How Far Back Can The Cra Audit

how far back can the cra audit>

Understanding How Far Back CRA Can Audit: Options via Website, Mobile App, and Call Centre

There might be times when Canada Revenue Agency (CRA) feel the need to take a second look at a tax return. It's a legal process deemed an audit. Do you know the extent to which the CRA can audit? In this article, we lay out the crucial information about how far back the CRA can audit. Moreover, we guide you through the options to manage your tax matters via CRA's website, mobile app, and call centre. Let's get started.

The Scope of the CRA Audit

CRA carries out audits to ensure taxpayers are complying with tax laws. Essentially, the CRA can audit a tax return as far back as they wish if they believe there's fraud. However, typically, they will only go back six years. The six years commence at the end of the calendar year that the tax year ended. For example, if you filed your 2019 taxes in April 2020, the six-year period would start on December 31, 2019. Any records and receipts used to prepare your return should be saved for at least six years, in case the CRA asks for them.

CRA Website: Navigate Your Audit Journey

The CRA website is a fountain of information for all taxpayers. You can access the website to understand the audit process further, learn your rights during an audit, and discover the potential outcomes. To find information related to audits, navigate to the search bar on the CRA homepage and input "audit" to access various resources.

Mobile App: MyCRA

A user-friendly tool to manage your tax affairs is at your fingertips. MyCRA, the official mobile app of the CRA, gives you secure and convenient access to your personalized tax information. While the app doesn't directly deal with the audit process, it offers beneficial features like tracking your refund, viewing or changing your return, checking benefit and credit payments, and more. You can download the app from the App Store or Google Play.

Seek Guidance via CRA Call Centre

If you need direct assistance or have specific questions about your situation, the CRA’s call centre operatives are ready to help. Trained representatives can clarify CRA procedures, elucidate potential audit triggers, explain your rights, and guide you through the next steps if you're audited. The contact number for individuals is 1-800-959-8281, available Monday to Friday. Please note that call wait times can vary significantly depending on the time of year, with peak times around tax filing deadlines.

Understanding how far back the CRA can audit is vital for every taxpayer. When equipped with this knowledge and the various avenues provided by CRA for tax matters, you have the power to navigate the audit process with confidence. Remember, it's essential to keep organized and detailed records, be aware of tax deadlines, and stay informed about changes in tax laws and filing procedures.

Whether you approach via website, mobile app, or call centre, the CRA's resources and representatives are there to assist you. Comprehending and cooperating with the audit process contributes to a well-functioning, equitable tax system that benefits all Canadians.