Tax Time Will Be 'Incredibly Complicated' This Year Admits One Canadian Official

Canadians better start preparing. 😬💰
Trending Editor
Tax Time In Canada Will Be 'Incredibly Complicated' Admits Top Government Official

It’s probably time to start preparing! Officials say tax time in Canada is going to get pretty complicated this year, particularly for those who claimed COVID-19 benefits.

In a statement shared with CBC News, federal Employment Minister Carla Qualtrough admitted that it's likely to be “difficult” for people filing their taxes in 2021.

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It's going to be difficult for people and it's going to be complex or complicated for the system. Carla Qualtrough

Qualtrough explained, "As people file their taxes, [we] are going to have to figure out [...] what they owe taxes on, what has already been taken taxes off for them.”

She also went on to acknowledge confusion related to COVID-19 benefits. Although all of them are taxable, some payments had tax withheld at source, while others did not.

“If you claimed both the CERB and CRB, we took taxes off the CRB but we didn't for CERB — it's incredibly complicated," she admitted.

For several months, experts have been urging Canadians to get prepared ahead of April, as some people may end up owing more than they think.

Fortunately, the Canada Revenue Agency has been sharing “tax tips” to help people manage their money when it comes to that time of year. 

This week, the CRA has also contacted people who claimed the government’s COVID-19 benefits, to let them know how much money they’ve received for tax purposes. 

Helena Hanson
Trending Editor
Helena Hanson is a Senior Editor for Narcity Canada's Trending Desk focused on major news. She previously lived in Ottawa, but is now based in the U.K.
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