Standing Committee on Public Accounts (PACP) - October 23 2025

On this page

• Opening Remarks
• Issue Notes
  • OAG Report-related
  • 100-Day Plan-related
  • Performance Issues
  • Staffing Issues
  • Service Issues
• Supporting Documentation
• Parliamentary Information
  • PACP Member Profiles
  • Relevant PACP Meeting Recaps

Opening Remarks

Mr. Chair, thank you for the opportunity to present the Canada Revenue Agency’s actions in response to the Auditor General’s audit of its contact centres.

The Agency accepts the audit’s findings and acknowledges the importance of delivering timely, accessible service to Canadians.

With nearly 200 million service transactions annually, service delivery is central to the Agency’s mandate. We value our employees who give their best in serving Canadians. And we are committed to providing them with better tools to carry out their mission.

To address the audit’s recommendations, the Agency is building on its 100-Day Service Improvement Plan, running from September 2 to December 11, 2025.

This plan is structured around four key pillars:

1. Increasing the ability to answer more calls;
2. Expanding online self-service options;
3. Addressing root causes of service issues; and,
4. Accelerating service modernization.

Pillars 1 and 2 will deliver short-term results, while Pillars 3 and 4 focus more on longer term impact, beyond the 100-Day Plan.

Let's talk about results in the short-term, particularly on the accessibility of services.

The Agency increased the number of contact centre representatives. As a result, the percentage of calls answered has exceeded the plan’s target of 70%.

The Agency is enhancing its self-service digital options, including optimizing the website, adding features in My Account and expanding AI-based chat support.

To date, improvements include:

• Live chat support through My Account is now available from 8 a.m. to 8 p.m. (ET).
• Users with locked accounts can now regain access by re-registering, eliminating the need to call.
• Taxpayers with debts of $1,000 or more can now set up payment arrangements directly through My Account, bypassing the need to talk to a collections officer.
• By early November, the GenAI chatbot on Canada.ca will be able to answer a broader range of questions, from 6,000 current Agency webpages of content to over 18,000 webpages.

In the short term, efforts are also underway to improve the accuracy of responses provided by our contact centres

While we agree with the Auditor General’s findings, it is important to highlight certain nuances that, we hope, will reassure Canadians.

In 2018, the Agency implemented a new telephone system with call recording, a quality assurance program, targeted training, and technology-driven oversight.

During the last fiscal year, the Agency evaluated over 100,000 calls as part of this quality assurance program. Of these, 80% were related to specific taxpayer files. According to our results, these calls achieved an accuracy rate of 94%, which is confirmed by the Auditor General.

However, the Agency fully acknowledges that the remaining 20% of calls, which are related to general inquiries, still require improvement. In fact, the audit tested 167 calls related to general inquiries from individuals — which represents a small sample size — and the results showed that the Agency’s responses had an accuracy rate of 17%. This situation is concerning, and we are taking steps to address it.

To respond to audit findings, our quality assurance program is refocusing its evaluation criteria to emphasize the accuracy and completeness of information shared with callers.

Evaluations will more effectively inform improvements, including updated training materials, revised procedures, and individualized coaching.

Now let’s turn to longer-term improvements, which will extend beyond the 100-Day Plan.

In Pillar 3, it was also crucial for the Agency to identify and resolve the root causes of service-related problems.

Among these causes, we observed that the Agency’s high call volume is driven by population growth, evolving tax complexity, and lack of widespread self-serve tools.

As more Canadians seek personalized support, especially for nuanced topics, agents respond to longer, more detailed calls.

Many issues require expert guidance beyond digital platforms, reinforcing the need for accessible, responsive service channels.

To address these challenges, the Agency is:

• Reducing tax adjustment backlogs by encouraging Canadians to use digital tools for faster processing;
• Reallocating resources to high-demand areas such as Canada Child Benefit claims and Disability Tax Credit applications;
• Analyzing and leveraging expertise as we aim to identify how technology and simpler processes—such as online and self-serve options—can resolve issues before individuals feel the need to call. And we are consulting experts both within the Agency and outside of government to find the most effective solutions.

Finally, under Pillar 4, as part of its long-term modernization strategy, the Agency assisted Shared Services Canada with the award a new competitive contract for a Contact Centre as a Service platform—a cutting-edge, secure, and reliable cloud-based technology used by leading organizations globally.

The Agency will also support Shared Services Canada in improving processes and clarifying roles and responsibilities to strengthen oversight and cost management of contracts with a revised agreement to be finalized in January 2026.

