(April 27 – 14:15 ET) – Filing taxes online is catching on. More than 35% of Canadian internet users say they plan to file their taxes online this year, according to a recent study conducted by Ipsos-Reid.

The study of 1,000 regular internet users shows that the web may play a much greater role with respect to tax filing, with 52% planning to file their taxes online in the future. Filing online is more likely among those who have been connected to the internet for three years or more — at 37%. A significantly higher percentage of frequent online shoppers said they plan to file online this year.

The Canadian Customs and Revenue Agency says its research of the 13 million who have filed taxes this year, one million have done so using their computers. “As the deadline approaches, the convenience and efficiency of filing online will be attractive to a good percentage of the remaining 10 million Canadians yet to file,” says Marcie Sayiner, Senior Research Manager with Ipsos-Reid.

“As for the reasons why Canadians prefer not to file online, the clear majority (72%) still prefer to file through an advisor and, for one in three, issues of privacy and security remain a concern.” Accordingly, paper remains the favorite way of filing, says the CCRA, although mailed-in returns have decreased to 7.8 million, from 8.7 million last year.

Of those who plan to file their taxes online this year, there is an almost even split across gender and age, with those aged 55 and years up almost as likely to file online as those aged 18-34 years — 39% and 34% respectively.) Regionally, more Canadians in the Atlantic Provinces, Ontario and BC are expected to file online in 2001.
-IE Staff