CRA Debt Solutions in Ontario
Owe Money to CRA?
Use Your Home Equity to Pay It Off
If you have CRA debt or a lien on your home, you are not out of options. TurnedAway.ca helps Ontario homeowners use their equity to pay off CRA debt in full, discharge liens, and stop enforcement, regardless of credit or income.
Approvals in as fast as 24 hours · No income or credit requirements · Funds paid directly to CRA
24 hrs
Approvals possible in as little as 24 hours when enforcement is active
80%
Maximum loan-to-value we arrange, leaving equity protected as a buffer
$0
Income verification required — approval is based on your home equity
Direct
Funds are paid straight to CRA to clear your debt and discharge liens
What CRA Debt Means for Your Home
CRA debt is money owed to the Canada Revenue Agency, also known as Revenue Canada, for unpaid personal income tax, business tax, GST or HST, or amounts from a reassessment. Once you fall behind, interest and penalties accumulate, and the CRA has broad legal powers to collect what it is owed.
If you own a home, the CRA treats your property as a recoverable asset. In most cases it will push for full repayment rather than approve a long-term payment plan, and it can register a lien against your home. Once a CRA lien is on title, traditional lenders are unlikely to approve any financing until the debt is cleared, which is why so many homeowners with CRA debt find themselves declined by their bank.
The good news is that CRA debt is resolvable. If you have equity in your home, that equity can be used to pay the CRA in full, discharge any lien, and stop enforcement before it escalates. For official information on CRA collections, you can refer to the Canada Revenue Agency.
How the CRA Collects Unpaid Tax Debt
The CRA has some of the most powerful collection tools of any creditor in Canada, and it does not need to go to court first. Once you fall behind, enforcement can escalate quickly. Understanding what the CRA can do is the first step to taking it seriously.
Wage Garnishment
The CRA can legally require your employer to send up to 50 percent of your pay directly to them, without a court order.
Frozen Bank Accounts
The CRA can issue a requirement to pay to your bank, freezing your account and withdrawing funds to cover the debt.
Withheld Credits and Refunds
GST, HST, and other tax credits and refunds can be held back and applied against what you owe.
Liens on Your Property
The CRA can register a lien against your home, which must be paid out before you can refinance or sell. In serious cases it can force a sale.
The CRA will not wait, and interest and penalties continue to grow until the debt is paid. The sooner you act, the more options you have. If a lien has already been registered, clearing it quickly is the key to protecting your home.
Who Qualifies for Help With CRA Debt?
Because our solutions are secured by your home, approval is based primarily on your equity, not your credit score or income. That is exactly why we can help homeowners whose bank has already declined them over a CRA balance.
Homeowners with Equity
If you have equity in your home, it can be used to pay off your CRA debt. We arrange financing up to a maximum of 80% of your home's value.
A CRA Lien on Title
An existing CRA lien does not disqualify you. Our financing can pay the CRA in full and discharge the lien as part of the same transaction.
Bad Credit or No Credit
Missed payments, collections, consumer proposals, and past bankruptcies do not automatically disqualify you. Your equity is the primary approval factor.
Self-Employed or Unfiled Returns
No income verification required. We work with lenders who help self-employed homeowners and those with tax arrears or outstanding returns, focusing on equity.
Facing Active Enforcement
If the CRA has begun garnishing wages or has frozen your account, fast access to funds can pay the debt and stop the enforcement.
Dealing With Other Debts Too
If your CRA debt comes alongside property tax arrears or high-interest debt, we can often resolve everything in one solution.
How It Works
Resolving CRA debt through TurnedAway.ca is straightforward, and in urgent enforcement situations it moves quickly. Here is what to expect from your first call through to funding.
Apply Online
Complete our secure application at apply.turnedaway.ca. Tell us your property details, your mortgage balance, and the amount of CRA debt owing. No credit check required to begin.
We Review Your File
Our team reviews your application, often within hours, confirms your equity against our 80% loan-to-value cap, and identifies the best solution: a home equity loan, second mortgage, or refinance.
