Every week at theCurrent we bring you the biggest business stories from around the world. This week: tax dodgers in Canada escape punishment, be wary of CRA scams, Trump boosts tourism in Canada, oil and the loonie gain but Canada loses jobs.
Controversy in Canada, where allegations that wealthy tax dodgers are given preferential treatment by the CRA. Clients of consulting firm KPMG were caught evading taxes by hiding assets offshore in the Isle of Man. Rather than facing jail time or hefty fines the tax-dodgers were simply asked to pay back the money they owed. Critics argue that less wealthy Canadians would face costly fines or even jail time for similar offenses. Others argue that waiving punishment will encourage others to come forward, and will avoid costly and time consuming legal battles for the CRA. (Source: http://business.financialpost.com/personal-finance/taxes/why-the-cras-secret-deal-with-kpmgs-clients-in-the-isle-of-man-scheme-might-actually-be-a-good-thing)
It’s tax time and that means an increase in scams perpetrated by fraudsters posing as the CRA. According to the CRA these fraudsters are after personal information and cash. Victims receive a phone call from someone claiming to represent the CRA saying that they owe taxes and may face fines, jail time or deportation if they don’t pay up. The CRA rarely calls and will never ask for personal information or payment over the phone. If you receive a call you should consult the CRA website and contact the Canadian Anti-Fraud Centre. (Source: http://www.cra-arc.gc.ca/nwsrm/lrts/2015/l150610-eng.html)
Canada’s Trump Card
It may have started as a tongue-in-cheek offer but a Cape Breton man garnered widespread media coverage after offering Americans refuge from the Republican frontrunner Donald trump north of the 49th. After receiving favourable coverage on CNN, Fox News and elsewhere, tourism offices in Canada, and the east coast in particular, have been flooded with inquiries from Americans. (Source: http://www.cbc.ca/news/business/donald-trump-cape-breton-tourism-1.3481177)
Canada loses Jobs
Canada’s economy shed a further 2,300 jobs in February, surprising economists who had predicted that Canada would add 8,500 jobs. The losses caused the jobless rate to ratchet up to 7.3% according to Stats Canada. Unemployment is now at its highest since March 2013. (Source: http://www.bnn.ca/Video/player.aspx?vid=826481)
Oil prices continued to climb on Friday above $38 US, while the Canadian dollar followed the rise of oil upwards to 75.58 cents US. The TSX also rose by 142 points to 13,522 while the Chinese yuan also increased in value, boosting commodities across the world. (Source: http://www.cbc.ca/news/business/oil-iea-dollar-1.3487026)
Stay informed. Stay Current.