ETA Canada Travel Pass News

Canada’s Auditor General Karen Hogan pointed out in her latest report on Tuesday that the Canada Revenue Agency (CRA) customer service centre provided “high-quality tax advice” to only about 5% of callers in June, and only 18% of all calls were connected within 15 minutes, far below the official service standard.

The report shows that most callers this year waited an average of 31 minutes. “The Canada Revenue Agency has a responsibility to help individuals and businesses meet their tax obligations and receive related benefits, but even after implementing a new system and claiming improved service, Canadians are still experiencing long wait times,” Horgan said in a statement.

The audit office conducted a four-month sampling survey, simulating calls to the CRA customer service centre from the public asking tax questions. The results showed that customer service representatives had an accuracy rate of 54% for corporate tax and benefits questions but performed significantly worse for personal tax advice. The report noted that the tax bureau appeared more focused on staff scheduling and rest arrangements than on ensuring accurate and complete information was provided to the public. This “system-oriented” problem was considered a major factor in the inefficiency of consultation.

Faced with criticism, Finance Minister François-Philippe Champagne gave the CRA 100 days on September 2 to improve its service quality, with a deadline of December 11. The CRA then promised to ensure that at least 70% of calls would be answered by mid-October.

According to the Canadian Press, Assistant Commissioner Melanie Serjak of the CRA recently said that the goal was achieved earlier this month. To improve response capabilities, the CRA extended the terms of about 850 contract customer service staff and rehired hundreds of former employees.

Analysts believe that despite the CRA’s temporary staffing measures, public trust in the agency’s efficiency will be difficult to restore unless the service culture is strengthened through institutional and training measures. Hogan called on the federal government to “continue to monitor the implementation of reforms” to ensure that taxpayers can obtain accurate information within a reasonable time.

The economy can be said to be the issue that Canadians care about most. Statistics Canada released the latest data today, showing that the national annual inflation rate rose to 2.4% in September, higher than the market expectation of 2.2%, mainly due to rising food prices and a narrower decline in gasoline prices.

This inflation report is also the last major data before the Bank of Canada’s interest rate decision meeting on October 29. National price pressures have not yet fully eased, and expectations of a rate cut at the end of this month are now wavering. Prices are rising again. Canada is poised to sign a tariff agreement with the US, and some provinces have given up resistance.

Data shows that Canadian consumers’ food spending in September increased by 4% compared with the same period last year, significantly higher than the overall inflation rate, with the most obvious price increases for fresh vegetables and sugary foods. Grocery prices in Canada have been on a continuous upward trend since April, especially due to shortages of fresh and frozen beef, coffee, and other foods. In fact, grocery shopping is a major expense in the household budget. People often feel the soaring prices most directly at the supermarket checkout.

“Food inflation not only affects consumer confidence, but also directly weakens the purchasing power of middle- and low-income families.”

Excluding grocery prices, rental prices rose 4.8% year-over-year, a slight rebound from the previous month. Although provincial governments have introduced policies to limit rent increases and increase housing supply, the imbalance between supply and demand remains serious, and the average rent in major Canadian cities has increased for 18 consecutive months.

“With the central bank maintaining high interest rates, mortgage costs remain high, further driving up rental demand,” said Jonathan, a Toronto real estate analyst. “Housing issues are becoming a structural driver of inflation.”

Compared with the same period last year, national gasoline prices fell by 4.1% in September, but the rate of decline slowed significantly.

The market had generally expected the central bank to announce further rate cuts at the end of this month to cope with weak economic growth and the job market, but after the inflation data was released, investors became cautious.

BMO Chief Economist Douglas Porter said that although growth has slowed, inflation remains sticky, and the central bank may choose to stand still for now. Two of the three core inflation indicators closely watched by the central bank remain above 3%, exceeding the target range of 1%–3%.

Analysts believe this suggests that even though inflation is near the target level, underlying price pressures remain stubborn. “If monetary policy is relaxed too early, inflation could rebound; but if interest rates remain high too long, it could further suppress economic activity and employment. The central bank is at the most difficult crossroads, and any decision carries risks.”

