Private Campgrounds are still being targeted by Canada Revenue Agency

Canadian Camping and RV Council (CCRVC) has recently been made aware that Canada Revenue Agency (CRA) has reassessed a private campground in Alberta as an “Investment Business,” which resulted in having their Small Business Tax Deduction denied and retroactively reassessed for three tax years resulting in a 300% increase in their tax bill.

CCRVC is working closely with the affected campground and is seeking further clarification from Canada Revenue Agency (CRA). This move from the CRA against a new campground came as a surprise as the Canadian Camping and RV Council (CCRVC) had been informed by the Minister of Small Business and Tourism’s office that no more " legitimate" campgrounds would be denied the Small Business Tax Deduction by the Canada Revenue Agency in a meeting. Despite their assurances, it appears that Private Campgrounds may still be targeted by the Canada Revenue Agency.

CCRVC along with the RVDA of Canada has lobbied the CRA and the Federal Government for the past 2 years to try to get the current Income Tax Act changed and to provide clarity for private campgrounds that employ less than 5 full time employees with hopes to eliminate the subsequent threat of being reclassified a passive "investment" business.

More than 5.8 Million Canadians enjoy camping as part of their lifestyle and the Canadian RV an

What can you do as a dealer?

We ask you to join our partner, Canadian Camping and RV Council (CCRVC), in their lobbying efforts with the Federal Government to address and resolve concerns regarding the tax interpretation/policy changes by Canada Revenue Agency last year which may impact campgrounds who employ less than 5 full time employees year-round.

With this in mind, we ask you to contact your MP to discuss the impact of this unfair tax policy, to solicit and obtain your MP’s support to discuss this directly with the Minister of Finance Bill Morneau and for your MP to recommend to the Minister that campgrounds should be considered to be an "active" business. If you have yet to contact your MP, there is still time to do so. Locate your MP.

Canadian Camping and RV Council has established a “Grassroots” awareness program to make it easy for RV Dealers and Campgrounds to send an email directly to their MP. Please visit https://www.faircamptax.ca/contact-elected-official for more information.

Are you a campground member?

The Canada Revenue Agency may send you a questionnaire asking you a few questions such as:

Can you send us your Financial Statements?

How many employees do you have full time?

How many services does your campground provide?

This could be a big red flag! If you receive a questionnaire/letter that has similar questions than those listed above or if your campground has been denied the small business tax deduction, please contact the Canadian Camping and RV Council immediately.