What if I get a slip AFTER I’ve already filed my taxes?
If you receive another slip (or an amended slip) after filing your taxes, it is very important to alert your tax preparer! A slip you received in 2016 that bears the 2015 taxation year cannot be saved and claimed on your 2016 tax return. The slip could be an important adjustment that will alter your income or credits on your tax return and cause you to have a larger refund or have a balance owing. Your tax preparer will make the appropriate adjustment(s) to your tax return to reflect the slip (or amended slip) and will advise you of the result.
If you do not alert your tax preparer to the slip, CRA will automatically re-assess you later on in the year, but will charge you interest and possibly penalties if this re-assessment resulted in a balance owing.
Should an individual fail to file a slip in any of the 3 years preceding years, CRA will assess a penalty equal to 10% of the amount that was not reported. For example, failure to file an RRSP withdrawal of $5,000 would be assessed a federal penalty of $500 and a provincial penalty of $500 for a total of a $1,000 penalty. This is non-negotiable. As long as missing slips are filed prior to April 30th (or before Revenue Canada discovers the discrepancy on their own), no penalties will be assessed.
For more tax tips and tax related frequently asked questions, visit my website at www.sauvetaxservices.ca