Canadian efile
Encyclopedia
EFILE is the system used by the Canada Revenue Agency
as a means for electronically transmitting tax returns. It became a national program in 1993. EFILE is only available to professional tax prepares and is not to be confused with the publicly available NETFILE
. EFILE is a form of Electronic Data Interchange
.
Canada Revenue Agency
The Canada Revenue Agency is a federal agency that administers tax laws for the Government of Canada and for most provinces and territories, international trade legislation, and various social and economic benefit and incentive programs delivered through the tax system...
as a means for electronically transmitting tax returns. It became a national program in 1993. EFILE is only available to professional tax prepares and is not to be confused with the publicly available NETFILE
NETFILE
NETFILE is a transmission service available from February through September each year that allows eligible Canadians to submit their tax return to the Canadian government using the Internet. To file using this method, you must first prepare a tax return using a Canada Revenue Agency approved...
. EFILE is a form of Electronic Data Interchange
Electronic Data Interchange
Electronic data interchange is the structured transmission of data between organizations by electronic means. It is used to transfer electronic documents or business data from one computer system to another computer system, i.e...
.
Requirements
- A form T183, Information Return for Electronic Filing of an Individual's Income Tax and Benefit Return, needs to be signed by the client.
- Software meeting CRA certification standards, such as Intuit's Profile or Microsophic Inc.'s Visual Tax.
- Must be a professional to qualify, along with passing the CRA screening of new applicants.
Advantages
- Fast and convenient, can be filed anywhere with an internet connection.
- Returns are processed much faster than conventional paper filing.
- Reduces usage of paper, saves money and is environmentally friendly.
- More reliable since you can retain paper slips, and no chance of getting return lost in mail.
Disadvantages
- Requires a professional tax preparer to file.
- Preparer must have knowledge of system and be approved by CRA to EFILE.