Cabinet will not enforce a curb on taxpayers’ use of cheques despite a clause in an omnibus budget bill, says the Department of Finance. Bill C-47 the Budget Implementation Act would mandate electronic payment of taxes over $10,000.
“The intention is not to force people to do things electronically if it is not possible or if they have been historically filing on paper,” said Lindsay Gwyer, director general of tax legislation at the finance department. Testifying at the Senate national finance committee, Gwyer said the bill was intended to promote digital filing not punish cheque users.
“The changes would allow employers or institutions that are issuing T4s or T5s to issue them electronically,” said Lindsay Gwyer, director general of tax legislation at the finance department. “It would still be possible for someone who wants to receive them on paper to request to receive them on paper but the rules confirm that it’s permissible for these institutions to issue them electronically if that’s what the recipients prefer.”