Personal Finance

Pay CRA bill while they reassess?

  • Last Updated:
  • Dec 7th, 2018 10:41 am
Nov 29, 2018
7 posts

Pay CRA bill while they reassess?

Hey RFD, I have a question. I had a small tax return for 2017 (Student with Co-op). I moved to England for 8 months and didn't receive their request for proof of enrolment and the like. As a result they reassessed my tax return and have said I owe 1200ish. They have told me I can submit my proof and they will reassess again. My question is should I pay off the balance now? It is accruing interest currently but I'm 100% confident in my proof of enrolment so I shouldn't in the end need to pay anything.

Is it wise to wait? They have informed me that it could be as much as 30(!) weeks for them to reassess again so I'm wondering whether I should actually wait.

Any info is greatly appreciated.
5 replies
Sr. Member
Aug 17, 2003
883 posts
If you are 100% certain you will win - then you have don't 'have to pay'.

There is there is any doubt - pay now to avoid high interest continuing to accrue. If you win you get a refund with interest at about 4%.

I always tell clients to pay if they can afford it. Very few people are guaranteed a return higher than 4% in today's market.
Penalty Box
User avatar
Mar 10, 2018
2864 posts
Just pay it first. If they owe then they will send you check. Never mess with Texas and CRA.
I dont care about Ethics, morals, rules or laws. I will apologies only when I get caught.
I try not to apologies but sometimes do it. not because its right thing but it benefits me.
Deal Addict
Jul 3, 2017
3860 posts
If you can afford it, pay now. Otherwise you can get caught in a time-wasting spiral where you spend hours on the phone to the CRA getting them to refund one charge, only to find that you were charged additional interest incorrectly, and have to spend hours more trying to get that canceled.
Deal Fanatic
User avatar
Jan 27, 2007
5035 posts
Pay it. If they owe you it back eventually, they will at least pay you some interest.