After the tax season, you may get letters about CRA tax review. Don’t be panic. In many cases, you are not their particular target. Your tax return is simply randomly selected for review.
However, you should never ignore a letter from CRA. If the CRA doesn’t receive a response to its review letter within 30 days, they will adjust your claim based on the information they have. You may end up owing CRA money and require further tax examination.
Most common CRA tax review requests include:
- Requesting documents to support your claim for tuition fees. You will need to submit documents such as T2202A, which is from your school, and Schedule 11 and Schedule S11, which you can get from your accountant.
- Requesting the date you change your marriage status. If you change from single to common-law or married, or versa, the CRA will need to know the date you change your marriage status and recalculate your GST/HST, OTB, child benefits and other benefits based on your updated family income.
- Requesting your rental receipts to support your Ontario Trillium Benefit claimed.
- Requesting childcare expenses receipts.
Tips to handle your CRA tax review smoothly
- Make sure the CRA has your correct mailing address. It seems easy, but many people get into trouble because of having wrong address with the CRA. Double check your mailing address before filing your tax returns. If you move, notify the CRA as soon as possible. The CRA phone number is 1-800-959-8281. You will need details from your account or your most recently Notice of Assessment, reassessment, or other tax document to identify yourself.
- Always include the reference number for your case – that way, the CRA can quickly match the additional information you give them to your tax return.
- Organize the information and documents to make it as easy as possible for the CRA tax review response.
The CRA tax review does not represent a tax audit. Review programs promote taxpayer education by identifying common areas of misunderstanding. Analysis of results and feedback from taxpayers is used to review and improve the guides and forms that the CRA provides to the public.
