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How Far Can CRA Go Back?: A Comprehensive Guide for Taxpayers

Tax season is always a stressful time for most Canadians. The Canada Revenue Agency (CRA), the federal agency responsible for administering taxes, has the authority to review and audit your tax returns. But how far back can they go? This question is common among taxpayers. To provide clarity, we’ll examine this topic using the CRA's website, mobile app, and call centre.

Using the CRA Website

The CRA’s online services are a great way to access tax information conveniently. With the 'My Account' service, Canadians can view details of their tax account for the current year, as well as the previous 10 years.

The CRA typically has a 3-year reassessment period from the date of the initial notice of assessment. If you filed your return before the filing due date, the CRA could go back and reassess that return for three years after the date of the original notice. However, in cases of neglect or fraud, the CRA can go back further.

This information is detailed on the CRA’s website under their 'Reassessments and disputes' page, providing you with everything you need to know about how long CRA can reassess your taxes.

Using the CRA Mobile App

Alternatively, if you prefer using a mobile interface, the CRA offers a Business Tax Reminder app. With this app, you can track tax deadlines for installments and returns for the current and previous years.

Although the app does not explicitly mention a reassessment period, referring to the rules outlined on the CRA website about the 'My Account' service is advisable.

For more personalized information, the CRA app has a 'Contact Us' section where you can directly ask how far the agency can go back in assessing your taxes.

Using the CRA Call Centre

Some may prefer speaking directly to a representative over the phone. The CRA call centre is an excellent resource for this. Contacting the CRA representative gives you the opportunity to ask specific questions, clarify any uncertainties, and get professional advice tailored to your situation.

Just like the website and mobile app, call centre representatives will likely tell you about the typical 3-year reassessment period as well as instances where this period may be extended.

Conclusion

So, how far can the CRA go back? In short, the reassessment period is typically three years but can be extended in situations involving misrepresentation, fraud, or neglect. We highly recommend conducting your own research, either via the CRA's website, mobile app, or speaking directly to a representative at their call centre, to ensure you have the most accurate information for your specific situation.

Remember to keep accurate record of all income, deductions, tax returns, notices of assessment and reassessment for a minimum of six years, in the event that you become subject to an audit by the CRA. As always, if you are uncertain or have complex tax situations, consult a tax professional for advice.