Over the past year, Canada’s inflation has fallen significantly from a peak of 8.1% in 2022, but prices are still above pre-pandemic levels. Canadians feel the rising cost of living more acutely than the data suggests. Regardless of the rate decision, grocery and rent bills are still increasing. Behind the rise in inflation is also the impact of tariff policies. Canada, which has endured multiple rounds of US-imposed tariffs, is now reaching its limit.

Two days ago, BC Governor David Ingram, who had stood firm with Ontario against the US, announced a shift in position.

After the US imposed additional tariffs on Canadian softwood lumber, severely impacting BC’s industry, Ingram said he is ready to abandon new retaliatory measures: “We believe that going it alone is not the best way forward.”

Although there are no new retaliatory tariffs planned, BC’s existing countermeasures will continue.

Just this morning, Carney said that Canada is expected to reach a new ‘partial tariff agreement’ with the US before the APEC summit at the end of this month.

Last week, Carney led ministers to the White House to discuss tariffs but returned without a deal. However, he left several ministers behind to continue negotiations and heard positive news only today. Canada has learned its lesson when dealing with unpredictable moves from the US administration. Carney cautioned that even if a deal is reached, it won’t be a full tariff reduction, but rather targeted at key industries like steel and aluminium.

“We are in ongoing dialogue with the US, but I won’t overstate our stance. Negotiations are still ongoing, and we remain cautious.”

Previously, Carney stated that a complete elimination of tariffs is almost impossible. Canada now seeks sector-specific exemptions or lower rates. The five major industries involved in talks are steel, aluminium, copper, automobiles, and timber—all critical to trade and employment in Canada.

Trade Minister Dominic, who participated in negotiations, also urged caution: “We still have a lot of work to do, and my goal is to keep working until we reach an agreement that works for Canadian workers.”

Economists point out that if substantial progress is made before year-end, it could help stabilize market expectations and boost Canadian business confidence.

Police are asking for the community’s help after a boy from Burnaby, British Columbia, went missing.

The boy is Kai Pavlovic (11 years old). According to police, Kai went missing on September 26th. A 24-hour search is currently underway, but he has not been found. Burnaby RCMP released a photo of Kai on October 9th.

Police have released photos and information and are asking the community for their assistance in their investigation. Kai is described as about 5 feet tall, thin, and has brown hair. Police also believe he may be living with a caretaker, who has not previously had any contact with police.

It has not been released what part of Burnaby Kai lives in or when he was last seen.

Regarding an Amber Alert (emergency call), police said, “It is issued when a child abduction is confirmed and there is an imminent danger, but the information in this case does not currently meet that criteria.”　If you have any information on Kai’s whereabouts, please contact Burnaby RCMP at 604-646-9999, your local police station, or anonymously contact Crime Stoppers at 1-800-222-8477.

The strike by British Columbia (BC) provincial public servants has led to union members picketing at provincial liquor stores (BC Liquor Stores) and alcohol distribution warehouses, which has had a major impact on the province’s restaurant industry, which is unable to procure alcohol.

Mark von Schellwitz, vice president of the Western Canada region of the Canadian Restaurant Association, issued a statement on October 8th saying, “B.C. restaurants and bars are rapidly running out of alcohol,” and called for a swift agreement between the B.C. Government Employees Union (BCGEU) and the provincial government.

“Alcohol sales are a vital part of the revenue stream for restaurants, and many of them are small, independently owned establishments, so this situation is a matter of life and death for them,” Schellwitz said. “It could have a serious impact not only on the restaurant industry, but also on the employment of the 183,000 people who work in the industry, primarily young people.”

However, there is no sign of an agreement between the two parties. The BCGEU has expanded the strike, and on October 8, all BC Liquor Store employees across the province walked off the job. According to a BCGEU announcement, as of October 9, more than 25,000 public servants at 475 locations across the province were participating in the strike.

Vice President Schellwitz said, “The restaurant industry cannot continue to bear the burden of this strike forever,” and called for temporary permission to purchase alcohol from private liquor retailers if an agreement cannot be reached by the end of this week, and for consideration of issuing a return-to-work order if a solution cannot be found that allows restaurants to purchase alcohol from BC Liquor Stores or private retailers.

If you own “specified foreign property” and its total cost at any time during the year exceeded $100,000 Canadian dollars, you must complete Form T1135, Foreign Income Verification Statement, on your personal tax return.