This new cloud-based platform will help provide a solid foundation for contact centre representatives, who will be equipped with state-of-the-art tools to carry out their mandate. It will allow Canadians to seamlessly move across service channels, improving their experience.

The Agency is fully committed to taking swift and sustained action to improve service delivery in its contact centres.

The 100-day plan has already yielded tangible results in the short term, and the Agency intends to make sustainable improvements in the longer term as well – including the implementation of modern platforms and AI tools – which will ensure continued progress.

We are pleased to answer your questions.

Thank you, Mr. Chair.

Issue Notes

OAG Report-related

OAG Report (Overall)

Issue: Does CRA agree with the OAG Report and its recommendations?

Key Points:

• The CRA accepts the findings of the OAG's audit and agrees with all the recommendations
• The report clearly highlights ongoing service challenges at the CRA's call centres and urgent need for improvement
• CRA is working to address these issues
• The 100-day Service Improvement Plan announced recently is already achieving notable improvements
• CRA will continue to strengthen services and reduce delays to deliver results for Canadians

OAG Report (Improving Accuracy)

Issue: How is CRA improving contact centre accuracy?

Key Points:

• The CRA accepts the OAG's recommendation to improve response accuracy and completeness
• We have implemented a combination of structured quality assurance reviews and targeted training to drive improvements since the previous OAG report
• That includes providing feedback and coaching to service representatives when necessary, and continuously updating procedures so responses are accurate, clear, and consistent
• User and caller experience is a priority for the CRA, that’s why we review an average of five calls per service representative on a monthly basis for quality and accuracy, which equates to 130,000 calls reviewed per year
• This quality evaluation process serves to identify knowledge gaps so that we can identify the most targeted training, coaching and learning opportunities
• During the 2024-25 fiscal year, CRA’s quality evaluators completed over 130,000 quality reviews, achieving an accuracy result of 94%
• Account-specific calls represent about 80% of CRA’s total calls received and have higher quality & accuracy results; non account-specific calls only represent about 20%
• This fall we are automating part of our quality assessment process for call centre service representatives
• We are also conducting a review of our overall evaluation framework to improve call completeness and accuracy by September 2026, aligning with expected changes brought on by the CCaaS platform, as we take advantage of its capabilities

OAG Report (Contact Centre Contracts)

Issue: What is the CRA doing to improve accountability with regards to contact centre contracts?

Key Points:

• The CRA will support Shared Services Canada (SSC) in improving processes and clarifying roles and responsibilities to strengthen oversight and cost management of contracts with a revised agreement to be finalized in January 2026
• Lessons learned from our current call system were applied during the procurement process for the new contract - Contact Centre as a Service Contract (CCaaS), such as:
  • Identifying current challenges and desired outcomes during procurement, aiming for a future-ready cloud-based contact centre solution
  • Contracting with CRA and Bell Canada directly, providing CRA with technical authority
  • Shifted from prescriptive requirements to outcome-based needs, emphasizing alignment with industry best practices and minimizing customization to deliver a modern, high-quality service

OAG Report (Shared Services Canada role)

Issue:What is Shared Services Canada (SSC) role in contracts for CRA’s contact centres? What role does CRA have in them?

Key Points:

• As per the Shared Services Canada Act, SSC is responsible for procuring goods and services related to the infrastructure and management of applications necessary for Government of Canada (GC) Contact Centre Services
• The current SSC contract with IBM serves a wide range of GC clients, including the CRA, and will expire on October 29, 2027

Bell Canada contract

• CRA worked closely with SSC on a new contract, awarded in July 2025 to Bell Canada, which is for the sole use of the CRA
• The Bell Canada new contract will:
  • address lessons learned from the IBM contract – for instance, bundling services for specific outcomes rather than issuing individual service orders, as is the case under the current IBM contract
  • be specifically tailored to meet the CRA's needs, accommodating various operational scales and complexities
  • provide the CRA with more detailed billing information, while simplifying the complexity of the invoicing, giving the CRA stronger oversight and improved visibility of contract costs

Background:

• Under the Shared Services Canada Act, SSC is responsible for procuring the government-wide contact centre infrastructure and related services. As such, the CRA does not have procurement authority in this domain.
• Since 2015, the CRA has relied on SSC’s contract with IBM for Hosted Call Centre Services (HCCS). This contract was designed as a government-wide solution and therefore lacked tailored services for the CRA’s specific needs.
• Recognizing the limitations of HCCS, the CRA worked closely with SSC to define requirements for a new solution.
• Following a competitive process, SSC awarded a contract to Bell Canada for a Contact Centre as a Service (CCaaS) platform. Unlike the ad-hoc HCCS arrangement, the CCaaS model delivers integrated, outcome-based services that can be scaled and customized to the CRA’s operations.
• To support sound stewardship, SSC and the CRA are implementing a formal governance framework with clear roles, responsibilities, and oversight processes. Under the new Bell contract, the CRA will benefit from detailed billing information, allowing for improved oversight of the contract costs.

