Tax Services

Approximately 29 million individuals, businesses, trusts and other organizations are clients of the CCRA. The taxes administered, assessed, and collected on behalf of the federal, provincial (except Quebec) and territorial governments, and First Nations fund a wide range of programs and services that contribute to the social and economic well-being of all Canadians.

The Canadian tax system is based on self-assessment and voluntary compliance; our programs are aimed at promoting compliance with Canada's tax laws.

However, compliance is highly sensitive to many factors such as tax rates, perception of government, general values held by society, the economy, the structure of the tax system, and legislation. Many of these factors are beyond our control.

Tax Services programs help to ensure that the CCRA's clients receive accurate information and assistance in understanding their rights and obligations under the Canadian tax system.

Our activities include registering businesses, charities, and deferred profit sharing plans; processing and assessing returns; issuing rulings and interpretations on tax law; collecting arrears; performing reviews and audits; and identifying and prosecuting cases of wilful noncompliance. We also administer tax incentives, such as the Scientific Research and Experimental Development (SR&ED), film and other targeted credits, and deductions that generate refunds or otherwise reduce the amount of tax that would be owed.

Our ability to successfully promote compliance is strengthened by the contribution of many others such as employers and government partners. Our legislation promotes compliance by requiring employers to withhold and remit deductions at source, having businesses collect and remit GST/HST on our behalf, and providing sanctions and penalties for non-compliance. Financial institutions also assist us to promote compliance by providing convenient, accessible services to individuals and businesses so that they can receive and deposit refunds and remit tax payments on time.

The CCRA also works closely with law enforcement agencies, such as the Royal Canadian Mounted Police (RCMP), and the Financial Transactions and Reports Analysis Centre of Canada to combat money laundering and terrorist financing activities by conducting investigations into suspected tax evasion related to those activities. Working with international tax administrations and organizations such as the Pacific Association of Tax Administrators (PATA), the Organization for Economic Co-operation and Development (OECD), and Centro Interamericano de Administraciones Tributarias (CIAT) also strengthens our actions to achieve compliance.

Date modified:

2004-10-28