Budget 2021: Electronic communication with the CRA

Changes are proposed to the rules to increase the ability of the Canada Revenue Agency (CRA) to communicate with taxpayers electronically, without the taxpayer having to authorize the CRA to do so.

Generally, the CRA will be entitled to send notices of assessment electronically to individuals who filed their income tax return by electronic means.

As well, the default method of correspondence with businesses that use the CRA’s online My Business Account would be changed to electronic correspondence. Businesses would, however, have the option to also receive paper correspondence.

In addition, issuers of T4A and T5 information returns would be entitled to provide them electronically, without having to issue a paper copy and without the need to obtain the taxpayer’s authorization to do so. This change would apply to information returns sent after 2021.

For more budget information, please click here.