From: Canada Revenue Agency

Trusted, fair and helpful by putting people first.

Table of Contents

CRA overview

• CRA Key Facts
• CRA’s Mandate
• Service Commitment
• Potential Changes to Tax Policy
• Tax Administration in Quebec
• PSAC Negotiations
• Requests for Taxpayer Information (Section 241)

Top issues

Benefits/Programs

• Climate Action Incentive & Fuel Charge
• Charities
• Journalism
• Disability Tax Credit (DTC)

Service issues

• Scams
• Security Of Taxpayer Information (Privacy)
• Service (Benefit Reviews)
• Service (Call Centres)

Tax compliance

• Collections Actions (General)
• Court Cases
• Tax Avoidance/Evasion

Key Contact List

CRA Key Facts*

EMPLOYS 46,820

• Canadians nationally

PAID $34.8 BILLION

• to benefit recipients

OVER $457 BILLION

• in revenue and pension contributions administered

PROCESSES MORE THAN 29 MILLION

• individual tax returns

Tax compliance

• 91.9% of individuals paid their reported taxes on time
• 85.7% of corporation income taxes were paid on time

Digital filing

• 83.3% of the CRA’s services are available online
• 88.6% of income tax and benefit returns filed digitally
• 91.2% of corporation income taxes filed digitally

* Fiscal year 2018-2019

CRA’s Mandate

Issue

The CRA’s mandate is to ensure Canadians pay their appropriate share of taxes and receive their correct benefits. The CRA administers various acts, including the Income Tax Act, Excise Tax Act and Excise Act and has other administrative responsibilities. The CRA collects taxes on behalf of the Government of Canada, most provinces and territories, and some First Nations.

Proposed response

I am pleased that the Prime Minister has appointed me to this role and entrusted me to advance the Government’s agenda.

For many Canadians, their main interaction with the Government is their tax filing experience.

Every year the CRA:

• processes more than 29 million individual tax returns; and
• helps to deliver $34.8 billion in benefits.

As we move forward with the Government’s agenda to further help Canadians, I look forward to working with the CRA to meet and deliver on the tasks ahead.

Service Commitment

Issue

The CRA is becoming a more client-centric organization.

Proposed response

The CRA serves millions of Canadians every year.

The CRA’s goal is to be trusted, fair and helpful by putting people first.

Canadians have told the CRA that its service is falling short of their expectations and needs at times.

I look forward to improving client services, working with the CRA’s Chief Service Officer and other stakeholders.

Potential Changes to Tax Policy

Issue

Various tax policy proposals were included in the Government’s election platform. Matters of tax policy, including modifications to the legislation the CRA administers, fall under the purview of the Minister of Finance.

Proposed response

It is important to note that the role of the Minister of Finance is to develop the Government’s tax policy.

The CRA’s responsibility is to administer this policy once implemented.

I look forward to working closely with the Minister of Finance to effectively administer existing measures and implement the Government’s tax policy agenda.

Tax Administration in Quebec

Issue

Proposals for a single tax return in Quebec to be administered by the province. Questions around an agreement on such are the responsibility of the Minister of Finance, but could have administrative consequences for the CRA.

Proposed response

The Government is always looking for ways to make life easier for Canadians, including working with our provincial partners.

I understand that the CRA has a long history of collaborating with Revenu Québec, which includes sharing best practices to ensure that taxfilers receive the best service experience possible.

While the Government has already stated it is not prepared to support a single tax return administered by Quebec, the Government is open to working with Quebec to make tax filing easier for taxpayers.

PSAC Negotiations

Issue

The CRA and the Public Service Alliance of Canada-Union of Taxation Employees (PSAC-UTE) have been negotiating a new collective agreement since June 2018. The employees in this bargaining unit have been without a new contract since October 31, 2016.

Proposed response

The Government is committed to reaching an agreement that is fair to employees and for Canadians.

Maintaining a positive and constructive relationship with its unions is a priority for the CRA.

Requests for Taxpayer Information (Section 241)

Issue

Section 241 of the Income Tax Act (ITA) sets out the confidentiality requirements surrounding taxpayer information – mainly prohibiting its disclosure; with exceptions existing in very limited, specific circumstances. As such, officials of the CRA are prohibited from providing taxpayer information to anyone unless specifically authorized by Section 241 of the ITA. A breach of Section 241 is an offence punishable by fine or imprisonment.

Proposed response

The CRA must maintain the privacy and confidentiality requirements surrounding taxpayer information as set by Parliament in Section 241 of the Income Tax Act.

As such, that will limit what I – or the CRA – can comment on regarding taxpayer-specific cases.

Climate Action Incentive & Fuel Charge

Issue

The CRA is responsible for administering the Climate Action Incentive payment and the federal fuel charge.

Proposed response

Climate action incentive

The Government is fighting climate change while making life more affordable through a plan to reduce pollution that will also put money back into the pockets of Canadian families.

The CRA is positioned to continue to administer the Climate Action Incentive payment for the upcoming tax season.

The amount individuals are eligible for varies according to their province of residence and family composition.

Federal fuel charge

• The CRA administers the federal fuel charge, which applies to 21 types of fuel and combustible waste.
• The Government will continue to engage with businesses and stakeholders to ensure that they understand their obligations.

Charities

Issue

The CRA is responsible for regulating registered charities because of the tax incentives available to them through the Income Tax Act.

Proposed response

We all recognize the critical role that charities play in our society.

