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CRA Collections Risk Checker

Tell us the latest contact you've had from the CRA about your debt. We'll show how close you are to garnishment or other legal action and what to do now.

In short: When can the CRA garnish my wages or bank account?

Before legal action the CRA will generally try at least once to give you a verbal legal warning by phone and send one written legal warning letter. After that it can garnish income and accounts, put a lien on or seize assets, or make another person responsible for the debt.

Last reviewed against 2 official sources.

Where are you in collections?

The CRA collections path

Each step gives you less room to agree terms before the CRA acts.

The link holds your numbers in the address. Nothing is sent to us.

Collections risk

high

The legal warning stays valid for 160 more days. The CRA can start legal action at any time in that window.

What to do now

  • Set up a payment arrangement in My Account or by calling the CRA before payments become legal action.
  • Expect refunds and benefit payments to be applied to the debt.
  • If the debt is unaffordable, a Licensed Insolvency Trustee can explain a consumer proposal, which stops garnishment once filed.

The CRA collections path

  1. A notice shows your balance; interest runs and refunds are offset.
  2. The CRA calls with a verbal legal warning.
  3. A written legal warning letter follows. It's valid for 180 days.
  4. Legal action: garnishing income and accounts, liens or seizure, or making someone else responsible.

Worked example

Sam received a written legal warning 20 days ago and hasn't replied. The checker rates the risk high: for the next 160 days the CRA can garnish wages or bank accounts without further notice. Setting up a payment arrangement now is the best way to avoid it.

Reading the charts

Each chart redraws as you change the inputs and uses the same calculation as the result above. Choose "Show data" for the exact figures as a table, or download them as a CSV. "Copy link" saves your numbers in the page address so you can come back to the result or share it; nothing is sent to us.

Official sources

Figures last reviewed .

Frequently asked questions

When can the CRA garnish my wages or bank account?

Before legal action the CRA will generally try at least once to give you a verbal legal warning by phone and send one written legal warning letter. After that it can garnish income and accounts, put a lien on or seize assets, or make another person responsible for the debt.

How long is a legal warning valid?

180 days. The CRA can start legal action at any time in that period, even if your balance changes. After that it needs to give just one new warning, verbal or written.

Are businesses treated differently?

Yes. If a business owes payroll or GST/HST remittances, the CRA may begin legal action right after notifying you of the debt.

Will the CRA take my refund?

Yes. Tax refunds and government credit or benefit payments are applied to your balance owing.

How do I stop collection action?

Contact the CRA and set up a payment arrangement — online in My Account or by phone. Keep every payment on time and call before paying less than agreed.

How do I know it's really the CRA?

Check your balance in your CRA online account or by calling the CRA if someone contacts you about a debt you haven't seen on an official notice.

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Disclaimer: This tool gives a general estimate based on what you enter and the published rules. It is not tax, legal or financial advice, and the tax authority makes the final decision. Speak to a qualified professional before acting. See our disclaimer.