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Track Kerry-Lynne

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Crucial Fact

  • Her favourite word is cra.

Conservative MP for Delta—Richmond East (B.C.)

Won her last election, in 2011, with 54.20% of the vote.

Statements in the House

Taxation September 25th, 2014

Mr. Speaker, I am glad the member opposite mentioned the Parliamentary Budget Officer. Just this morning he released his opinion that we were giving everything we needed on CRA for the fighting of international tax evasion and that we were getting the job done for Canadians.

Contrary to the premise of that question, and I have stated this before in the House, we are not reducing the number of our auditors, especially in international tax evasion. We have actually increased the complement by 750 since we took office. By our managerial changes, we will add another 10.

As far as charitable organizations, we will go forward. Charitable organizations in Canada need to respect the law and we need to ensure they do it.

Canada Revenue Agency September 22nd, 2014

Mr. Speaker, what is ridiculous is that the NDP is making these allegations with no facts to back them up.

As I said, the Canada Revenue Agency is not reducing the number of auditors. Again, since 2006, we have significantly increased the number of auditors at the CRA.

Thanks to our strategic investments, CRA's ability to investigate cases of international tax fraud is better than ever.

In fact, offshore voluntary disclosures, as I said, are up sixfold.

Canada Revenue Agency September 22nd, 2014

Mr. Speaker, as the member well knows, the rules regarding charities and charitable organizations and their activities are very long-standing. There is nothing nefarious going on here, other than their political agenda.

As far as the 50 managers are concerned, there is a realignment going on. There will be no reduction in the auditors. There will be no reduction in our ability to go after international tax cheats. In fact, we are driving people to our offshore voluntary disclosure program, which is up sixfold since the Liberals were in government.

Canada Revenue Agency September 22nd, 2014

Mr. Speaker, once again, the member is completely false in what he is saying. The CRA is not reducing the number of auditors. In fact, we have increased our auditors by 750 since we took office, and this realignment will give us 10 more.

In economic action plan 2013, we put $30 million toward this department. We have a dedicated offshore compliance division, an offshore tax informant program and an expanded audit reach. The CRA now has an unprecedented ability to crack down on tax cheats. We are getting the job done.

Questions on the Order Paper September 15th, 2014

Mr. Speaker, with regard to (a), Section 241 of the Income Tax Act precludes the Canada Revenue Agency, the CRA, from providing taxpayer-specific information or information that would identify specific taxpayers; therefore, the CRA will not comment on an investigation that it may or may not be undertaking.

With regard to (b), on an ongoing basis, the CRA provides information to Canadians on tax matters, including warnings to beware of groups or individuals who conspire, counsel, and promote tax avoidance schemes. The CRA continues to issue substantial public warnings about tax schemes and inform Canadians about how to protect themselves from fraud through tax alerts, news releases, and fact sheets–all of which can be found on the CRA website--as well as through outreach and partnerships with stakeholders.

Information on these schemes and how to identify and avoid them is readily available to anyone seeking it. Through these various media the CRA also informs Canadians about the consequences of participating in and promoting various schemes, how to report participation in a scheme they become aware of, and how to come forward using the voluntary disclosures program to correct past tax mistakes before criminal and financial consequences occur.

When a conviction related to an illegal tax avoidance scheme occurs, the CRA issues a regional conviction news release to inform the Canadian public in order to help others who may have unknowingly participated in similar schemes and to deter others from participating. More information on convictions that have occurred within the last year is available on the CRA website.

Under certain circumstances, including when it may provide a more timely warning of ongoing schemes, the CRA issues news releases when charges are laid. The CRA has also provided interviews to the media to inform the Canadian public about participating in tax schemes, including the risks and costs they could incur and how to identify them and avoid taking part.

Specifically to warn taxpayers of schemes and fraud, in 2006 the CRA created tax alerts—a warning issued to the media, posted to the CRA website, and issued through an e-mail list and RSS feed. Some tax alerts have made specific reference to schemes involving fictitious business losses, while others have been broader, encompassing a call to action to seek independent advice from a trusted tax professional before becoming involved in a scheme or arrangement. Many of these alerts have reminded Canadians that if it looks too good to be true, it probably is.

The CRA also collaborates with the Competition Bureau and the RCMP in its yearly promotion of Fraud Prevention Month. The CRA issues a yearly fraud prevention news release that reminds Canadians to protect themselves and leads them to the CRA’s website, where a comprehensive web resource provides them with further details. Other products such as fact sheets and checklists on how Canadians can protect themselves have accompanied those releases.

