CRA has denied over $2.5 billion in tax shelter gifting arrangement donations

According to the Canada Revenue Agency web site, despite numerous warnings and audit actions by the CRA, some taxpayers are still participating in tax shelter gifting schemes that are likely to result in reassessment and donation claims being outright denied.

"The CRA reminds taxpayers that tax shelter numbers are used for identification purposes only. A tax shelter with an identification number does not guarantee that taxpayers are entitled to receive the proposed tax benefits."

The CRA indicates that it plans to audit all tax shelter gifting arrangements and that to date well over $2.5 billion in claimed donations have been denied.

For more information, see:
http://www.cra-arc.gc.ca/nwsrm/lrts/2008/l081204-eng.html