2017 OAG Report on Call Centres

Issue: Did the CRA implement the OAG’s 2017 recommendations to improve call centre performance?

Key Points:

• CRA agreed with all the OAG recommendations in 2017
• CRA implemented changes to address the call centres issues identified at that time by the OAG, including:
  • migrating to the new telephone platform in the 2018-19 fiscal year, which allowed CRA to give callers estimated wait times, advanced call routing, implemented call recordings, and more
  • introducing more self-serve options
  • making changes to the queue wait times
  • altered training of contact centre service representatives
  • bringing in a revamped Quality Monitoring Program
• Nevertheless, in the nearly decade since that OAG report, new challenges have emerged that CRA is currently addressing

100-Day Plan-related

100-Day Plan (high-level overview)

Issue: What is CRA’s 100-Day Plan (‘the Plan’)?

Key Points:

• We know Canadians are waiting too long for CRA support
• We need to improve service delivery and we have a plan
• 100-Day Service Improvement Plan is underway, focused on:
  • increasing call centre capacity
  • expanding digital self-service tools
  • addressing root issues, and
  • modernizing services
• Specific efforts to implement the Plan include:
  • reallocating resources
  • extending contracts for support staff
  • new tools to close the gap between calls received and answered
  • targeted teams addressing high-demand areas (like T1 adjustments, Disability Tax Credit applications, and Canada Child Benefit claims to reduce processing time and related call volumes)
  • accelerating plans for a new contact centre platform
  • enhanced digital tools like expanded AI chat support, helping Canadians get answers faster

Pillar 1: Increase Ability to Answer Calls

Issue: How will CRA answer more calls?

Key Points:

• CRA answers 25-32 million calls per year (approximately 16-17 million of which are from unique callers) but unfortunately the demand is exceeding capacity – this means people call repeatedly, making it even more difficult to get through
• The most pressing and immediate need is for the CRA to take steps to answer more calls in a timely manner
• CRA has reallocated resources to keep 850 service representatives, extending their contracts beyond September 5
• CRA has also reallocated additional resources to rehire approximately 400 service representatives by October
• The goal is to help more clients to reach an agent – and more calls are being answered already under the Plan:
  • June 23 to July 4, 2025: 37%
  • September 15 to September 19, 2025: 70%
• CRA’s specific target is to reach 70% by mid-October

Pillar 2: Expanding Digital Self-service Options

Issue: How is CRA is expanding digital / self-service options?

Key Points:

• CRA will enhance its digital services including:
  • expanded GenAI-enabled chat support
  • optimizing the CRA website
  • adding additional self-service options within MyAccount to enable users to self-serve even more
• The goal of these digital enhancements is to:
  • streamline common inquiries
  • reduce call volumes
  • improve accessibility

Specific Examples:

GenAI chatbot beta

• CRA is expanding its chabot to cover content from over 18,000 published pages on Canada.ca
• This will allow the chatbot to deliver faster and improved, tailored answers for businesses, individuals, trusts, and representatives

MyAccount changes

• Starting October 2025, locked-out CRA account users can re-register online without contacting the CRA
• This will allow users to fix their locked-out issue themselves online, and get same-day access to their account
• This could divert approximately 300K calls annually from CRA’s contact centre
• This would mean shorter wait times for users with more complex issues

Extended CRA Online Chat

• As of September 29, 2025, we are extending the CRA Online Chat with service representatives in My Account by three hours from 8 a.m. to 8 p.m. (Eastern time)

Click to Talk

• Taxpayers who are locked out of My Account are presented with an option to call us, and get prioritized in the queue for issue resolution. This is working in concert with the My Account re-registration solution mentioned above
• Click to Talk will also be implemented to prioritize taxpayers using the new Business Number registration feature

Manage Balance service

• Starting October 2025, the CRA will launch the Manage Balance service within My Account
• This could divert a significant amount of calls annually
• This will allow taxpayers with tax debts of $1,000 or more to:
  • independently set up payment arrangements, eliminating the need to speak with a collections officer
  • make full or partial payments
  • schedule payment plans
  • connect with a collections officer
  • or request a callback

Pillar 3: Addressing the Root cause of Service Issues

Issue: How is CRA addressing the root causes of high-call volume and other service issues?

