our professional proposal administrators/trustees to discuss your options and what’s best for you and your specific situation. Call us at 1-855-654-1650, or visit any of our locations today to book your free consultation.