As part of the consultation, CRA is now surveying businesses and organizations as part of efforts to assess general readiness to comply with the reporting fees for service (RFS) requirement. RFS is the legislated requirement for businesses and organizations (including sole proprietors and corporations) to report fees paid to other businesses for services provided. Currently, if they exceed $500 in a calendar year, these payments must be reported to the CRA on the prescribed form, usually a T4A slip. However, as we all know, there has been an enforcement moratorium in place since 2011, which effectively placed a hold on assessing penalties for failing to the complete box 048 of the T4A slip. 

At the time, the moratorium was said to have been put in place to allow businesses and organizations time to gain familiarity with the changes and adopt practices to comply with the RFS requirement. Though it was intended as a temporary measure, the moratorium remains in place today.

As compliant trucking companies know, a key part of the fight against tax evasion and Driver Inc. is the return of T4As. T4A issuance will not only introduce greater traceability for CRA, but it will also create greater accountability for eventual tax payment by those who employ the scheme, including companies and drivers.  

CTA strongly believes that the moratorium on T4As has led to the staggering growth of the underground economy and the proliferation of Personal Service Businesses in our sector. CTA is encouraging all members to complete this survey and provide your input. The survey aims to gauge readiness to report, thoughts on potential thresholds, and the challenges companies might see if they were required to now issue T4As. 

Since the launch of the campaign, 600 members have downloaded the CRA survey and over 1110 supporters have sent an e-mail to their MP. This is a great start, but let’s get these numbers up into the thousands and send a strong signal to CRA about bringing tax compliance to the Canadian economy, the trucking sector and the PSB filing system. 

Get involved – encourage your staff to take the survey and voice their support for change. To take the survey right now please click here. We have also included a helpful guide explaining why the T4A issue is important and provide you with CTA’s suggested direction for how to fill out the survey easily.

This entire process will take you and your team 5 minutes – that’s five minutes to help reshape the future of the Canadian trucking industry and help curb the growth of the underground economy in our sector.