Don’t Play Around with Payroll and the CRA
If you own or manage a business in Canada, you already know payroll is not optional. You pay your employees, withhold CPP, EI and income tax, and you must remit it to the Canada Revenue Agency (CRA). It seems straightforward until it is not. Payroll deductions are considered trust funds. This is not your money. You are holding it in trust for the government. If you fail to remit it correctly or on time, the CRA treats it very seriously. In my eleven years at the CRA, I dealt with payroll audits, payroll compliance, and collections across thousands of businesses. I can tell you this: Payroll is the number one area you cannot afford to get wrong. What Happens If You Miss or Delay Payroll Remittances When you deduct money from your employees’ pay, you are required to send it to the CRA by the due date. Miss the deadline and here is what can happen. Penalties If the CRA determines the late or missing remittance was done knowingly or… Don’t Play Around with Payroll and the CRA