Shopify CEO promises to fight the request, calling the action ‘low-key overreach.’ Expert says data includes ‘everything the CRA needs to audit these businesses.’
Shopify CEO promises to fight the request, calling the action ‘low-key overreach.’ Expert says data includes ‘everything the CRA needs to audit these businesses.’
It's an overreach by the CRA, a fishing expedition. They can't just ask for everyone's information like that, and I won't be surprised when they lose in court.
Now, if any of these companies are truly under audit, then the CRA can get that information anyway. So either audit some of them that you suspect of tax evasion or leave shopify alone.
Edit: also if they are more specific like we want the top 1000 earning businesses that might also work. It's the blanket nature of the request that will be a problem.
E.g see this one where a more specific agreement was settled on vs everyone. Only 5-10% ended up being handed over.
In some ways I feel like this can be the CRA working with accounting software for better integration. If you’re running a side hustle you should be paying your taxes.
That said I worry this is going to nab the person who maybe makes a few hundred a year selling shit online to subsidize their day job and they’re a lot easier of a target than a large operation commuting tax fraud; the CRA has a history of picking the former.
A few hundred a year won't make much difference, unless of course their main income already puts them into the top tax bracket, even then it's gonna be less than $200
Didn't the BC gov try this with Alberta Costcos? They wanted Costco to hand over credit card receipts so they could charge PST on stuff purchased out of province.