CRA mistakes frustrate clients, what should advisors do?

In May of 2025, the Canada Revenue Agency (CRA) paid out a $5 million tax refund to a woman in British Columbia based on what it now alleges was a fraudulent tax return containing “illogical” and “falsified” information. Beyond the material loss of tax dollars, stories like this hurt the reputation of the CRA and while most Canadians can’t say they know someone who got millions in a refund, they likely can say they’ve dealt with their own frustrations with the CRA. That might mean waiting months for a significant tax refund, getting inaccurate information from a CRA agent, or simply waiting on hold for an interminably long time to address an issue. This author can speak to his own experience of being unable to access MyCRA as he had been accidentally declared deceased (he was working and paying taxes for the whole period he was “deceased”).

All these frustrations can add up and while advisors might not be at the point of the spear come tax season, they can still serve as intermediaries between their clients and the CRA. They may have to help manage those client frustrations, while offering some best practices and tips that can help them better avoid pitfalls. At the same time, advisors say they can be advocates and help highlight these issues to improve overall service delivery.

“Canadians pay a heck of a lot of money in taxes and we expect good service and competency from the government agencies that we engage with. And when those agencies fail or they appear to fail in giving us timely service and accurate, responsible answers, I think Canadians think the deal is a little broken,” says Darren Coleman, Senior Portfolio Manager at Portage Cross Border Wealth Management.

Coleman adds that once of the more common frustrations he’s seen with the CRA, beyond headline-grabbing stories, is that information obtained from the CRA about tax is often inaccurate. When people act on that incorrect information they are considered at fault. He stresses the importance of independent verification, with an accountant or a tax lawyer, to all of his clients to help mitigate this issue.

Shiraz Ahmed, Founder & CEO of Sartorial Wealth. also sees stories like that $5 million payout impacting the reputation of the CRA. He adds that many of his and his clients’ frustrations stem from the agency’s somewhat dated portals and technology platforms. That experience of dated tech is contrasted against a high standard applied to advisors and taxpayers. Cybersecurity breaches and identity theft tied to CRA accounts has also served to degrade that credibility, in Ahmed’s view.

Ahmed’s approach to managing his clients’ CRA frustrations actually begins with a focus on cybersecurity information. He teaches them to be cautious about clicking links and to check the domain names of emails. From there, he reminds his clients that mistakes will happen, that the CRA is not infallible, and that patience is required when dealing with these agencies.

Coleman adds that the CRA has staffed up considerably in recent years, and that all this new hiring results in a large cohort of inexperienced people. He believes there may be some additional patience required as that staff gains the necessary experience, but he expressed hope that training processes might improve at the CRA to help make sure this new staff are ready to serve Canadians accurately. Coleman notes that his personal experience with the CRA has been positive and efficient, but he still believes there may be lessons for the CRA in how the private sector engages with service standards, especially in call centres, in terms of both accuracy and wait times.

Ahmed believes that advisors can play a role in advocating for positive service improvements. That could come through direct feedback given to the CRA and by engaging with members of parliament to express constructive feedback.

“Like the old saying, ‘the squeaky wheel gets the grease,’ You’ve got to make the wheel squeaky enough, so that way they actually decide to pay attention and actually grease it,” Ahmed says. “If you’re not happy with something, say something. Engage with your representatives. Contact the CRA directly. Express in a positive and not necessarily antagonistic way. But they need feedback.”