The Globe and Mail reports in its Wednesday edition that the Canada Revenue Agency clarified that it will not apply penalties for late tax filings for trusts except in cases of gross negligence. The Globe's Erica Alini writes that the updated guidance provides relief for taxpayers who are asked to share information about bare trusts, which often are not documented in writing. The Canadian government has introduced new federal reporting requirements. These rules impact individuals whose names have been added to a relative's home title or financial accounts, even if they have not intentionally formed a trust. The deadline for submitting the necessary forms for the 2023 tax year is April 2. The CRA announced on Tuesday that it will not impose standard penalties on taxpayers who submit their 2023 bare trust returns after the deadline. However, the CRA will still apply a more severe type of penalty in the most extreme cases of gross negligence. In December, the CRA had already signalled that it would not impose regular penalties for late bare trust returns. However, it also clarified that it would still impose harsher penalties when it deemed that taxpayers knowingly failed to file or did so owing to gross negligence.