Tuesday, July 27, 2010

Ontario's tax dollar gold digging

A relative of mine got a letter from the Ontario Ministry of Revenue demanding payment for an error on a business tax form made four years ago. Something that was allegedly rectified at the time. They asked me why the government was going after them when there are certainly bigger fish to fry. The answer is simple, small businesses are an easy target, and so are individuals.

The Ontario government is now sitting with the largest deficit in history. It has already levied the largest income tax increase in history, has increased sales taxes, has put up hydro rates, among other things. Yet the government still finds itself in the red and spending keeps increasing. Most of it goes to the public service payroll, the rest seems to be going to pet projects of the Premier. Few Ontarians seem to actually be benefiting from it.

The problem is the government, in order to pay the bills, will be clamouring for every penny they can get their hands on. This means going after any unpaid back taxes or fines, legit or not, with a vengeance. They won't be going after the big boys with their legions of lawyers either.

Consider this a warning when you fill out your 2010 taxes next April. Make sure you go over it with a fine tooth comb. Any mistakes you make could end up costing you dearly.
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