On July 21, 2022 CRA sent out a communication in respect of a personal services business (PSB) project that has just commenced, running from June 2022 to December 2022.
The communication notes that CRA officers will be reaching out to businesses from a sample of different industries that hire PSB or incorporated individuals operating as a PSB to help them determine whether or not they are fulfilling their tax obligations. CRA will ask them to provide documentation on the nature of their payer/payee relationship.
Participation is on a voluntary basis. No compliance action will result from the review, but businesses will be advised to ensure errors are corrected and that they comply with the ITC.