Cyber Attack Residue: Taxpayers Still Struggle with CRA Services

Beth Graddon

Taxpayers who are filing 2020 tax returns and need to report a move to a new address will have a new hurdle to overcome in changing their address with the CRA.  This is due to the cyber security incidents dating back to August of 2020.

The CRA has responded by disabling some of the services within their online portals. One of these was access to change an address online - a necessary step prior to filing for taxpayers who moved last year.

While the option has been reinstated for the majority of taxpayers, 800,000 Canadians who were locked out of their accounts in February of 2021 may

How can this be solved? Typically, taxpayers are directed to call the CRA to have their information updated, but lengthy wait times due to an unprecedented complex tax season have been occurring. The CRA had promised to improve its call centre service this tax season by hiring 2,000 additional agents and contracting a third-party service provider that would not have access to taxpayer’s information but could help with general inquiries. According to reports, it appears as though the implementation of these changes may still be outstanding.

In lieu of waiting to reach an agent, address changes can be submitted by printing and mailing an online form. However, processing times may take upwards of two weeks and with the April 30 tax filing deadline just around the corner, those affected should act quickly to resolve this.

An alternative is to work with a tax services specialist to maximize time efficiencies during this complex tax season. Many services that individual taxpayers find unavailable can be accessed by professionals through the Represent a Client portal. 

Security an Ongoing Challenge.  The CRA has been working to increase their security in order to ensure that these types of cybersecurity issues don’t occur in the future, which includes new multi-factor authentication measures. The CRA has also stated that they will enforce the following security measures for compromised accounts:

For Individuals:

• Disable access to taxpayer account(s)
• A letter with instructions on how to validate the taxpayer’s identity to regain access will be forwarded
• Taxpayers are to assess whether they need to be offered creditor protection services, which are free of charge
• CRA may also temporarily stop sending any benefit and credit payments until identity has been validated and access to the online account has been restored
• CRA will work with tax filers to restore personal information
• CRA will work with tax filers to ensure they are not held liable for fraudulent claims and payments made on their account (this includes ensuring fraudulent claims do not impact the tax filer ini the next tax filing season)

For Businesses:

• CRA may temporarily stop payments to the business pending validation of account identifies
• CRA will disable any applicable web access codes which would have allowed for electronic filing of Canada Emergency Wage Subsidy (CEWS) applications and/or information returns
• CRA Will work with the tax filer to re-activate their business account, resume payments intended for the business and request new access codes.
• CRA will notify the tax filer if the personal and taxpayer information of employees may have been accessed without authorization.

Additional educational resources: These issues will be discussed in more detail at the upcoming CE Summits in May and September. Please register early to receive online materials and food for the day.

As the Pandemic exasperates an already complex tax regime that will continue to affect  tax filing continue in 2021 and beyond, now is a great time to start a new career or embellish on existing services by enrolling to get new credentials to provide an essential service and help Canadians as a DFA-Tax Services Specialist™.