Questions and Answers
Q.1 What was included in the 2005 tax package sent to taxpayers who had their return filed by a tax professional?
A.1 The Canada Revenue Agency (CRA) provides income tax filers with a tax package that is best suited to their filing requirements. In the past, taxpayers who used a tax professional to file their return in the preceding tax year received a package, which included a mailing label and a non-personalized remittance form.
Q.2 How did the CRA determine who received this tax package?
A.2 Taxpayers received this tax package if, in the preceding tax year, they used the services of a tax professional to file their return and if they had a resulting nil or debit balance.
Q.3 Why was the decision made to eliminate the tax package for taxpayers who have their returns filed by a tax professional?
A.3 Through research and consultation the CRA determined that most taxpayers were not bringing the information contained in their tax package to the tax professional for the preparation of their tax return. As a result, the mailing label and remittance form were not being used. Most individuals who had their return filed electronically did not require the label and most tax professionals have non-personalized remittance forms on hand for payments on filing. Eliminating this package will generate substantial savings and provide significant sustainability impacts.
Q.4 What is the cost savings associated with the elimination of this tax package?
A.4 The estimated annual net savings is approximately $2 million.
Q.5 How many taxpayers will be affected by the elimination of this tax package?
A.5 The elimination of this package will affect approximately 5.2 million taxpayers who had their return prepared by a tax professional and had a resulting nil or debit balance in the preceding tax year.
This is similar to what was done in the 2000 tax year, when the CRA eliminated tax packages sent to taxpayers who had received refunds in the previous tax year and who had used the services of a tax professional to electronically file their return.
Q.6 How will the CRA ensure that the information contained in this tax package will be available to taxpayers? (i.e., access code and non-personalized remittance form for payments on filing)
A.6 Access code – Taxpayers can receive an access code using the following options:
- online at www.netfile.gc.ca, for a NETFILE access code; or
- calling the CRA e-service Helpdesk for a NETFILE or TELEFILE access code at 1-800-714-7257 (for service in English), or 1-800-714-7258 (for service in French).
Taxpayers can obtain the remittance form to make their payment upon filing their return:
- by getting a non-personalized copy of the remittance form from their tax professional; or
- by ordering a personalized copy of the remittance form by calling 1-800-959-8281 (for service in English), or 1-800-959-7383 (for service in French).
When filing their 2006 personal income tax return, people may also be able to make a payment upon filing their 2006 personal income tax return electronically through their financial institution's telephone or Internet banking services.
Q.7 How will the CRA inform tax professionals about the elimination of this tax package?
A.7 Preliminary discussions with tax professionals have taken place. Information will be available on the CRA Web site and communicated directly to tax professionals.