Key Points:

• We’re working to resolve underlying factors that lead to delays:
  • More efficient use of resources:
    • CRA has launched targeted teams to improve processing times across programs where Canadians face service delays and will reallocate resources to areas needing the most support, like CCB and DTC applications and T1 adjustment requests.
  • Better use of technology:
    • The CRA will better use new technology to help Canadians
    • For example, we are developing automations to streamline routine tasks and speed-up application handling
  • Analyzing and using experts
    • The CRA is also looking closely at the reasons people call
    • We want to understand how we can use technology and simpler processes to fix those issues – with online and self-serve options – before those people call
    • We will talk to experts from inside CRA and those outside government to find the best ways to solve these issues

  Specific Example:

  • CRA is implementing a plan to reduce the tax adjustments backlog to help Canadians receive more timely responses
  • To make changes to their return quickly and easily, people can use digital tools to do so, at their own convenience, by using a CRA account, or the tax filing software used to submit a return

Improving delivery for high-demand workloads (Pillar 3)

Issue: How is CRA tackling areas of frequent, high-demand?

Key Points

• We’re making things quicker at CRA by simplifying, modernizing, and targeting how work gets done in high-demand areas:
  • Simplifying
    • We set up special teams to find ways to decrease processing times
    • Looking mainly at frequent, common requests like T1 tax return adjustments
  • Modernizing
    • We are using generative AI / automation more
    • Like using AI to help process Disability Tax Credit (DTC) applications and Canada Child Benefit requests faster
  • Targeting
    • We are also looking at ways to move staff to high-demand areas – without affecting service levels elsewhere
    • We launched a pilot to offer callback requests (within 2 business days) for specific DTC enquiries, this new enhanced support for Canadians by providing efficient assistance, with callbacks expected within 2 business days
• By using a mix of these strategies, we are aiming to make the experience better for Canadians who rely on CRA

Pillar 4: Accelerating Service Modernization

Issue: How is CRA speeding up service modernization?

Key Points

• We are testing new technology and tools to make it easier to contact us and get what you need, whether through MyAccount, our automated phone lines, or our phone agents:
• We are piloting new ways to leverage existing AI tools and working with stakeholders to maximize current technology
• CRA is also continuing its contact centre modernization project
  • This will result in a new contact centre platform – helping support ongoing process and efficiency improvements
  • A contract for cloud based contact centre service was awarded to Bell Canada on July 4, 2025
  • The CRA is working with Bell Canada to make sure the new technology provides maximum benefit for taxpayers – including ways to speed things up for Canadians and add new features that could further improve efficiency

New call scheduling tools (Pillar 4)

Issue: How will the callback feature at CRA work?

Key Points

• CRA launched a new callback pilot project (September 17, 2025)
• This is a web-based feature that will allow taxpayers to request a callback from a CRA agent
• Taxpayers can choose from select topics and a specific time window when to get a callback
• The pilot project will allow the CRA to:
  • test the concept
  • gather feedback from Canadians
  • figure out how the feature will work with the new contact centre technology

Tracking Implementation

Issue: How will the Government track implementation of the 100-day plan? Will you report on that publicly?

Key Points

• The plan’s goal is better service by CRA to Canadians by:
  • quicker contacting of support
  • easier accessing services
• To ensure that happens, the CRA will specifically monitor for:
  • reduced total call volumes
  • faster call handle times
  • quicker processing of workloads
• We will also track if new tools work, such as:
  • Manage Balance service / account lockouts for My Account
  • if Canadians are using the call scheduling service
• We are setting specific performance targets for the plan
• Example: by mid-October, CRA aims to answer 70% of callers
  • ‘By the Numbers’ webpage
    • ‘By the Numbers’ webpage has been setup to track process
    • The webpage is publicly available
    • The webpage is updated on weekly basis with the current percentage of Canadian callers answered
    • CRA also has a webpage where Canadians can check the processing times to know how long it will take to process a specific request
    • CRA also has a ‘Skip the line’ web campaign, so Canadians can see if there is a faster and easier digital option for the task they want to complete

100-Day Plan Cost

Issue: How much will the 100-day plan cost?

