The 2025 tax season in Canada has faced multiple complications, including duplicate tax slips appearing in online accounts and error codes preventing electronic submissions.
These issues, reported by The Globe and Mail, have raised concerns among tax professionals and Canadians alike.
Duplicate Tax Slips in CRA Accounts
Several accountants have reported that multiple clients have found identical tax slips, such as T4 and T4A slips, appearing in their Canada Revenue Agency (CRA) accounts.
T4 slips record employment earnings, while T4A slips cover other sources of income, including pensions. This issue has caused confusion and delays for taxpayers and accountants who rely on accurate records for filing.
Electronic Filing Challenges
In addition to the issue of duplicate slips, many users attempting to file electronically have encountered error codes that block the submission of their returns.
Steven Watson, Executive Director of the EFILE Association of Canada, emphasized that such errors should not occur, highlighting that the system should be more robust and properly tested.
The CRA had previously warned that a system update in January had caused challenges for employers and financial institutions attempting to upload tax data.
This update introduced stricter slip verification protocols, which led to issues such as missing tax slips in CRA accounts. However, it remains unclear if this same update is responsible for the duplicates or the error codes.
CRA’s Response to Duplicate Slips
Ryan Minor, Director of Taxation at Chartered Professional Accountants of Canada, confirmed that the CRA acknowledged the issue of duplicate slips and pledged to correct it internally. However, the CRA has advised issuers not to remove duplicate slips on their own.
Watson noted that tax preparers have flagged that some slips available on the CRA portal are incomplete compared to their paper versions.
As a result, taxpayers are advised to rely on the slips directly received from employers or banks and manually cross-check the information in their CRA accounts to avoid discrepancies.
Risks Associated with Duplicate and Missing Slips
Tax professionals have raised concerns about the potential consequences of relying solely on CRA’s auto-fill feature. Missing slips could lead to underreported income, while duplicate slips might result in overreporting income and overpaying taxes.
Hugh Neilson, Director of Taxation Services at Kingston Ross Pasnak LLP, advised taxpayers to file their returns based on actual income and contact the issuer if they identify duplicate slips in their CRA account.
CRA’s Update and Relief Measures
On April 14, 2025, the CRA acknowledged the error code issue affecting both tax professionals and individual filers. The CRA assured that they are tracking these cases and working towards a resolution.
If the issue remains unresolved by the April 30th deadline, the CRA has pledged to waive penalties and interest for affected taxpayers.
To qualify for relief, the taxpayer must have attempted to submit their return electronically by April 30th and encountered a specific error code that they were unable to resolve despite taking corrective actions.
Strain on Tax Preparers
Watson expressed frustration with the current process, which forces tax preparers to continuously monitor and reattempt submissions for clients. He described the protocol as “not ideal,” adding additional stress to an already challenging tax season.
Minor also raised concerns about the timing of potential fixes. If the CRA resolves the issue close to the April 30th deadline, tax professionals will face a last-minute rush to refile returns, further compounding the stress of the tax season.
Impact on Seniors and Pension Recipients
The issue of duplicate slips has already caused complications for Old Age Security (OAS) clawback calculations, particularly for seniors and pension recipients.
This has added extra pressure for older Canadians, who rely on accurate tax filings to ensure they are not penalized due to administrative errors.
No Extension for Filing Deadline
Despite ongoing technical issues, the CRA has not announced an extension for the April 30th filing deadline.
Tax professionals have not been informed of any changes to the deadline, which means that taxpayers must still adhere to the original date despite the system challenges.
CRA’s Ongoing Guidance
The CRA continues to update its official website with guidance on the most frequently reported errors, including advice on how to handle common e-filing issues. Taxpayers are encouraged to refer to these updates for solutions to the ongoing problems.
The 2025 tax season in Canada has been marked by significant issues, including duplicate tax slips and electronic filing errors. These complications have placed additional strain on both taxpayers and tax professionals.
While the CRA is working to address these issues, taxpayers are advised to manually verify their slips and not rely solely on CRA’s auto-fill feature. As the deadline approaches, affected individuals should monitor updates from the CRA for relief measures and guidance on how to proceed.
FAQs
What are duplicate tax slips in CRA accounts?
Duplicate tax slips are instances where identical T4 or T4A slips appear in a taxpayer’s CRA account, leading to confusion or incorrect filing.
How does the error code issue affect electronic filing?
Error codes prevent tax returns from being submitted electronically, blocking both tax professionals and individuals from filing their taxes online.
Will CRA extend the tax filing deadline due to these issues?
As of now, the CRA has not announced an extension for the April 30th filing deadline, despite the ongoing technical difficulties.