Canadians with large tax bills will be forced to pay electronically starting in 2024
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Cheques or cash payments of more than $10,000 will not be accepted next year, raising concerns about the government one day adopting problematic central bank digital currencies.
(LifeSiteNews) – The Canada Revenue Agency (CRA) starting in 2024 will no longer allow citizens to pay tax debts over $10,000 by cheque and will mandate payment via electronic means under a new rule that is part of a federal omnibus budget bill likely to become law soon.
Since 1917, the CRA has allowed anyone with tax debt to pay by “cash or cheque,” but beginning next year payments of more than $10,000 will have to be done electronically. Many choose to pay larger debts by cheque because it is faster, easier and relatively secure.
According to CRA spokesperson Charles Drouin, the new policy will not “come into effect until January 1,” 2024.
“We will communicate additional details about the administration of this policy in due course,” he added.
However, Drouin confusingly noted that cheques will still be accepted when a payer “cannot reasonably remit or pay the amount” by direct deposit. This means that should one pay by cheque in 2024, it remains unclear if the CRA would honor that payment.
The CRA would not comment on what would happen to those who don’t abide by the new rules.
The federal government of Prime Minister Justin Trudeau’s omnibus budget Bill C-47 is currently being debated in the House of Commons. The bill includes the clause that will mandate electronic payment of taxes over $10,000.
As per Blacklock’s Reporter, Lindsay Gwyer, director general of tax policy with the Department of Finance, recently testified at a House of Commons finance committee meeting that the changes are “intended to make the process more efficient from the perspective of the government and from the Canada Revenue Agency’s perspective.”