Key Points

• The CRA will be more flexible and adaptable – moving resources from different areas as call volumes fluctuate and as root causes are flagged
• While the plan will make effective use of current internal resources, CRA is also developing long-term sustainable strategies
• Specifically, funding for the extension of 850 temporary employees and 400 agent rehires is being sourced through internal reallocation
• Additional measures are underway to redirect or reduce incoming enquiries, with resources being reallocated to support that work

100-Day Plan Staffing

Issue: How many more agents will the 100-day plan involve?

Key Points

• We continuously evaluate CRA contact centres to ensure it is both providing quality service to Canadians and operating in a fiscally responsible manner
• CRA contact centres currently employ over 2,000 service representatives, who will be critical in implementing this plan
• CRA has reallocated resources to retain 850 agents that otherwise would have had their contract end September 5
• The CRA has also reallocated additional resources to rehire approximately 400 service representatives by October

Duration of 100-Day Plan

Issue: How long will these changes be in effect? Is this a permanent fix?

Key Points

• The plan began on September 2, 2025, following the Minister’s announcement, and will run until December 11, 2025
• The CRA recognizes that more is needed to provide high quality services to Canadians – not just for the next 100 days, but for the years to come
• The plan and other CRA efforts aim to deliver lasting, permanent improvements to how Canadians use CRA services, like:
  • utilizing AI to streamline services
  • introducing call scheduling for specific client groups
  • accelerating the modernization of its contact centres with a secure, cloud-based platform used by leading organizations

Performance Issues

CRA Call Centre Quality & Accuracy

Issue: Are CRA agents providing accurate responses to Canadians?

Key Points

• CRA recognizes the need to continually monitor and improve its service – especially the accuracy of responses
• Contact centre agents receive extensive training to ensure they can provide accurate and helpful responses to taxpayers
• To improve response accuracy, the CRA has implemented:
  • structured quality assurance programs
  • targeted training
  • technology-driven oversight
    • Quality Monitoring Program
      • This program monitors and supports agents in delivering accurate and high-quality responses
      • In fiscal year 2024–2025, the program evaluated over 130,000 calls
      • To improve quality, the internal scoring system of agents will be updated to better focus more on ensuring work is complete and accurate
      • Account-specific calls represent about 80% of our total calls received and have higher quality & accuracy results. Non account-specific calls, on the other hand, represent about 20% of the calls we receive
• CRA’s new telephony system will support a simplified process for team leaders to track progress and coach agents on gaps

Increased Call Duration

Issue: Why are calls to CRA agents longer recently?

Key Points

• Increased tax filer populations and more benefits
  • Increased demand on CRA services in a period of significant tax filer / population growth, as well as increased number of benefits / credits available
• More complex issues
  • With more information online and self-service options, simpler tasks are increasingly resolved online
  • Meaning calls now more likely involve complex issues
• Multiple issues
  • Callers often bring up multiple topics in a single call
  • This means agents have to consult multiple sources to provide responses
• Fraud prevention measures
  • We’re in an era of increasing fraud attempts and identity theft
  • This requires CRA conduct additional diligence during calls to verify information and protect Canadians’ accounts
  • These verification efforts can further extend call durations
• Digital support
  • Certain digital support topics such as My Account lockouts require agents to stay on the line while guiding callers through processes step-by-step
  • Canadians often prefer real-time assistance to ensure they successfully complete tasks

• To address these factors, the CRA will be improving tools and processes so agents can help Canadians faster

Example:

• Since February 2025, callers registered with MyAccount are able to receive a one-time passcode on their phone to authenticate instead of answering multiple knowledge based questions
• This will reduce call time and caller frustration

Use of AI Tools

Issue:How is CRA using AI to better serve Canadians?

