Canadian tax authorities and the accounting profession are teaming up in an effort that aims to cut down on red tape, enhance tax compliance, and improve service to taxpayers.
The Canada Revenue Agency (CRA) and the Chartered Professional Accountants of Canada (CPA Canada) signed an agreement Wednesday, which, they say, signals a new era of cooperation between the tax collection agency and the accounting profession in order to improve the operation of the tax system. The agreement, which is a first between the agency and accountants, is also intended to promote regular dialogue between the two organizations on tax-related issues, and to ensure that input from accounting professionals is considered by the CRA.
The agreement includes the creation of seven committees that focus on “priority” areas, including: services, compliance, tax administration, scientific research and experimental development, commodity tax, red tape reduction, and training. Those committees are each co-chaired by representatives from the CRA and CPA Canada.
The CRA says that the agreement is a key element in its efforts “to build strong relationships with the Canadian accounting community and tax service providers so that Canada continues to have a well-functioning and world-class tax system that benefits all Canadians.”
“I am pleased to sign the CRA–CPA Canada Framework Agreement on behalf of our more than 190,000 members. This framework ensures that input from Canada’s accounting professionals is considered by the CRA as it continues to modernize its programs and services. Our profession looks forward to enhanced collaboration with CRA as we collectively focus on a fair and efficient tax system for Canada with the best interests of taxpayers the key priority,” said Kevin Dancey, president and CEO of the CPA.
“I am pleased that the CRA-CPA Canada Framework Agreement formalizes an important partnership. This agreement will help a clear path forward on how we will seek improvements to our tax system to better serve Canadian taxpayers,” said Minister of National Revenue Kerry-Lynne Findlay.