Indian envoy warns of 'big red line,' days after charges laid in Nijjar case
India's envoy to Canada insists relations between the two countries are positive overall, despite what he describes as 'a lot of noise.'
As some vulnerable Canadians who don't file their taxes miss out on benefits, the Canada Revenue Agency is expected to pilot a new automatic system next year.
This week's federal budget said the agency will also present a plan by 2024 to expand the service, following consultations with stakeholders and community organizations.
The move toward automatic tax filing, first promised in the 2020 speech from the throne, is one of several budget measures the Liberals say are meant to help Canadians with the cost of living.
Jennifer Robson, an associate professor in political management at Carleton University, said she's "cautiously optimistic" about the move.
"This has the potential to be transformative," said Robson, who has published research on people who don't file their taxes.
Automatic tax filing is already a reality in many other countries, including the United Kingdom and New Zealand.
Robson said that in Canada, it would likely involve the CRA pre-filling a tax return with the information it has on file. Then the agency would give the individual an opportunity to update the return or submit additional information, such as eligible medical expenses.
Experts and advocates have called for automatic filing, noting many vulnerable Canadians miss out on benefits to which they are entitled.
Canadians are generally not required to file tax returns every year unless they owe money, but the federal government is increasingly relying on the Canada Revenue Agency to deliver income-tested benefits to individuals.
That includes Canada Child Benefit, as well as the recent top-up to the Canada Housing Benefit and the temporary doubling of the GST tax credit.
Although a move toward automatic filing isn't a "shiny new program," it's a small change that could have a significant impact on affordability, said a former head of economic strategy and planning for Prime Minister Justin Trudeau's government.
"Sometimes, actually, having a big transformational impact on people's lives can come through doing some boring stuff," said Tyler Meredith.
"For many people who might not be receiving some of those benefits today that they're entitled to, that's potentially thousands of dollars that they could access."
A 2020 report co-authored by Robson estimates that 10 to 12 per cent of Canadians don't file their taxes. Although there were non-filers across all income groups, they were most heavily concentrated in lower income brackets.
The report estimated the value of benefits lost to working-age non-filers was $1.7 billion in 2015.
Beyond getting benefits to people, Meredith said the change might also help the federal government better connect with underserved individuals.
As people become aware of the benefits they're entitled to, they might be encouraged to explore their personal accounts with the CRA or Service Canada to learn about other government programs available to them, he said.
A move toward automatic filing would pose a threat to the tax preparation industry, which relies on people needing to proactively file their taxes. But Robson said some people may still want to seek professional help.
"There's going to be some continuing need for those services in the sense that there will be people who have complicated tax situations who need the advice of professionals and advisors," Robson said.
But how long will it take for automatic filing to be a reality?
Robson said it'll depend on both the CRA's administrative capacity as well as the federal government's political will.
The federal budget also said the Canada Revenue Agency will expand access to a service set up in 2018 that allows some Canadians with lower or fixed incomes to auto-file simple returns over the telephone.
The budget says that two million Canadians will be eligible for that service, called "File My Return," by 2025, which is nearly three times the number of people who can use it now.
This report by The Canadian Press was first published March 30, 2023.
India's envoy to Canada insists relations between the two countries are positive overall, despite what he describes as 'a lot of noise.'
With Donald Trump sitting just feet away, Stormy Daniels testified Tuesday at the former president's hush money trial about a sexual encounter the porn actor says they had in 2006 that resulted in her being paid to keep silent during the presidential race 10 years later.
The U.S. paused a shipment of bombs to Israel last week over concerns that Israel was approaching a decision on launching a full-scale assault on the southern Gaza city of Rafah against the wishes of the U.S.
Footage from dozens of security cameras in the area of Drake’s Bridle Path mansion could be the key to identifying the suspect responsible for shooting and seriously injuring a security guard outside the rapper’s sprawling home early Tuesday morning, a former Toronto homicide detective says.
A chicken farmer near Mattawa made an 'eggstraordinary' find Friday morning when she discovered one of her hens laid an egg close to three times the size of an average large chicken egg.
Susan Buckner, best known for playing peppy Rydell High School cheerleader Patty Simcox in the 1978 classic movie musical 'Grease,' has died. She was 72.
Accused killer Jeremy Skibicki could have a challenging time convincing a judge that he is not criminally responsible for the deaths of four Indigenous women, a legal analyst says.
A Calgary bylaw requiring businesses to charge a minimum bag fee and only provide single-use items when requested has officially been tossed.
Two Nova Scotia men are dead after a boat they were travelling in sank in the Annapolis River in Granville Centre, N.S., on Monday.
An Ontario man says he paid more than $7,700 for a luxury villa he found on a popular travel website -- but the listing was fake.
Whether passionate about Poirot or hungry for Holmes, Winnipeg mystery obsessives have had a local haunt for over 30 years in which to search out their latest page-turners.
Eighty-two-year-old Susan Neufeldt and 90-year-old Ulrich Richter are no spring chickens, but their love blossomed over the weekend with their wedding at Pine View Manor just outside of Rosthern.
Alberta Ballet's double-bill production of 'Der Wolf' and 'The Rite of Spring' marks not only its final show of the season, but the last production for twin sisters Alexandra and Jennifer Gibson.
A mother goose and her goslings caused a bit of a traffic jam on a busy stretch of the Trans-Canada Highway near Vancouver Saturday.
A British Columbia mayor has been censured by city council – stripping him of his travel and lobbying budgets and removing him from city committees – for allegedly distributing a book that questions the history of Indigenous residential schools in Canada.
Three men in Quebec from the same family have fathered more than 600 children.
A group of SaskPower workers recently received special recognition at the legislature – for their efforts in repairing one of Saskatchewan's largest power plants after it was knocked offline for months following a serious flood last summer.
A police officer on Montreal's South Shore anonymously donated a kidney that wound up drastically changing the life of a schoolteacher living on dialysis.