Key Points

• CRA is improving and modernizing services where possible and securely with AI
• CRA is using AI tools to streamline routine interactions, reduce administrative delays, and support CRA employees in better managing workloads
  • CRA’s AI Implementation Plan
    • CRA has an internal plan that has identified four key areas for AI use to help solve problems that impact CRA’s work:
    • Service Enhancements:
      • Providing fast, reliable digital services that reduce complexity and make it easier for Canadians to comply
    • Fraud Prevention and Security:
      • Using AI to detect cyber threats and prevent financial abuse more quickly and precisely
    • Tax Debt Management:
      • Improving debt recovery using predictive analytics and machine learning
    • Compliance and Risk Detection:
      • Developing models to uncover complex non-compliance schemes and improve risk targeting

  Current AI tools at CRA:

  • CRA beta GenAI Chatbot
    • From April to August 2025, the chatbot answered over 1.5 million questions across 1.1 million chat sessions—a 243% increase in chat volume compared to the same period last year
    • Chatbot sessions eliminate phone calls that might have otherwise occurred
  • CRA’s Digital Identity Validation tool:
    • CRA developed a tool to validate a client’s identity online
    • This allows Canadians to gain access to their online services immediately without the need to wait for a mailed CRA security code
    • To date, there have been 2.54 million successful ‘Digital Verification Service’ transactions, leading to a 55% decrease in CRA security codes issued by mail

Self-serve options

Issue: How is CRA providing / promoting self-serve options?

Key Points

• CRA continually looks to improve its digital services
• CRA seeks to give Canadians the online tools needed to confidently manage their taxes and benefits securely, independently, and on their own schedule
• Many common enquiries, such as checking refund status, updating personal information, or registering for a CRA account, can be done quickly and easily online
• Self-serve options allow Canadians to confidently manage their issues quickly online, while helping ensure phone support is available for those who need it most
• Understanding when to call and when to use self-serve tools is key to improving everyone’s experience
• To promote self-serve tools:
  • CRA launched its “Skip the Line” online initiative to encourage more Canadians to use digital tools for faster, more convenient service
  • CRA will also launch a targeted social media campaign in fall 2025

Private Sector Collaboration / Consultants (Contact Centres)

Issue: Will CRA consult the private sector / consultants to improve service?

Key Points

• CRA will work with experts from many fields – including the private sector and unions – to find ways to improve service
• CRA is already working with IBM and will be working with Bell Canada to adopt industry proven technology and processes to improve its contact centre operations
• CRA will also be using Bell Canada’s change management and training experts to speed-up adoption and leverage best practices on using the new technology

• Bell Canada contract:

• Bell Canada was awarded a 10-year contract on July 4, 2025, to provide cloud-based contact centre services (following a public, competitive procurement process)
  • Referred to as a “Contact Center as a Service (CCaaS)”, this platform is a proven, modern, and secure cloud service used by leading public and private organizations globally
  • The new platform will allow taxpayers to seamlessly move across service channels, improving the client experience
  • This will improve the client experience by using secure sign-in tools that make things easier for taxpayers, help employees handle calls faster and more accurately, and let Canadians do more on their own

Staffing Issues

CRA Workforce

Issue: Will CRA still be letting employees go despite the plan?

Key Points:

• CRA’s workforce expanded in recent years to deliver key temporary programs, including COVID-19 supports
• CRA is now re-examining its workforce as many of these temporary programs have ended
• CRA is moving forward with adjustments as we algin with the Government’s Comprehensive Expenditure Review
• Voluntary departure and retention measures are in place to support affected staff as well
• CRA’s priority remains clear: delivering quality and fiscally responsible services to Canadians

Comprehensive Expenditure Review

Issue: How will CRA be impacted by the Government’s Comprehensive Expenditure Review?

Key Points:

• The Treasury Board of Canada Secretariat has launched a government-wide Comprehensive Expenditure Review
  • CRA is expected to identify savings as part of the review
• CRA is committed to providing better service to Canadians, while making its operations as efficient as possible, including:
  • continue to proactively align its resources towards higher-level priorities
  • exploring ways to spend less on day-to-day government operations
  • further improving efficiencies with new technologies

Term Contact Centre Employees

Issue: Why isn’t CRA renewing some term contracts for agents?

Key Points:

• CRA traditionally has a fluctuating workforce due to annual seasonal hiring for tax season
• The CRA may extend some term employees beyond filing season, balancing service needs and fiscal responsibility
• When needs increase, the CRA aims to rehire experienced, previously trained contact centre service representatives
• Many contact centre employees are hired on a term basis
• Employment timelines are defined in their letter of offer
• Employees are clearly made aware of the duration of their contract
• Employees are also told their contract may be lengthened or shortened based on operational demands, for instance:
  • May 2025: 1,300 term employees in the contact centres had their contracts end on their pre-determined end of term date, to coincide with the end of tax-filing season
  • September 2025: 850 term employees had natural end of contracts planned, but were extended to support service demands

Service issues

Problem Resolution Service

Issue: Were there delays with the problem resolution service used by MPs?

