How Far Back Can CRA Audit? A Comprehensive Guide

Identifying the extent to which the Canada Revenue Agency (CRA) can audit is critical for any Canadian taxpayer. This understanding will equip you with the necessary knowledge to navigate through the tax-accumulation period, ensuring you stay aboveboard. In this article, we will delve into the limits of the CRA's auditing powers and how to respond using different avenues - the government's website, mobile app, and call centre.

The Scope of CRA Audit

The CRA has the mandate to audit an individual, firm, or corporation as they find necessary to ensure the tax law's compliance. But how far back can they audit? Generally speaking, CRA can audit a tax return that you filed in the past six years. However, if they suspect fraud or neglect, this duration can extend indefinitely. Factors such as the type of income you report and discrepancies in previously filed returns could trigger a further look into your past records.

Requesting Audit Information through the CRA Website

If you face an audit or a request for past records, the CRA website is a handy tool to access all the necessary information. The website is navigable, allowing you to easily find relevant posts and detailed instructions. Whether you need audit guidelines, notices, archived information, or other guidance, the website serves as a one-stop-shop.

Using the CRA Mobile App for Audit-Related Queries

The mobile app, 'MyCRA,' allows taxpayers to manage their tax affairs conveniently. It is easily downloadable on your smartphone, making it accessible from anywhere, anytime. Through this app, you can access your tax information, review past returns, and track the progress of your audit. Its user-friendly interface also encourages communication if you need any additional information or clarity.

Contacting the Call Centre for Personalized Assistance

Aside from the website and app, the CRA call centre is another effective way to ensure you fully unpack the potential audit impact. By calling 1-800-959-8281, you can speak to an agent who can guide you through the process. Even though wait times might occasionally be long, the agents are typically patient, knowledgeable, and ready to assist. Though sometimes it's more rewarding to talk to another human when dealing with as complex an issue as tax audits.

In conclusion, the CRA audit process can indeed stretch beyond the commonly known six-year period if they suspect discrepancies. Should you face an audit, remember that you have several resources at your disposal to ensure you go through the process seamlessly, including the website, application, or even a phone call away.

Remember the Key Takeaways

• The CRA can generally audit up to six years of your past tax returns, but this can extend if they suspect fraud or neglect.
• The CRA website is an excellent tool for accessing relevant information about audits.
• 'MyCRA,' the CRA mobile app, can help manage your tax affairs and monitor the audit process.
• The CRA call centre provides personalised assistance with patient and knowledgeable staff ready to assist you.

Ensure you stay informed and act accordingly as you navigate the Canadian tax landscape.