Disputing a Notice of Reassessment

If your income tax return has been reassessed by the Canada Revenue Agency with the outcome that you owe significantly more taxes than you initially thought, here is a list of steps for filing a Notice of Objection:

  • First, contact the CRA and meet with an accountant to determine why you’ve been reassessed. You may conclude that certain deductions were not valid. On the other hand, you might decide that the reasons for CRA’s reassessment was unreasonable and that you want to appeal their decision further.
  • If you do decide to object to the reassessment, you must file a Notice of Objection with the Appeals Branch of the CRA. This can be in a form of a letter to the Chief of Appeals. Here is a sample letter from CRA’s website:

  • Send the Objection promptly – the time limit is 90 days after Notice of Reassessment was mailed to you, or one year after the filing deadline for the tax year in question (e.g., 30 April 2011 for your 2010 tax return).
  • The objection should briefly state what you’re objecting to and why.
  • The Objection should include the following information:
  • Your name and address
  • a daytime telephone number
  • the date of your notice of assessment
  • the taxation year (if applicable)
  • your social insurance number or Business Number
  • the facts and reasons for your objection
  • all documents that support your objection; and
  • the name and address of your authorized representative (if applicable)
  • Your signature and the date.
  • If you are successful, the Appeals Branch will agree that the reassessment was a mistake. On the other hand, if you are unsuccessful, they will send you a notice that confirms the previous assessment.
  • If you aren’t fully successful in the objection, you can appeal the decision to the Tax Court of Canada.

This post is for information purposes only and should not be interpreted as tax advice or a legal opinion. Please consult with us to review your own particular circumstances.

© Copyright Jenny Lin, 2010.