THE
CRA LETTER

On December 16, 2011, the Canada Revenue Agency (CRA) reported that it
will be conducting a 2012 letter campaign in the near future. Two types of
letters can be expected. The first letter will explain the eligibility criteria
for certain deductions that you may have claimed on your recent income tax
returns. The second letter will inform you that your income tax return may be
selected for audit. You will be asked to review your income and expense claims
related to such items as rental and/or business activities, employment expenses
or the calculation of capital gains or losses from certain dispositions.
Taxpayers will be allowed to amend their income tax returns where they may have
claimed deductions in error or provided inaccurate information. As in the past,
you do not have to respond to such a letter unless you believe it is in your
best interests to correct an error. Before you take this step you should
contact us to discuss what course of action would be best in your
circumstances.