Voluntary Disclosure To CRA—It Ain't What It Used To Be

It has now been two years since the new Voluntary Disclosures Program (VDP) rules came into effect (see our previous blog, VDP Overhaul Coming Sooner Than You Thought), which restricted the relief that taxpayers had previously enjoyed. We recently submitted a request to the Canada Revenue Agency (CRA) under the Access to Information Act and obtained new data on how the new program's first year (March 2018 to February 2019) compared to the old program's final year (March 2017 to February 2018). 

The responses were interesting. Here are some highlights:

• Applications on the decline. The final year of the old VDP saw 18,191 applications, compared to 12,042 in the new program's first year, a 34% reduction. Of these applications under the new VDP, 7,935 were submitted by individuals, and 4,107 by other entities including corporations, partnerships and trusts.