In addition to the yearly Fraud Prevention Month promotion, the CRA has also issued several other warnings about fraud or schemes. These have been distributed using News Canada articles, news releases, and tax tips during income tax filing season, and through the CRA’s Twitter feed, which prominently features tweets on schemes, scams, and fraud. Regardless of the exact nature of the warning, web links to information on a variety of schemes and fraud are provided. Promoting those resources helps visitors learn about how to protect themselves on a variety of fronts.

With regard to parts (c) through (i), the CRA routinely audits questionable business losses. The CRA does not track information by specific tax scheme, such as DSC and Fiscal Arbitrators. Furthermore, section 241 of the Income Tax Act precludes the CRA from providing taxpayer-specific information or information that would identify specific taxpayers.

Questions on the Order Paper September 15th, 2014

Mr. Speaker, the 2011 federal budget originally introduced the hiring credit for small business, HCSB. The HCSB was extended in 2012 and expanded and extended again in 2013.

With regard to (a), the Canada Revenue Agency, CRA, administers the HCSB as part of its daily operations. As HCSB administration costs are not tracked separately, the CRA is unable to respond in the manner requested.

With regard to (b), the HCSB was a credit intended to stimulate new employment and support small businesses. Since its introduction, a number of Canadian small businesses have successfully accessed the credit. As the CRA tracks the number of employers who have received the HCSB by taxation year, rather than by fiscal period, its response is limited to information for the following tax years: 2011, 551,940 employers; 2012, 550,609 employers; and 2013, 509,544 employers to date. For 2013, the numbers represent a year to date total. It is anticipated that additional filing and processing of employer returns will increase the total number of employers receiving the credit for 2013.

With regard to (c), the HCSB provides a credit to the taxpayer’s account at a minimum of $2 and a maximum credit of $1,000 based on the taxpayer’s eligibility for the program. The available data focuses on the credit paid to taxpayers and may not fully represent the average tax savings for taxpayers who have successfully accessed the HCSB. The average credit paid to taxpayers by tax year is as follows: 2011, $381.23; 2012, $396.47; and 2013, $422.74 to date. The 2013 HCSB threshold of the employers’ portion of the employment insurance premiums was expanded from $10,000 to $15,000, which potentially has increased the number of taxpayers eligible to receive the maximum credit.

Questions on the Order Paper September 15th, 2014

Mr. Speaker, individual tax filers with taxable income, as reported on line 260 of the general income tax and benefit return, under the basic personal amount do not pay federal income tax.

The figures provided below include all individual filers whose taxable income was less than the basic personal amount. The figures are not limited to those who applied for the above-mentioned credits, as it is expected that some individuals will choose not to claim the credits given that their taxable income is less than the basic personal amount, and claiming any of these credits would not result in additional tax savings. As such, the Canada Revenue Agency, CRA, cannot determine how many of these individuals may have been able to benefit from one or more of the above-mentioned credits.

The number of individual tax filers with taxable income less than the basic personal amount for tax years 2011 and 2012 are as follows. As the CRA is currently processing 2013 tax year returns, data is not currently available for that taxation year.

For 2011, the number of filers was 6,636,600, with a basic personal amount of $10,527; and for 2012, it was 6,462,350, with a basic personal amount of $10,822. The figures are rounded to the nearest 10. They are from the CRA T1 Data Mart and include all initially assessed returns processed up to May 2, 2014, that is, the most recent available data.

Taxation September 15th, 2014

Mr. Speaker, the member really should be ashamed of himself for attempting to score cheap political points on the backs of professional public servants at the CRA. As the director general of the charities directorate, the commissioner of the CRA, and I have said, there is no political interference or motivation in CRA audits whatsoever. The rule regarding charities and political activities, as I have said, are long standing. CRA has a legal responsibility to ensure that charitable dollars are used appropriately, and charities have a responsibility to respect the law.

Taxation September 15th, 2014

Mr. Speaker, the member knows full well that CRA audits occur at arm's length, conducted free of any political interference or motivation. Rules regarding charities and their political activities are very long standing. In 2012 alone, over $14 billion was tax receipted from approximately 86,000 charities. Charities must respect the law, and the CRA has a legal responsibility to ensure that charitable dollars donated by charitable Canadians are used for charitable purposes. The only politics in this story are the very shameful political motivations of the member and his party.

Privacy June 11th, 2014

Mr. Speaker, those statements are simply false. When CRA officials uncover evidence of serious criminal activity in the course of their ordinary duties, they will be able to share that with law enforcement agencies. That is a reasonable expectation that all Canadians would have.

There have been occasions when CRA officials have uncovered evidence of drug trafficking, terrorism, child pornography, and even contracts for the commission of murder, and have been restricted from conveying that information. Contrary to these claims, police forces will not be able to direct CRA officials to search for specific information. Quite frankly, I find the statements of the member opposite extraordinary.