Canada’s Offshore Tax Informant Program (OTIP)

Overview

The Canada Revenue Agency operates a discretionary rewards program that pays whistleblowers who provide information related to international tax evasion and aggressive tax avoidance.

Award Amount

Whistleblowers may receive between 5% and 15% of the collected amount as a reward.

Confidentiality

The identity of whistleblowers is kept confidential to the maximum extent possible.  In the rare circumstance where an informant is required as an essential witness in a court proceeding, and where it may not be possible to proceed without revealing the informant’s identity, the CRA reserves the right to disclose the whistleblower’s identity.  

Eligible Claimants

Canadians and non-Canadians are permitted to participate in the program.  Rewards are made to qualifying whistleblowers who provide sufficient, specific and credible details leading to additional taxes being assessed and collected. 

Eligible Claims

The tax non-compliance must be international and result in federal tax being evaded or avoided in excess of $100,000.  The information cannot already be known to the CRA or be speculative. 

Timing of payments

The CRA must wait until the taxpayer’s objection and appeal rights associated with the audit have expired before making a reward payment. The CRA will not make any “upfront” payments.  

More Information

The Law Offices of Paul D. Scott is experienced in dealing with the CRAP Offshore Tax Informant Program.   Contact our office for a free confidential consultation regarding the details of the program.