Audit process for the speculation and vacancy tax

Anyone who has to declare for the speculation and vacancy tax may be audited.

Audits are routinely conducted to ensure:

  • Exemptions and tax credits have been claimed correctly
  • Taxes have been paid correctly

When requested, you will be required to provide us with all information necessary. The Speculation and Vacancy Tax Act provides us with the authority to demand information, additional information, production of records, or written statements within 30 days after you receive an audit letter.

Once an audit review on your account has begun, please contact us right away if you need to make changes to your declaration. We can make the changes for you as you will not be able to change your declaration yourself.

If we don't receive the requested information within the deadline provided and cannot confirm your eligibility for the exemption(s) you claimed, we'll issue a final letter summarizing our findings, a Notice of Assessment and a Statement of Account showing your outstanding balance, including interest.

During a typical audit, you can expect us to:

  • Review your records 
  • Ask you for information about something that may be missing from your declaration
  • Discuss issues of interpretation that may arise from the audit
  • Work with you to ensure the audit is completed in a timely manner
  • Work with you to resolve any concerns you have as quickly as possible
  • Safeguard your records without compromise

You should keep all supporting documents for six years after you submit your declaration.

When the audit is complete, we will:

  • Review and explain the results
  • Notify you if more tax is owed
  • Notify you if you are entitled to a refund
  • Make you aware of your options if you disagree with the results

If the audit determines you owe more tax, we will send you a Notice of Assessment that shows the balance owing. If you have questions about the notice or how it was determined, contact us.

If you believe the tax was applied incorrectly in your circumstance, you may be able to appeal to the minister

This information is provided for your convenience and guidance and is not a replacement for the legislation