While most people agree that Swiss bank accounts with a value exceeding $100,000 Canadian dollars should be reported, you may not realize that stock in foreign companies like Apple Inc. or Nvidia Corp., even if held through a non-registered broker-dealer in Canada, must also be reported. Failure to report foreign assets on the T1135 can result in a late filing penalty of $25 per day, up to $2,500 Canadian dollars, plus interest on the balance owed for each tax year not reported.

That’s exactly what happened to one Ontario taxpayer, who was fined $2,500 each for failing to file Form T1135 for the 2019 and 2020 tax years. She appealed the decision, and the case was heard in the Tax Court in September.

During the trial, the taxpayer admitted that she did need to file Form T1135 and did file it late, but she believed that she had “exercised due diligence” in preparing her tax return and therefore should not be fined. The judge noted that taxpayers can prove they met the “duty of care” standard in two ways. First, they can prove they took reasonable precautions to avoid the event that gave rise to the penalty. Second, they can prove they misunderstood the facts and that a reasonable person would have made the same mistake had they known the true circumstances.

Unfortunately, this wasn’t the first time she had failed to file the required T1135 form.

The taxpayer, a U.S. citizen, realized she hadn’t filed her U.S. tax return after her father passed away in 2012. She hired an accountant to file both her Canadian and U.S. returns. The accountant discovered that she should have filed Form T1135 for the 2012, 2013, and 2014 tax years.

In 2015, her accountant submitted a voluntary disclosure to the Canada Revenue Agency on her behalf. The disclosure stated that she had not filed her T1135 on time because she “mistakenly believed that foreign assets held in her Canadian brokerage account were not considered foreign property.” The Canada Revenue Agency accepted the voluntary disclosure, and she avoided a $2,500 annual penalty.

In 2018, she renounced her U.S. citizenship, believing she no longer needed to file U.S. tax returns, so she stopped hiring an accountant and only filed Canadian taxes on her own. This decision later proved to be costly.

When she filed her 2018 tax return, she looked up the definition of “foreign property” because she was concerned that the U.S. individual retirement account (IRA) she inherited from her father might qualify. Finding the explanation in the tax software she used confusing; she turned to Google for answers.

When she looked up information about her IRA, she didn’t see any notice that she needed to factor in the cost of her U.S. investments in her Canadian brokerage account on her T1135. Therefore, she didn’t verify whether her foreign investment costs exceeded $100,000 in 2018. The fact that they didn’t was a “lucky coincidence,” the judge called it.

In 2019, she changed brokers, and the new broker adopted a new investment strategy that required her to sell a significant portion of her old investments and purchase new ones. As a result, the cost of her foreign property exceeded $100,000, triggering the requirement to file a T1135 again. However, when she prepared her 2019 and 2020 tax returns on her own, she used the 2018 assumption that she did not need to file T1135 and did not recheck.

It wasn’t until she was preparing her 2021 tax return that she received a special foreign asset report from her new brokerage and realized she should have filed T1135s for both 2019 and 2020. She tried to make another voluntary disclosure, but the Canada Revenue Agency denied it because she had already made a voluntary disclosure on the same issue.

The judge expressed sympathy for her, calling her a “responsible taxpayer” who “reported and paid taxes on time.” He also noted that “it is somewhat counterintuitive that U.S. investments held in Canadian brokerage accounts are considered foreign property, especially when they are held in RRSPs or RRIFs, which are not considered foreign property.”

In other circumstances, the judge might find that a reasonable person would make the same mistake she did. But the key question is: would a reasonable person make the same mistake again if they had made it before and avoided punishment by voluntarily disclosing it?

The judge concluded: No. A reasonable person, after the first mistake, would have been highly alert to the risks of foreign asset reporting and “would have taken prudent steps to ensure that they did not fall into the same trap again.”

She did the exact opposite: she stopped hiring an accountant and returned to filing her own taxes. The judge pointed out that she certainly didn’t have to continue hiring an accountant, but since she had resumed filing her own taxes, she should be more vigilant.

Ultimately, the judge dismissed her appeal and upheld the Canada Revenue Agency’s ruling on the T1135 late filing penalty for 2019 and 2020. She must pay the Canada Revenue Agency’s $5,000 fine.