Property Appraisal
An independent appraisal confirms your home's current market value, which determines how much equity is available to clear your CRA debt. We subsidize appraisal costs wherever possible.
Approval and Legal Work
Once approved, your lender issues a commitment with all terms and costs disclosed in writing. Your lawyer completes the legal work and confirms the exact payout amount with the CRA.
CRA Paid in Full
Funds are advanced and your CRA debt is paid directly, clearing the balance, discharging any lien, and stopping enforcement. In urgent cases, files can close in as little as 24 to 72 hours.
How Much Can You Borrow to Clear CRA Debt?
The amount available depends on your home's value and your existing mortgage balance. We do not arrange financing above 80% of your home's value, which protects you if property values decline. The example below shows how equity is calculated.
Simple Example
| Detail | Amount |
|---|---|
| Estimated Property Value | $700,000 |
| Maximum Financing at 80% LTV | $560,000 |
| Existing Mortgage Balance | $400,000 |
| Available to Clear CRA Debt and Other Needs | $160,000 |
In this example, $160,000 is available, more than enough to clear most CRA balances with room left over for other obligations. Use our home equity calculator to get a personalized estimate based on your own property value and mortgage balance.
Your Options for Handling CRA Debt
There are several ways to deal with CRA debt, and each has tradeoffs. Being honest about all of them is part of how we work. Here is a clear comparison so you can see where using your home equity fits.
| Option | What It Involves | Things to Consider |
|---|---|---|
| Home Equity Solution | Use your equity to pay CRA in full and discharge any lien | Fast, keeps your home, available even with bad credit; requires equity |
| CRA Payment Arrangement | A structured repayment plan negotiated with the CRA | Still requires full payment with penalties and interest; often denied if you own property |
| Consumer Proposal | A formal arrangement filed with a Licensed Insolvency Trustee | Significant credit impact; may not protect your home if equity is available |
| Bankruptcy | A formal process that can discharge tax and other unsecured debt | Serious, long-lasting credit and asset consequences; a last resort |
For most homeowners with equity, using that equity to pay the CRA in full is the fastest way to stop enforcement and keep their home. A consumer proposal, bankruptcy, or CRA payment plan may make sense in specific circumstances, and if one of those genuinely suits your situation better, we will tell you. We can also connect you with a Licensed Insolvency Trustee where appropriate.
Our Commitment to Responsible Lending
TurnedAway.ca has been helping homeowners who were turned away by the big banks for decades. We are not a finance company. We are a licensed mortgage brokerage, and our job is to give you honest guidance, not just a transaction.
We do not arrange financing above 80% loan-to-value. When a homeowner is already under pressure from CRA enforcement, taking them to the very edge of their equity creates risk we are not willing to accept on their behalf. Every solution we arrange leaves meaningful equity in place as a buffer.
The full cost of any solution, including the interest rate, lender fee, broker fee, legal fees, and appraisal, is disclosed in writing through a formal Cost of Credit Disclosure for your specific deal before you commit. Our goal is to clear your CRA debt and leave you in a stronger position, often with a path back toward traditional financing once the tax problem is behind you.
Real Client Results
Every situation is different. Here are three examples of how TurnedAway.ca helped Ontario homeowners pay off CRA debt and keep their homes when traditional lenders could not help.
Case Study 1 | Oshawa
Oshawa Homeowner Pays Off a CRA Lien Through a Refinance
Following several difficult years that included reduced income and growing financial pressure, a homeowner accumulated approximately $74,000 in CRA tax debt. The CRA ultimately registered a lien against the property, making refinancing through their existing lender impossible. Although the homeowner had substantial equity, the registered lien and weakened credit caused their bank to decline the refinance request.
We secured a mortgage refinance through an alternative lender that provided sufficient funds to pay the CRA balance in full and discharge the lien.
Result: The CRA debt was paid, the lien was removed from title, and the homeowner was left with a single manageable mortgage payment instead of an escalating tax problem. With the lien gone and payment history re-established, they were positioned to pursue lower-cost financing in the future.
