Vive Le Canada

Canada Revenue Agency - Tax Alert - Where you live matters!
Date: Wednesday, March 28 2007

Canada Revenue Agency - Tax Alert - Where you live matters!
OTTAWA, March 27 /CNW Telbec/ - The Canada Revenue Agency (CRA) is
warning Canadians to properly indicate their province or territory of
residence on their tax returns. The CRA catches and fines people who attempt
to evade taxes by filing a tax return claiming to live in one province but who
actually reside in another.

It's the law.

The CRA wants you to know that in addition to paying the proper amount of
federal taxes, it is your legal responsibility to pay the proper amount of
taxes to the provincial/territorial administration where you reside. If you
don't, you are participating in inter-provincial tax avoidance. Failure to
accurately report your province or territory of residence could result in
undesirable consequences including fines and penalties.

How your address affects you.

The CRA collects taxes for individuals in all provinces and territories
except Quebec. Services and social programs that you and your family use on a
day-to-day basis are directly affected when you don't pay taxes to the proper
province or territory.

What you need to consider.

In order to determine which province or territory will receive your tax
dollars, we need to know where you resided on December 31. For more
information on factors that individuals must consider when determining
province/territory of residence for tax purposes, refer to the Interpretation
Bulletin, IT-221R3, Determination of an Individual's Residence Status.

[Proofreader's note: this article was edited for spelling and typos on March 28, 2007]

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