The strike by British Columbia (BC) provincial public servants is entering its fifth week and escalating. On October 3, the BC Government Employees Union (BCGEU) announced that approximately 900 new members would join the strike. This includes staff at 20 provincial liquor stores (BC Liquor Stores) and provincial cannabis stores, as well as employees from the Ministry of Environment and Parks and the Ministry of Children and Family Development.

The BCGEU and the provincial government resumed negotiations on September 29, but the talks soon broke down. On October 1, the BCGEU, along with other unions, held a rally in downtown Vancouver to protest.

According to the BCGEU website, as of October 3, more than 17,000 members were on strike through picketing and refusal of overtime, with 90 picket lines at 198 locations across the state, including 80 liquor stores, four liquor distribution warehouses, and Commercial Vehicle Safety and Enforcement.

The BCGEU is demanding wage increases to address rising living costs. Previously, it had called for a total wage increase of 8.25% over two years, but in a statement on September 29th, it announced that it had presented a counterproposal of a 4% wage increase each year over two years. However, according to BCGEU President Paul Finch, the latest wage increase proposal presented by the state government is a total of 4% over two years (2% per year), which he calls “completely unacceptable.”

Meanwhile, Premier David Eby said the state government’s 0.5% increase on previous proposals was “no small concession, involving hundreds of millions of dollars in financial impact,” adding: “The government is committed to returning to the negotiating table. Public services are important, and we need staff to get back to work.”

Canada is undergoing a significant demographic shift as the average age of its population continues to rise. According to the latest data from Statistics Canada, the country’s average age has increased from 41.6 to 41.8 years, while the median age has risen from 40.3 to 40.6. This aging trend is becoming increasingly apparent as immigration slows and the proportion of elderly citizens grows, posing complex challenges for the nation’s economy, healthcare system, and workforce.

One of the most striking indicators of this shift is the growing proportion of Canadians aged 65 and over, now making up nearly 19.5% of the population nationwide. In Newfoundland and Labrador, that figure has surpassed 25% for the first time. At the same time, the number of new permanent residents in the second quarter of the year dropped to 103,507 the lowest level since 2022. Meanwhile, the total number of temporary residents has declined for three consecutive quarters, now sitting just above 3.02 million. These numbers highlight more than just statistical movement; they point to a deep transformation underway in Canada’s demographic makeup.

Between 2022 and 2024, Canada experienced rapid population growth, largely fuelled by the influx of international students, foreign workers, and refugees. However, recent government measures aimed at easing the housing crisis and addressing growing public concerns have led to a deliberate slowdown in the admission of temporary residents. Over a short period, the number of international students dropped by more than 32,000, foreign workers by nearly 20,000, and individuals holding both work and study permits by a similar number. Although refugee admissions have slightly increased, they have not been enough to offset the overall trend. As a result, the country added only 47,098 people in the second quarter of this year, a stark contrast to the hundreds of thousands added during the previous two years.

Statistics Canada notes that the aging of the population is a long-term, irreversible trend driven by declining fertility rates and increasing life expectancy. The shift is felt more acutely in some regions than others. For instance, Newfoundland and Labrador now has more than a quarter of its population aged 65 and older, while Nunavut remains the youngest region, with an average age of just 29.6 years. These disparities foreshadow future regional imbalances in labour availability, pension funding, and healthcare demand.

In addition to international immigration trends, internal migration within Canada is playing an important role in reshaping the country’s demographic landscape. Alberta continues to attract new residents from across the country, recording a net interprovincial inflow of more than 6,000 people in the last quarter. Ontario, on the other hand, has experienced a net outflow for 15 consecutive quarters, losing over 6,000 residents in the most recent quarter alone. Population flows have increasingly favoured Alberta, British Columbia, and Quebec, reflecting regional differences in job opportunities, living costs, and housing affordability.

From an immigration policy standpoint, Canada is now at a crossroads. The proportion of temporary residents has fallen from 7.6% to 7.3%, still far from the government’s target of 5% by 2027. This suggests that immigration policy will likely undergo further refinement in the coming years. While the number of temporary residents may continue to be limited, maintaining a steady flow of permanent residents remains critical. Canada’s future growth and stability will rely heavily on the recruitment of young, skilled immigrants who can quickly integrate into the labour market and help offset the growing economic pressure of an aging population.

