April 1, 2016

Filing Your Taxes Electronically

April is tax time, and the clock is ticking to deadline day on April 30. One of the ways Canada Revenue Agency (CRA) has available to help you file more easily is NETFILE, an electronic tax-filing system. It allows individuals to send their income tax and benefit returns directly to the CRA.

NETFILE Benefits
The NETFILE system has a number of benefits. It is secure and confidential, and you don’t need to mail a paper return or receipts (though you should keep them in case CRA asks for them at a later date). You get an instant confirmation number that indicates that your return was received. Write down and keep that number for your records. If you’re eligible for a refund, it is typically issued faster through NETFILE than if you submit a paper return. Your Notice of Assessment will be mailed to you unless you are registered with CRA for on-line mail.

Most people’s returns can be filed using NETFILE, but there are some restrictions. You’re not eligible to use NETFILE if a tax preparation service completes your taxes or if you have to change your tax return after you’ve submitted it.

Compatible Software
To use the system, you need the Internet and a NETFILE-certified software product. The list of software programs that are compatible with NETFILE includes Turbo Tax, TaxTron and UFile. The full list of compatible programs may be available from the CRA. The CRA also outlines important factors for you to consider when deciding if you should use these external software programs.