If CRA misspells your name be prepared for a lot of red tape

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One of many greatest threats dealing with the monetary companies trade is the danger of identity theft, which is the unauthorized use of your data by third events who try to gather private details about you, reminiscent of your identify, date of delivery, handle, social insurance coverage quantity and different particulars, for prison functions.

It’s no surprise, then, that the Canada Revenue Agency (CRA) takes the safety of taxpayer data “very significantly” and has put in place a wide range of measures to establish suspicious exercise involving taxpayer accounts.

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I’m wondering, nonetheless, if the company could have gone a bit overboard in its try and safeguard taxpayers’ confidential data, placing into place such strict guidelines and procedures that forestall its personal employees from having the ability to make educated danger assessments when making an attempt to resolve taxpayers’ issues.

For instance, let me describe my ongoing try to repair a CRA typographical error that, as of the time of writing, has but to be resolved.

My youngest son turned 18 in 2023. He filed his first income tax return for 2023 to report withdrawals from his registered education savings plan. Regardless of having had a social insurance coverage quantity since shortly after delivery, he was unable to register for the CRA My Account as a result of, apparently, that you must file a tax return first earlier than gaining entry.

In consequence, he couldn’t use AutoFill to finish his return, so his tax slips needed to be manually entered into the tax software program. The return was ultimately assessed as filed with no steadiness owing.

However when a CRA discover of evaluation was acquired and the mandatory steps had been taken to register him for the CRA My Account, the company someway misspelled his final identify as “Golobek,” which is what seems each on-line and on his printed discover of evaluation. That is odd, contemplating that his identify was appropriately spelled on his social insurance coverage card in addition to on his first T1 tax return, which was ready utilizing licensed tax software program.

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Virtually, it in all probability doesn’t matter that his surname is misspelled, nevertheless it looks as if one thing that should be corrected in some unspecified time in the future. This, because it seems, just isn’t a simple job.

As his accountant and licensed consultant, I reached out to the CRA on his behalf by cellphone final week. I used to be advised the wait time to talk to an agent can be between one and two hours. The excellent news was that fairly than ready on maintain, I may select to obtain a callback when it was my flip, which I elected to do.

Sadly, that decision got here whereas I used to be in a gathering so I couldn’t reply it. I needed to begin once more, so after my assembly, round 3 p.m., I referred to as the CRA and was knowledgeable that the wait time was roughly two hours. Requested if I wished a callback, I chosen sure, however this time I used to be met with a brand new message saying a callback was not an possibility that day, presumably as a result of the two-hour window would stretch previous the 5 p.m. closing time of the CRA name centre. I gave up and determined to strive once more one other day.

On Monday morning, recent with new resolve, I referred to as the CRA again and the recorded message I acquired was that the wait time was “underneath one hour.” I used to be ecstatic. However my pleasure didn’t final very lengthy as I didn’t get the callback possibility and I used to be unwilling to stay on maintain whereas listening to music for an hour. I referred to as again afterward Monday afternoon, and this time I acquired the message that I may obtain a callback in “one to 2 hours.” Good.

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Certain sufficient, simply earlier than the two-hour mark, I acquired my callback. The CRA agent was very pleasant, well mannered and understood the problem instantly. He confirmed I used to be the licensed consultant on my son’s tax account. He had me confirm my son’s id through his full identify (misspelling and all), handle, date of delivery, social insurance coverage quantity and Line 15000 of his return. I used to be then knowledgeable that regardless of verifying all this information, I might must be transferred to a higher-level agent since I used to be requesting a change of private data.

After about 10 minutes, I spoke to a different pleasant agent, who requested for all the identical data above to confirm my son’s id. However for an additional measure of safety, she wished to know the identify of the issuer of one in all my son’s T-slips. I had to enter a submitting cupboard, pull out his tax folder and provides her that data.

I used to be then knowledgeable that, sadly, she can be unable to course of this typographical identify change as I solely had “second-level authorization.” To vary his identify, even to right a typographical misspelling error the CRA made, I would wish the next degree of authorization, particularly, I must be my son’s authorized consultant.

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That takes issues to an entire different degree. You see, a authorized consultant is a person (or group) appointed by a authorized doc, reminiscent of being named guardian, trustee or committee by a court docket, named as the ability of lawyer or named in a illustration settlement. Alas, on condition that my son simply turned 18 and was a authorized grownup, I used to be not one of the above.

The agent then requested if I may get my son on the cellphone, which I mentioned I might do. Minutes later, I had joined all three of us on the decision, however by this level, the CRA agent had disconnected herself and transferred the decision to the automated buyer satisfaction survey I had agreed to take after I first referred to as. Reasonably than reply to the survey with my son on the road, I hung up and thought that maybe my suggestions ought to be shared extra broadly.

I’m positive we’ll get this fastened sooner or later, however within the meantime, in the event you occur to return throughout an 18-year-old who seems a bit like me, however has the final identify Golobek, you must know that we’re certainly associated.

Jamie Golombek, FCPA, FCA, CFP, CLU, TEP, is the managing director, Tax & Property Planning with CIBC Non-public Wealth in Toronto. Jamie.Golombek@cibc.com.

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