2016-11-09 00:00:00 Finance and Accounting English Find out why you should declare your revenue consistently across all forms when you file your tax return. https://d1bkf7psx818ah.cloudfront.net/wp-content/uploads/2017/03/08214851/Retail-store-worker-scans-product-with-revenue-discrepancy-for-customer.jpg Avoid Revenue Discrepancies

Avoid Revenue Discrepancies

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When you file a tax return for your business, you need to declare your revenue consistently across all forms, including the T2125 form for reporting your income and the GST34 form for filing your goods and services tax, or GST. The Canada Revenue Agency compares across all forms, and if your reported revenues don’t match, your business may be subjected to an audit.

During the audit process, a CRA auditor checks your financial records and all relevant documents, including bank statements, contracts, and receipts, to ensure your business is compliant with Canadian tax laws. The auditor may perform the audit on-site and address any questions immediately. There are also occasions when the CRA may request you to send in all the relevant information and perform the audit off-site.

References & Resources

Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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