ARTICLE · 17 JULY 2018

CASE STUDY: Rotfleisch & Samulovitch Successful in Cancelling Tax Trust Exam And Preventing Directors Liability Assessment

Rotfleisch & Samulovitch P.C.

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Over his career, the entrepreneur started several businesses some of which failed and some of which succeeded.

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David Rotfleisch

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Brief Trust Exam Overview

Rotfleisch & Samulovitch Professional Corporation was retained by an entrepreneur in the construction industry. Over his career, the entrepreneur started several businesses some of which failed and some of which succeeded. In 2017 the entrepreneur was contacted by a trust examiner regarding the payroll remittances of two corporations (Aco and Bco), which he had used to run previous businesses in the past. A trust examiner is a Canada Revenue Agency ("CRA") auditor who specializes in GST/HST or payroll audits. They are called that because the CRA treats business as holding payroll and GST/HST amounts in trust for the government. This is because the Canadian Tax Law requires employers and businesses to collect income tax from their employees and GST/HST from their customers, hold that money in trust for the government, and then remit the money to the government.

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