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Your taxes may soon be filed automatically

Aug 6, 2024

Your taxes may soon be filed automatically

Good news for Canadians who hate filing taxes: Your taxes may soon be filed for you. This summer, the Canada Revenue Agency (CRA) is testing a new system that would automatically file basic tax returns. This pilot could help dish out up to $1.6 billion in benefits during the 2025 tax season to the 10% to 12% of Canadians who don’t file their taxes. Many of these people are low-income Canadians who, despite not actually having to file if they have no taxable income or taxes owing, miss out on government benefits. For example, around 172,210 families miss out on the Canada child benefit, according to the parliamentary budget officer, which adds up to $675 million that is missed in benefits. The new system would become available to people who have uncomplicated taxes and can be done by phone, online, or by mail using the CRA’s SimpleFile service. It also promises to get you your refund faster — the process should take just 10 minutes, after which point your refund could be immediately available. So far, 2 million Canadians have been invited to join the pilot, and, if successful, the program could roll out nationwide.

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