Personal Income Tax Reviews
We assist individuals with CRA personal income tax reviews.
If you receive a CRA review letter or are asked to provide additional information or supporting documents, we can help you understand the CRA's request, prepare the required documentation, respond to the CRA, and assist throughout the review process.
Below are some common questions about CRA personal income tax reviews.
How do I know if a CRA letter is genuine?
Tax scams have become increasingly common. Fraudsters may send emails, text messages, or letters claiming to be from the CRA and ask for payment or personal information.
If you receive a notice, you can first log in to your CRA My Account to see whether the same correspondence appears there. You should also verify the reference number on the notice. If you are still unsure, contact the CRA directly before making any payment or providing personal information.
Does receiving a CRA review mean there is something wrong with my tax return?
Not necessarily.
The CRA reviews many individual income tax returns each year. Some reviews are selected randomly, while others focus on specific claims or deductions that require additional supporting documentation.
Receiving a review letter does not mean your tax return is incorrect, nor does it automatically result in additional tax or penalties. In many cases, the review is completed once the requested documents have been provided.
Why is the CRA reviewing my tax return?
There are many possible reasons.
Some reviews are selected randomly. Others may relate to deductions or credits that are reviewed more frequently. The CRA may also compare information reported by employers, financial institutions, or other third parties with your tax return and request additional supporting information.
Being selected for a review does not necessarily mean you have made a mistake.
What does the CRA usually review?
Common review areas include:
Foreign income
Tuition claims
Rental expenses
Charitable donations
Medical expenses
The CRA may request receipts or other supporting documents to verify the information reported on your tax return.
Do I have to respond to a CRA review?
Yes.
You should carefully read the review letter, understand what information has been requested, and respond before the deadline.
If you do not respond, the CRA may make adjustments based on the information available, which could result in certain deductions or credits being denied and your tax being reassessed.
If you need additional time to gather documents, you may contact the CRA to request an extension.
How should I respond to a CRA request for information?
Read the CRA's request carefully and provide the documents that relate to the review.
In general, you only need to provide the information requested by the CRA. Supporting documents can usually be submitted electronically through CRA My Account.
What if I cannot find my receipts?
Do not panic.
In many cases, replacement receipts can be obtained from hospitals, schools, employers, charities, or other organizations. Other supporting documents may also be accepted, depending on the circumstances.
If certain records are no longer available, explain the situation honestly to the CRA. You should never create or submit false documents.
Will a CRA review delay my tax refund?
It may.
If your refund depends on items that are under review, the CRA may delay issuing the refund until the review has been completed.
A delayed refund does not necessarily mean there is a problem with your tax return. In many cases, the CRA simply waits until the review has been finalized.
What if the CRA disagrees with my tax return or I missed the deadline?
Do not panic.
Even if the CRA has adjusted your tax return or you missed the response deadline, there may still be options available depending on your circumstances. You may be able to provide additional information, explain your situation, or request that the CRA reconsider its decision.
The earlier the matter is addressed, the more options may be available.
Can you assist with a CRA personal income tax review?
Yes.
If you have received a CRA review letter or have been asked to provide additional information or supporting documents, we can assist you in understanding the CRA's request, preparing the required documentation, responding to the CRA, and communicating with the CRA throughout the review process.
If you would like to learn more about our services, please contact us.