This summer,
More Canada will be invited to use,
Canada Revenue Agency's (CRA) automated tax preparation service.
Source: Taken by 51 reporters
If you recently received an email from the CRA to file a tax invitation, don't worry, it's true.
The CRA announced Tuesday that it has expanded its SimpleFile service to invite more than 500,000 low-income individuals to file tax returns and potentially receive a sum of money from unclaimed benefits.
"This national pilot of automatic tax filing is targeted at those individuals and builds on the success of the CRA's previous small-scale SimpleFile pilot," the announcement reads. "
Earlier this year, the CRA invited more than 1.5 million Canadaians with lower or regular incomes to file their taxes over the phone using SimpleFile.
Source: X
How does SimpleFile Auto-File work?
SimpleFile is an invite-only service.
Invitees can file their taxes by phone, online and on paper at any time and place that suits them in as little as 10 minutes.
According to the CRA, when an individual uses a phone or digital service, they need to confirm some personal information and answer a series of short questions using the keypad of their mobile phone. There's no need to fill out forms, do calculations, or speak with a contact center agent.
If the invitee has created a Personal Identification Number (PIN) in My Account, they will receive an estimate of their net income, taxable income, and any tax refunds they may be eligible for after using the phone service.
If you don't have a PIN, don't worry – the CRA says you can file your taxes even if you don't have one. "Individuals will receive a Notice of Assessment in the mail once their return has been processed."
SimpleFile is one of the government's commitments in Budget 2024, with the CRA planning to increase the number of invitees to 2 million during the 2025 tax season.
If you have been invited to use the service, it will help you automatically file your 2023 tax return for a limited time. Phone and digital services are available 21 hours a day, 7 days a week (6 a.m. to 3 a.m. ET).
In addition to SimpleFile, the CRA has a number of programs and services to help Canadaians file their taxes, including auto-filling tax returns in certified tax software and a community volunteer tax preparation program.
Last month, a report by the Parliamentary Budget Officer also announced a new tax preparation service proposal that could provide more than $1 billion in unclaimed government benefits to Canada over the next few years.