Dear [Name of CRA],
I hope this letter finds you in good health and high spirits. I am writing to follow up on our previous discussions regarding my tax audit. As a law-abiding citizen, I take my tax obligations seriously and I want to ensure that I am in compliance with all relevant regulations.
To provide some context, as we discussed in our previous meetings, I am a self-employed individual who operates a small business. As such, I have a number of expenses that are incurred in the course of running my business. During your audit, you raised some questions about the legitimacy of some of these expenses, and I wanted to provide further information to clarify these matters.
Firstly, I want to emphasize that all of the expenses I have claimed are legitimate and directly related to my business operations. I have kept detailed records of all expenses, including receipts and invoices, and I am happy to provide these to you if necessary. I have also consulted with my accountant, who has confirmed that all expenses are in line with relevant regulations.
One area of concern that you raised was my travel expenses. As you know, I frequently travel to meet with clients and attend industry events. I have claimed expenses related to airfare, hotels, meals, and transportation. I understand that this may seem excessive to some, but I want to assure you that these expenses are necessary for me to conduct my business. I have provided detailed itineraries and agendas for all trips, as well as documentation of any meetings or events attended.
Another area of concern that you raised was my home office deduction. As a self-employed individual, I am entitled to deduct a portion of my home expenses that are directly related to my business. I have claimed expenses related to my home office, including rent, utilities, and internet. I understand that this may be a red flag for some auditors, but I want to assure you that I have a dedicated space in my home that is used exclusively for my business activities. I have also provided documentation of the square footage of my home office and the total square footage of my home, as well as documentation of any improvements or repairs made to the office space.
Finally, I want to emphasize that I am committed to working with you to resolve any outstanding issues related to my tax audit. I understand that audits can be a time-consuming and stressful process, but I am confident that we can come to a resolution that is fair and reasonable for both parties. I appreciate your diligence in reviewing my tax returns and I am happy to provide any additional information or documentation that you may require.
Thank you for your attention to this matter. I look forward to hearing from you soon.
Sincerely,
[Your Name]Dear [Name of CRA],
I am writing to follow up on our recent conversation regarding my tax return. As you may recall, I had several questions about the deductions I claimed and how they may affect my tax liability. I appreciate the time you took to speak with me and provide some initial guidance, but I would like to request further clarification on some points.
Firstly, I would like to confirm whether the deductions I claimed are valid and can be substantiated. I have reviewed the relevant documentation, including receipts and invoices, and believe that they meet the requirements for deductibility. However, I would appreciate your input on this matter to ensure that I am fully compliant with the tax laws.
Secondly, I would like to discuss the possibility of reducing my tax liability through additional deductions or credits. I understand that there are several tax incentives available for certain expenses, such as education, charitable contributions, and home ownership. I would like to explore these options further and determine whether I am eligible for any of these benefits.
In addition, I have some concerns about the penalties and interest that may be assessed if I owe additional taxes. I understand that the CRA charges interest on unpaid taxes and may impose penalties if there is a significant underpayment or failure to file. I would like to know what steps I can take to minimize these charges and avoid any potential legal issues.
Finally, I would like to discuss the possibility of setting up a payment plan if I owe taxes that I cannot pay immediately. I understand that the CRA offers various options for taxpayers who are unable to pay their full tax liability at once, such as installment payments or a negotiated settlement. I would like to explore these options further and determine the best course of action for my situation.
I appreciate your time and attention to these matters and look forward to hearing back from you soon. If you require any additional information or documentation, please let me know and I will be happy to provide it.
Sincerely,
[Your Name]Dear [Name of CRA],
I would like to follow up on the status of my tax return for the tax year [insert year]. I filed my return on [insert date], and I have not received any updates or correspondence from the CRA regarding its status.
As a responsible taxpayer, I understand the importance of ensuring timely filing and payment of my taxes. I have always made sure to fulfill my obligations on time and in full, and I would appreciate any assistance you can provide to help me resolve any issues or concerns that may be holding up the processing of my return.
To provide you with additional information, I have attached copies of all relevant documents, including my T4 slip and other supporting documentation. I have also included a copy of my Notice of Assessment from the previous tax year, which confirms that I have no outstanding balances owing to the CRA.
I understand that the CRA receives a large volume of tax returns each year, and that processing delays can sometimes occur due to various factors such as staffing shortages, system updates, or other unforeseen circumstances. However, I would appreciate any updates or feedback that you can provide regarding the status of my return, as I am concerned about the possibility of any penalties or interest charges that may be incurred if the return is not processed in a timely manner.
Thank you for your attention to this matter, and I look forward to hearing from you soon.
Sincerely,
[Your Name]
