Unaudited Supplementary Financial Information

Financial Performance Information – Parliamentary Appropriations

Introduction

This section of the CRA Annual Report to Parliament 2008-2009 provides the details of the Agency’s resource management performance for the purpose of reporting to Parliament on the use of appropriations in 2008-2009. This complements the information provided in the spending profile sections under each Program Activity and satisfies the reporting requirements set for departmental performance reports.

Financial reporting methodologies

The CRA's funding is provided by Parliament through annual appropriations (modified cash accounting basis) and the CRA reports its expenditures and performance to Parliament, together with details on the management of Parliamentary appropriations on the same basis. In addition to the above reporting requirements, the CRA is also required to prepare its annual financial statements in accordance with the accounting principles applied in preparing the financial statements of the Government of Canada (full accrual accounting basis). Accordingly, the audited Statement of Operations - Agency Activities on includes certain items such as services received without charge from other government departments and federal agencies. A reconciliation can be found in Table 3 on .

CRA financial information

Activities of the Agency

The Financial Statements - Agency Activities reports $3,804.9 million as total Parliamentary appropriations used (Note 3 b on shows the reconciliation to the net cost of operations). The difference from the $4,198.7 million reported in this section is explained by four items reported in the Financial Statements - Administered Activities: the payments to provinces under the Softwood Lumber Products Export Charge Act, 2006, $180.5 million; the Children's Special Allowance, $211.8 million; the payments under the Energy Costs Assistance Measures Act, $0.5 million, and the Relief For Heating Expenses, $0.9 million (part of Vote 1, Program Expenditures).

Overview

For 2008-2009, Parliament approved $3,737.4 million through the Main Estimates, as shown in CRA's 2008-2009 to 2010-2011 Corporate Business Plan.

The 2008-2009 Main Estimates were adjusted to include:

• $180.5 million for the Statutory Payments related to the 2006 Canada/US Softwood Lumber Agreement;
• $134.9 million for the carryforward from 2007-2008;
• $84.0 million for maternity and severance payments;
• $74.5 million for the administration of corporate tax for the Province of Ontario;
• $58.3 million for increased Respendable Revenue mainly for information technology services provided to Canada Border Services Agency (CBSA);
• $46.0 million for Collective Agreements;
• $33.1 million for measures arising from the 2007 and 2008 Federal Budgets;
• $22.0 million transferred from Public Works and Government Services Canada (PWGSC) for accommodation services;
• $19.9 million for measures arising from the 2007 Economic Statement;
• $7.1 million for the Foreign Convention and Tour Incentive Program;
• $6.0 million for the Government advertising programs;
• $2.7 million for Court Awards and Crown Assets Disposal;
• $1.2 million transferred from Public Health Agency for the advertising campaign on the Children's Fitness Tax Credit;
• $0.5 million for the payments under the Energy Costs Assistance Measures Act;
• $1.1 million for Crown Agents - Office of the Director of Public Prosecutions; and
• $0.2 million for other minor adjustments.

These increases were offset by the following reductions:

• $17 million for the employee benefit plans costs;
• $14.2 million for private collection agencies;
• $7.1 million for statutory Children's Special Allowance payments; and
• $0.4 million transferred to the Treasury Board Secretariat for the continuing implementation of the Public Service Modernization Act and to the Public Service Human Resources Management Agency to support the National Managers' Community.

This resulted in total approved authorities of $4,370.7 million for 2008-2009, representing an in-year increase of 16.9% over the Main Estimates.

Of the $4,370.7 million total authority, CRA's actual spending totalled $4,198.7 million resulting in $172.0 million remaining unexpended at year-end. After deducting unused resources related to the proposed Offshore Trusts initiative and Public Opinion Research savings, the remaining $147.1 million is available for use by the Agency in 2009-2010. This amount represents 3.4% of the total authority.

The $147.1 million carry forward to 2009-2010 will be directed primarily to selected strategic investments related to:

• Major project and infrastructure spending (Compliance Systems Redesign, Tax Free Savings Account, Major Tenant Services and Information Technology Infrastructure);
• Special purpose funding (Softwood Lumber, Charities Partnership and Outreach Program, Corporate Tax Administration for Ontario, Ministère du Revenu du Québec for the Administration of the GST); and
• Other operational and workload pressures.

Revenues administered by the Agency

Total revenues administered by the CRA totalled some $287.5 billion, a decrease of 1.8% from the $292.9 billion administered in 2007-2008.

Date modified:

2009-11-05