Navigating the Complexities of CRA Audit Assessments 

If you’ve undergone a CRA Audit and received an assessment, you might be considering how to contest the results. A Chartered Professional Accountant (CPA) can be instrumental in this process. This guide doesn’t cover your duties during a CRA Audit or the initial approach but focuses on the steps to challenge a CRA (re)assessment. 

Key Steps in Challenging a CRA Audit Assessment: 

• Understanding the Timeline: Once you receive a Notice of (Re)Assessment, you have 90 days to object. This period begins from the date the notice was sent, not when you received it. 

• Filing an Objection: For income tax, use form T400A, and for GST/HST, use GST159. While the form isn’t mandatory for income tax objections, it is required for GST/HST. Your objection should be properly addressed to the CRA and include your reasons and all pertinent facts. 

• Navigating the Legislation: The complexity of tax legislation makes understanding the appropriate reasons for objection and identifying relevant facts challenging. This is where a CPA’s expertise becomes crucial. 

• Further Actions if Objection is Denied: If your objection is not accepted, you can request a second-level review or appeal to the Tax Court within 90 days of the CRA’s decision. Alternatively, if the CRA doesn’t respond within 90 or 180 days, you can directly approach the Tax Court. 

• Professional Assistance: A CPA not only helps in deciding the right course of action but also prepares the necessary materials and arguments for a successful challenge. 

Remember, each case varies depending on the findings of the CRA Audit, and professional guidance is key to navigating this complex process.