The Canada Revenue Agency (CRA) is Reviewing Your Tax Return, Now What?

You filed your tax return and are relieved that the initial pain is over. Now, months later you have received a letter, that you can barely decipher, asking for supporting documentation. Now what?

Firstly, keep calm. CRA inquires about the returns of over 3 million taxpayers every year. They have a number of different programs, running from approximately July through January, to ensure that the tax return you have filed is indeed accurate. A review is NOT an audit; most of the time it is a routine check to ensure that the information you provided on your return is correct and that you have the documentation to support your claims.

Secondly, it is important that you send your information to CRA by the deadline they have given you. Believe it or not, most of the time, they will give you an extension if you call and speak with them and explain that you are working on gathering and assembling your documentation.

It is important to keep your personal information up-to-date with CRA so that you receive the letters and correspondence that they send out.

Finally, keep copies of everything you send to CRA in the event that your submission gets lost. You are responsible for retaining receipts and records for 6 years after filing your tax return in the event that CRA makes a request. In the end, if you send in all of the documentation requested in a timely fashion, then your tax return claims should be upheld.

If you need assistance with replying to CRA, please do not hesitate to contact us at (403)703-7176 or at Sharon@CalgarysChoiceTaxServices.com