The Canada Revenue Agency (CRA) is piloting a Free File by Invitation program for 2 million Canadians in 2025. If you are selected, you will receive an invitation letter. But should you accept? As an accountant with 15 years of experience, here’s my perspective:
Key Considerations:
1️⃣ No Choice Over Who Files Your Taxes – Unlike hiring your own accountant or using software of your choice, you’ll have no control over who prepares your return.
2️⃣ Uncertainty About Qualifications – You won’t know if the person preparing your taxes is a certified professional, an experienced filer, or just following a basic script.
3️⃣ Unknown Level of Experience – A tax return can be simple or complex. Will the preparer have the experience to handle all possible deductions, credits, and unique situations? That’s unclear.
4️⃣ Lack of Personalization – A good tax professional understands your specific financial situation and offers tailored advice. A generic government-run service is unlikely to provide that personal touch.
5️⃣ You Are Still Responsible for Errors – Even if CRA files your return, any mistakes or missing information are your responsibility. If something is incorrect, you could face penalties or be required to pay additional taxes.
Final Thoughts:
This pilot program might be convenient for some, especially those with very simple tax situations. However, if you want control, personalized service, and peace of mind, you may want to think twice before accepting.
Would you take part in this program? Let me know your thoughts!