Key Points:

• The problem resolution service returned to meeting its service standard for processing cases on September 9, 2025
• The problem resolution service helps Canadians – via their MPs and contact centres – when issues cannot be resolved through normal channels
• This service is for cases, like financial hardship, sensitive situations, and cases where the CRA has made an error
• Transparent timelines for action through the problem resolution service are communicated to MP offices
• The service feedback program has significantly more (186%) cases in its inventory this year than at the same time in the previous year
• CRA understands that waiting longer than anticipated to have a complaint addressed or problem resolved can be frustrating

Background:

• The CRA’s Service Feedback Program encompasses:
  • Problem Resolution service (service standard of actioning or updating cases within 15-business days
  • Service Complaints workload (service standard of responding to complainants within 30-business days)
• The Problem Resolution service is the main point of contact between MP offices and the CRA for taxpayer-specific cases
• Cases can also be referred to the problem resolution service through the CRA’s contact centre.

2025-26 Service Standards

Issue: Why did CRA defer the annual publication of its External Service Standards (ESS) from Q1 to Q3?

Key Points:

• CRA published its updated 2025–26 service standards on September 19, 2025, following its annual review and a mandated pause due to the federal election
• CRA recognizes it is falling short on several service standards
• CRA will take necessary action to help reduce backlogs, make it easier to contact the CRA, and streamline services to better meet its service standards
• CRA encourages Canadians to consult its regularly updated processing times online, which reflects current timelines for various tax-related services

Service Complaints

Issue: How many service complaints does the CRA receive?

Key Points:

• CRA received 27,645 service complaints in 2024-25, 45% more compared to 2023-24
• As of September 12, 2025, the CRA has received 15% more complaints than the same period in 2024-25
• The number of service complaints received represents a very small percentage of the over 185,000,000 service transactions that occurred during the same time frame in 2024-25
• Regardless, CRA recognizes it is falling short on service to Canadians – and will take necessary action to help reduce backlogs, make it easier to contact the CRA, and streamline services to better meet of Canadians

Taxpayer Relief Provisions

Issue: Does CRA waive penalties and interest if they resulted from an incorrect answer from a CRA call agent?

Key Points:

• The taxpayer relief provisions give the CRA discretion to cancel or waive penalties and interest when taxpayers cannot meet their tax obligations due to circumstances beyond their control
• These can include:
  • financial hardship
  • extraordinary circumstances such as illness, and other circumstances outside the taxpayer’s control
  • actions of the CRA such as delays or incorrect information provided to a taxpayer by the CRA
• Taxpayer relief requests are reviewed on a case-by-case basis
• When considering a request, CRA officials conduct a comprehensive review of the taxpayer's current and foreseeable situation

Background:

The CRA administers legislation, commonly called the taxpayer relief provisions, which give the CRA discretion to cancel or waive penalties and interest when taxpayers cannot meet their tax obligations due to circumstances beyond their control.

• These can include:
  • Financial Hardship,
  • Actions of the CRA,
  • Extraordinary circumstances,
  • Other circumstances outside the taxpayer’s control.
• CRA actions may include:
  • Processing delays that result in taxpayers not being informed, within a reasonable time, that an amount was owing;
  • Errors in CRA material which led a taxpayer to file a return or make a payment based on incorrect information;
  • Incorrect information provided to a taxpayer by the CRA;
  • Errors in processing;
  • Delays in providing information, resulting in taxpayers not being able to meet their tax obligations in a timely manner; and
  • Undue delays in resolving an objection or an appeal, or in completing an audit.

Taxpayers or their authorized representative can make a request to cancel penalties and interest online using the CRA My Account, My Business Account or Represent a Client services by selecting “Request relief of penalties and interest”.

The CRA has an online tool designed to help Canadians determine if they should apply for penalties and interest relief. The CRA’s self-evaluation and learning tool (SELT) is a valuable resource for assisting taxpayers and representatives in understanding how to support their request for relief.

Hard-to-Reach / Vulnerable Populations

Issue: How is CRA improving outreach to vulnerable populations?