Case Study 2 | Hamilton
Hamilton Family Resolves CRA Debt Through a Second Mortgage
A family owed approximately $48,000 to the CRA after several years of tax balances accumulating alongside other household debt. CRA collection activity had intensified and the family was receiving ongoing demands for payment. Credit scores had declined because of high debt utilization and several missed payments, and their bank declined a consolidation request due to debt servicing concerns and the outstanding CRA obligation.
We arranged a second mortgage secured by the home's equity. Funds were used to pay the CRA in full and eliminate several high-interest debts that were creating cash-flow pressure.
Result: CRA collections stopped, the tax debt was eliminated, and the family significantly reduced their monthly obligations. Instead of managing multiple creditors, they were left with a structured repayment solution secured by the home's equity.
Case Study 3 | Barrie
Barrie Self-Employed Borrower Uses Home Equity to Resolve CRA Debt
A self-employed contractor accumulated approximately $92,000 in CRA tax debt after several strong business years where funds were continually reinvested into operations. By the time they contacted us, the CRA had begun aggressive collection efforts and the homeowner was concerned about additional enforcement. Traditional lenders focused heavily on taxable income shown on tax returns, which did not reflect the strength of the business, and the outstanding CRA debt and income verification challenges resulted in multiple declines.
We completed a home equity loan using the equity available in the property to satisfy the CRA balance.
Result: The CRA debt was paid in full, collection pressure ended, and the borrower was able to focus on operating the business without ongoing tax enforcement concerns. The solution also created a clear path toward improving financial statements and qualifying for more traditional financing later.
Where We Serve
TurnedAway.ca helps homeowners resolve CRA debt across Canada. The cities below represent areas we serve regularly, but they are not an exhaustive list. We work with homeowners in every province and territory with the exception of Quebec, Newfoundland, Yukon, the Northwest Territories, and Nunavut.
Call us at 1-855-668-3074 or apply online today.
Frequently Asked Questions About CRA Debt
Can I use my home equity to pay off CRA debt?
Yes. For most homeowners, using home equity is the fastest and most reliable way to pay off CRA debt. TurnedAway.ca arranges financing secured by your home that pays the CRA in full, discharges any lien, and stops enforcement, even if your bank has already declined you.
Can I get financing with a CRA lien on my home?
Yes. An existing CRA lien does not disqualify you. Our financing can pay the CRA balance in full and discharge the lien as part of the same transaction. Once the lien is removed from title, you are in a much stronger position to refinance or sell in the future.
Can I get help with bad credit?
Yes. TurnedAway.ca works with lenders who approve based on your home equity, not your credit score. Missed payments, collections, and past financial difficulty do not automatically disqualify you. Your equity is the primary approval factor.
How quickly can CRA debt be paid off?
In urgent situations, such as active garnishment or a frozen account, financing can often be approved within 24 hours and funded within a few business days. The funds are paid directly to the CRA. Timing depends on the appraisal, legal work, and how quickly documentation is provided.
Can I make a payment arrangement with the CRA instead?
The CRA may allow a structured repayment plan, but it still expects full payment with penalties and interest, and these arrangements are often difficult to negotiate or are denied if you own property with equity. For many homeowners, paying the balance in full using home equity is faster and stops enforcement immediately.
Can the CRA take my house?
In serious cases, if CRA debt remains unpaid and a lien is registered, the CRA can ultimately force the sale of your property to recover what is owed. Acting before enforcement escalates gives you far more control and helps you keep your home.
Can you help if I have unfiled tax returns?
Yes. Many of our clients come to us with tax arrears, reassessments, or unfiled returns. We work with lenders who focus on your home equity rather than your tax filing status, which allows us to help even in complex situations.
I also owe property taxes. Can you help with both?
Often, yes. If you are dealing with CRA debt alongside property tax arrears or other high-interest debt, we can frequently arrange a single solution that clears everything, depending on your equity position.
Resolve Your CRA Debt Before It Escalates
Apply online and we'll review your situation and arrange a solution to pay the CRA in full and discharge any lien, often with approval in as little as 24 hours. No obligation, no pressure, full transparency on cost.
Apply Now ✓Have questions first? Contact us here.