December 5, 2025
The Canada Truck Operators Association (CTOA) acknowledges the Canada Revenue Agency’s (CRA)
announcement lifting the moratorium on T4A penalties for the 2025 tax year and beyond.
Compliance and proper reporting are essential to maintaining a fair and competitive trucking industry.
We support transparency and the principle that all businesses should meet their tax obligations.
CTOA members are committed to meeting reporting requirements. However, many small carriers and
independent operators will require time, clarity, and structured guidance to integrate the new T4A
processes into their operations. To date, operators have received limited information about how drivers,
contractors, and businesses will be supported or educated prior to enforcement, creating uncertainty
during an already challenging economic period.
This announcement highlights the need for clear guidance, education, and a realistic transition approach
for the thousands of small and mid-sized carriers across Canada. For years, these businesses have
operated under inconsistent interpretations from both CRA and ESDC, often relying on accountants,
advisors, and previous CRA guidance when making classification decisions.
CTOA urges CRA to ensure:
- A reasonable transition period so carriers can adjust systems and reporting obligations
- Clear, accessible, and timely guidance, especially for small and newcomer-owned businesses
- Avoidance of regional stereotypes, which unfairly stigmatize the Greater Toronto Area. one of Canada’s largest freight hubs and a critical engine of the national supply chain
- Consistency between CRA and ESDC, to prevent conflicting interpretations and unintended penalties.
- Direct outreach and communication to incorporated drivers, ensuring they understand their rights, obligations, and available supports.
- Regular engagement with industry stakeholders throughout the rollout and implementation period
The trucking industry moves the Canadian economy. Compliance measures must be implemented in a
manner that strengthens, not destabilizes, the supply chain, particularly during a period of economic
pressure and U.S.-driven trade disruptions.
CTOA looks forward to working with government, industry partners, and the broader supply chain to
ensure fair, balanced, and practical implementation of these new requirements.
Canada Truck Operators Association (CTOA)
About CTOA
CTOA represents the full spectrum of Canada’s trucking workforce, independent drivers, owner-operators, and small,
medium, and large fleets across multiple provinces. Our membership reflects the modern Canadian trucking industry:
diverse, inclusive, and built on professionals from every corner of the sector.