The Government is committed to ensuring that charities have a regulatory environment that supports the important work they do, while helping them to maintain their status as a registered charity.

I look forward to working with stakeholders — including through the CRA’s Advisory Committee on the Charitable Sector.

Journalism

Issue

The Minister of National Revenue is responsible for designating organizations as a qualified Canadian journalism organization.

Proposed response

I understand that work is underway at the CRA on the process of designating organizations as a qualified Canadian journalism organization, and more details will be forthcoming.

Disability Tax Credit (DTC)

Issue

The DTC is a non-refundable tax credit that provides tax relief to persons with disabilities or their supporting family members.

Proposed response

The Government’s goal is to ensure that every person who is eligible for the DTC receives it. This includes a fair, straightforward application process.

The Government values the perspectives and input of Canadians with disabilities. That’s why the Government reinstated the Disability Advisory Committee in 2017.

I understand that the CRA continues to explore ways to address many of the recommendations made by the Disability Advisory Committee in the report they released earlier this year.

I look forward to working with my colleagues, the Disability Advisory Committee, and other stakeholders to improve measures for persons with disabilities. We welcome all feedback.

Scams

Issue

Tax scams involving the use of the CRA’s name have grown significantly in recent years, and often target seniors.

Proposed response

The Government takes fraud and scams very seriously and will work to prevent vulnerable people from falling victim to them.

I understand the CRA shares information via news outlets, radio, social media, and on the web on how to avoid common scams, and works with partners such as the RCMP to raise awareness of scams.

As Minister of National Revenue, I will ensure that the CRA continues to do everything in its power to help Canadians recognize, prevent and report scams.

Security of Taxpayer Information (Privacy)

Issue

Canadians trust the CRA to safeguard the privacy of personal information. Effectively managing privacy breaches is critical in maintaining public confidence in the integrity of the tax system.

Proposed response

The Government takes Canadians’ privacy seriously.

I understand that the CRA has rigorous security controls in place to protect taxpayer information and is committed to monitoring and improving these controls on a regular basis.

I look forward to working with my officials and experts to further improve the CRA’s security controls.

Service (Benefit Reviews)

Issue

The CRA’s benefit and credits review process ensures fairness for all benefits recipients.

Proposed response

The Government is committed to ensuring that all Canadians get the benefits and credits that they are entitled to receive.

Tax-filing opens the door to getting benefits and credits that can make a big difference.

I understand that the CRA has a review process in place to ensure that eligible Canadians receive the right amount of benefits.

We also want to ensure that the review process is straightforward and transparent, providing Canadians with the best possible service.

Service (Call Centres)

Issue

In recent years, some observers (notably the Auditor General) have criticized the reliability and performance of CRA call centres.

Proposed response

The Government recognizes the importance of being accessible to Canadians through our call centres.

I understand that the CRA has moved to a new telephone platform which is helping improve accessibility and accuracy.

We will continue to work to improve quality and the service we provide to Canadians at CRA call centres.

Collections Actions (General)

Issue

Not all Canadians can pay their full tax debt on time.

Not paying a debt to the CRA can have legal and financial consequences. The CRA uses business intelligence and analytics to determine the most effective collection strategy based on previous debtor behaviors.

Proposed response

As Minister of National Revenue, I am committed to ensuring that all taxpayers are treated fairly and with respect.

I understand that, when it comes to paying tax debt, the CRA works with individuals and businesses to reach a mutually acceptable payment arrangement before moving to more serious actions (such as garnishment or seizing assets).

If asked about a specific case

• Due to the confidentiality provisions of the Income Tax Act, I cannot comment on specific cases.

Court Cases

Issue

The CRA is frequently involved in court cases of people, corporations, and trusts charged with tax evasion or for failing to file tax returns when required.

Proposed response

As this matter is before the courts, I cannot comment on the details of this case.

Tax Avoidance/Evasion

Issue

Tax evasion and aggressive tax avoidance are complex, global priorities for tax administrations around the world. Tax evasion is when an individual or business intentionally doesn’t comply with Canada’s tax laws (e.g. falsifying records, hiding income, or inflating expenses). Aggressive tax avoidance occurs when actions are taken to get around the intent of the law.

Proposed response

Tax evasion and aggressive tax avoidance deprive our country of important revenues that help fund essential programs and services such as health care, childcare, education and infrastructure.

The Government is committed to protecting the integrity and fairness of the Canadian tax system by combatting tax evasion and aggressive tax avoidance on all levels in Canada and abroad.

I look forward to working with stakeholders and our international partners to address this important Issue.

Key Contact List

Bob Hamilton
Commissioner

bob.hamilton@cra-arc.gc.ca
Office (613) 957-3688
Cell [Redacted]

Christine Donoghue
Deputy Commissioner

christine.donoghue@cra-arc.gc.ca
Office (613) 957-3688
Cell [Redacted]

Jean-Philippe Prost
Chief of Staff to the Commissioner and Deputy Commissioner

jean-philippe.prost@cra-arc.gc.ca
Office (613) 941-8771
Cell [Redacted]

Cate Labelle
Agency Assistant to the Minister

cate.labelle@cra-arc.gc.ca
Office (613) 996-8142 or (613) 995-2960
Cell [Redacted]

Suzanne Gouin
Chair, Board of Management

Sherra Profit
Taxpayers’ Ombudsman

sherra.profit@oto-boc.gc.ca
Office (613) 941-6311

Prime Minister’s Office Switchboard
Office (613) 992-4211

Minister’s Office Reception
Office (613) 995-2960