Canada’s taxman tracking cheaters
Posted Oct 5, 2011 7:54 am.
This article is more than 5 years old.
The Canada Revenue Agency has broken down taxpayers into six categories after completing some market research.
Thirty-one per cent fall under the category of ‘law-abiders’; taxpayers who always pay because they’re afraid of getting caught.
That’s not to be confused with the ‘altruistic complier’; someone who always pays their taxes because they feel it’s the right thing to do and are the most likely to view taxes as a serious obligation.
Should neither of those categories fit the bill, many Canadians tend to be a ‘rationalizer.’
They think the system of taxation is unfair in this country and feel they’re justified in cheating or fudging the numbers on their bottom-line.
Twelve per cent of Canadians are ‘underground economists.’ They don’t buy into rationalizations or excuses, but will pay cash on occasion to avoid having to pay the taxes.
That’s very close to the ‘over-taxed opportunist,’ who looks at similar opportunities to pay cash, but feels they pay more than their fair share to Canada’s tax man.
And if none of those categories fit, that only leaves the ‘outlaw.’
These are Canadians who are the most at-risk at cheating on their taxes.
According to the C.R.A., these people not only pay cash under the table to get a cheaper price but also under-report their income.
At 13 per cent of the population, these people are most likely to feel that tax evasion is not a big deal.