Unpaid income tax can be stressful. Many people are unsure of what to do when they haven’t filed their taxes or paid what is owing. And dealing with the Canada Revenue Agency (CRA) on your own can be intimidating, especially since the CRA can withhold HST and child tax credits, seize money in your bank account, and garnish your wages. They can also continue to charge penalties and interest on the money you owe until your debt is paid in full.
You might be surprised to learn that unpaid taxes actually represent a considerable amount of the debt that many have. If you have not filed your tax returns as required, you do have options for repaying this debt.
If you can’t afford to repay your current debt, you have options available for relief: