TORONTO, Dec. 14, 2012 /CNW/ - The Canadian Institute of Chartered
Accountants (CICA) is calling on the federal government to listen to
recommendations pertaining to tax complexity emerging from pre-budget
The House of Commons Standing Committee on Finance is recommending the
government explore ways to simplify the Income Tax Act, including the establishment of a royal commission to undertake a
"We applaud the committee for the recommendation," says Gabe Hayos, the
CICA's vice-president of taxation. "We have been calling for the
creation of a national consultation process to examine tax
simplification measures. There must be a real commitment from the
federal government if change is going to occur and this would be best
addressed by a comprehensive review of the tax system."
The CICA also welcomes additional recommendations calling for tax rates
that will help keep Canada competitive and the closing of loopholes in
an effort to ensure fairness within the system.
The committee recommendations focus on a variety of areas including the
need for the government to continually review spending of taxpayers'
money to eliminate waste and inefficiencies. "Prudent fiscal management
by the federal government combined with an emphasis on greater tax
simplicity are crucial aspects to enhancing economic growth," says
Another recommendation that was included in the CICA's pre-budget
submission is having the government explore the possibility of
standardizing business reporting using eXtensible Business Reporting
Language or XBRL. It is a data tagging mechanism that could be used
with government filings to reduce both compliance costs and heighten
the efficiency and accuracy of information collected.
The committee recommendations also touch on a number of other issues
raised by the CICA. These include: financial literacy, expanding
international trade agreements and helping internationally trained
professionals succeed in their chosen fields.
The CICA's pre-budget submission is available online (www.cica.ca/prebudget2012).
Chartered Accountants (CAs) are Canada's most valued, internationally recognized profession of
leaders in senior management, advisory, financial, tax and assurance
roles. Through their integrity, expertise, and internationally
recognized qualification standards, Canada's 82,000 CAs sustain their
influence and leadership position both in Canada and globally. As
trusted business advisors to Canadian organizations of all sizes,
Canada's CAs foster confidence in Canadian business and contribute to
the health and sustainability of Canada's capital markets and economy.
The Canadian Institute of Chartered Accountants (CICA) represents
Canada's CA profession both nationally and internationally. The CICA is
a founding member of the International Federation of Accountants (IFAC)
and the Global Accounting Alliance (GAA).
SOURCE: Canadian Institute of Chartered Accountants
For further information:
or to arrange an interview, contact:
Tobin Lambie, Manager, Media, CICA