Accounting firms call for tax deadline extension

Some accountants who specialize in preparing personal income tax forms are calling for Ottawa to extend the April 30 filing deadline.

Vicki Burgess of Burgess Kilpatrick, a small accounting firm in east Vancouver, says in a normal year her calls to the Canada Revenue Agency to clarify information for a client would take 20 minutes. This year, she might finally get “on hold” at 9 a.m., wait, get transferred, and then have to repeat before landing something around 3 p.m.

Last year, the deadline for filing was extended to May 31 and late payment penalties were suspended until September. This year, Ottawa has said there are no plans to extend deadlines again. There are financial penalties for filing late and some benefits can be withheld.

Being on hold with the Canada Revenue Agency for hours has become standard. As well, many accountants are still locked out of their online CRA accounts after the agency was a victim of a cyberattack last August.

The issuing of tax slips this year was later due to more reporting required. Also, many clients don't have the scanners needed to get digitized forms and receipts to accountants instead of delivering them in person.

About a week ago, prominent Vancouver income tax consultant Hugh Woolley started a petition on Change.org after his firm started hearing from smaller accounting firms that hire his to help with their higher-level tax projects, such as estate planning and the purchase and sales of businesses.

The petition is proposing an extension to June 15, but even a two-week extension or some relief from the penalties would help, said Burgess.

Woolley noticed the “vast majority that seemed overwhelmed with the deadline were women who worked as either sole proprietors or in smaller firms. I shared this with other organizations and they confirmed it was consistent with their feedback.”

Burgess said at her firm, “we have 10 of us working here. One is my partner, who is a man,” and the rest are women.

“A lot of them have children in school, and we've constantly had somebody off because there's a (COVID) case in the baby's daycare or there's a case at school or people have families with (other) work exposures. There's always someone missing.”