As Canada confronts the realities of a shrinking workforce and rising dependency ratios, the importance of strategic planning becomes ever more urgent. The aging population is likely to prompt significant policy shifts, particularly in sectors such as healthcare, elder care, and skilled trades, where demand is expected to surge. The coming years will test Canada’s ability to balance demographic realities with economic needs and determine whether the country can sustain its growth and prosperity in the face of a rapidly aging society.

On September 22, the British Columbia (BC) government announced that its efforts to recruit medical professionals from the United States are paying off.

According to B.C.’s Minister of Health, Josie Osborne, 140 American health care workers have been hired in B.C. with more expected. The British Columbia government launched a recruitment campaign for health care workers in June and July in select cities in Washington, Oregon, and California, and is continuing the campaign through academic journals and other means.

British Columbia has undertaken various initiatives to attract American medical professionals. For nurses, the province has expedited the certification process for nurses educated and certified in the United States. 535 nurses and 104 nurse practitioners are already registered with the BC Nurse-Midwives Association.

The College of Physicians and Surgeons of British Columbia also amended its bylaws to allow American-educated doctors to practice in British Columbia without additional evaluation, examination, or training. As a result, 29 doctors have been registered to date.

In a statement, the provincial government said that at a time when American society is shaken by uncertainty, many American healthcare professionals are attracted to British Columbia’s science-based approach, its commitment to reproductive rights, and its universal health care system, meaning residents can expect better healthcare services.

Vancouver Police announced on September 18 that they had recovered a helmet belonging to the late IndyCar driver Greg Moore that had been stolen from the BC Sports Hall of Fame and arrested a suspect.　The incident occurred on September 3rd, when staff noticed that Moore’s racing helmet, which was on display at the BC Sports Hall of Fame at BC Place, was missing.

Moore, a native of Maple Ridge, British Columbia, was active on the IndyCar circuit in the late 1990s, winning five races and finishing on the podium 17 times before his death at the age of 24 during a race in California in 1999. The helmet, which Moore used when he won the Rio 400 in Brazil in 1998, was on loan to the Hall of Fame by his family.

Police identified the suspect using security camera footage and found the stolen helmet at an apartment building on Dunlevy Avenue in the city’s Downtown East side. The 39-year-old suspect, who was arrested on September 12, is suspected of theft of property over $5,000 and possession of stolen property. He has not yet been formally charged and is scheduled to appear in court on November 19.

“Greg Moore is a British Columbia icon and inspired us all throughout his athletic career. We are relieved that the suspect has been arrested and that the helmet can now be returned to the BC Sports Hall of Fame,” Sergeant Steve Addison said in a statement.

A stabbing incident in Vancouver’s Chinatown in 2023 Chinatown has argued that the defendant had no motive other than divine direction and cannot be held criminally responsible due to mental impairment, according to The Canadian Press.

Blair Donnelly was charged with three counts of aggravated assault after stabbing two women and one man at a festival in Chinatown in September 2023, leaving them injured. During his trial, he testified that he had originally intended to ride his bike to a cafe in Coquitlam, but that “God prompted me to go to Chinatown and hurt someone.”

Donnelly has admitted to the crime but has maintained his innocence, with the issue being his mental state at the time of the incident.

During closing arguments in British Columbia Supreme Court on September 18, Donnelly’s lawyer, Glenn Ollis, said his client’s mental illness “left him unable to understand whether his actions were wrong” and that “his actions were driven by some sort of divine command, will or suggestion.”

The court heard that Donnelly suffers from schizophrenia and that a psychiatrist had recently diagnosed him with “schizoaffective disorder with bipolarity,” which is accompanied by religious delusions.　Prosecutor Mark Maile, however, argued that Donnelly did not meet the legal standard for being “not responsible for his actions.”

Donnelly has already been found not responsible for the stabbing death of his daughter in 2006 and the attack on another psychiatric patient with a butter knife in 2017. He was unaccompanied from a BC Provincial Mental Health Hospital on the day of the Chinatown attack.

The verdict in the case is scheduled to be handed down on October 24th.