Key Points:

• CRA works to ensure vulnerable populations are able to access tax benefits and credits in an easy and timely manner
• CRA continues to collaborate with ESDC and other government departments to identify opportunities to improve the services provided to individuals requiring a high level of support to access benefits through collaboration and coordination of outreach activities
• CRA continues to engage with community organizations to strengthen partnerships, with a particular focus on shelters and service providers supporting homeless individuals
• CRA continues to build upon changes implemented in response to recommendations to address tax filing challenges faced by vulnerable Canadians, such as:
  • expanding the Client Assistance Referral and Enquiry Service (CARES)
  • in addition to connecting clients with Service Canada’s Outreach Support Centre, CRA agents can now refer clients directly to a CVITP volunteer for tax filing assistance through the CVITP Direct Referral initiative
• CRA is also supporting ESDC’s development of a community resource page by ensuring the accuracy of CRA-related content included in the materials

Improving Outreach to New Canadians

Issue: How is CRA improving outreach to new Canadians?

Key Points:

• CRA is taking proactive steps to ensure newcomers are aware of their tax filing obligations, as well as benefits and credits
• In March 2023, CRA completed comprehensive research and consultation with newcomers and the organizations that support them
• Those findings informed the development of a first-time filer strategy for newcomers which aims to:
  • improve tax literacy
  • create awareness, and;
  • support tax filing among this segment of the population

Outreach to Northern and Indigenous Communities

Issue: How is CRA improving outreach to vulnerable populations?

Key Points:

• CRA is committed to improving efforts to reach Northern and Indigenous communities by implementing a national Filing and Benefits Strategy for Indigenous Peoples
• The strategy aims to cultivate trust, enhance awareness of and access to benefits and credits, and increase cultural competence within the CRA
• The strategy prioritizes the delivery of tailored outreach and benefit services to Indigenous Peoples, with the goal of increasing tax filing rates and the uptake of benefits and credits that they are entitled to
• CRA is using business intelligence tools to identify underserved populations in Northern and Indigenous communities and make data-driven program decisions
• CRA continues to build on its partnerships with other federal government departments and agencies with the aim of developing seamless and integrated service experiences for Northern and Indigenous communities

Automatic Tax Filing

Issue: What is the status of the automatic tax filing plan?

Key Points:

SimpleFile by Phone

• CRA currently offers eligible individuals with lower income a free, easy, and secure service called SimpleFile by Phone
• This allows individuals to auto-file an income tax and benefit return quickly by answering a few short questions by phone
• In February 2025, CRA issued SimpleFile by Phone invitations to 2 million Canadians with lower income with a recent filing history
• The CRA also invited nearly 100,000 vulnerable Canadians with lower income with a recent filing history to use the new SimpleFile Digital service as part of a pilot
• Additionally, in September 2025, CRA continued its pilot to provide SimpleFile phone, paper, and digital options to all Canadians – with over 500,000 invitation letters sent to non-taxable individuals with lower income who had either never filed a tax return, or had a gap in their filing history

Pre-filled tax returns in CRA’s MyAccount (PM announcement)

• As recently announced, the CRA will prepare a pre-filled tax return in the CRA’s MyAccount for those with lower incomes and simple tax situations
• This will help about 1 million individuals starting for the 2026 tax year, scaling up to about 5.5 million individuals for 2028
• This will ensure individuals receive their entitled benefits, like the GST/HST credit, the Canada Child Benefit, and more
• CRA held its final meeting with its advisory group on automatic tax filing on September 12, 2025
• Consultations with stakeholders, community organizations, tax professionals and Canadians are planned for fall 2025, which will help inform automatic tax filing plans beyond 2025

Supporting Documentation

OAG October 2025 Report - Contact Centres

https://www.oag-bvg.gc.ca/internet/docs/parl_oag_202510_01_e.pdf

OAG Opening Statement to the News Conference

https://www.oag-bvg.gc.ca/internet/English/osm_20251021_e_44732.html

Statement by the Minister on OAG 2025 Report - Contact Centres

https://www.canada.ca/en/revenue-agency/news/2025/10/the-minister-of-finance-and-national-revenue-and-the-secretary-of-state-canada-revenue-agency-and-financial-institutions-respond-to-the-auditor-gen.html

Action Plan (for PACP)

https://www.ourcommons.ca/Content/Committee/451/PACP/WebDoc/WD13538778/PACP-Sessional-ActionPlans/2025-OAG/RptCRA/CanadaRevenueAgency-e.pdf

Recap of OAG 2017 Audit – Call Centres

The following table lists the recommendations and responses found in the 2017 Fall Reports of the Auditor General of Canada to the Parliament of Canada, Report 2—Call Centres—Canada Revenue Agency.

The paragraph number preceding the recommendation indicates the location of the recommendation in the report, and the numbers in parentheses indicate the location of the related discussion.

https://www.oag-bvg.gc.ca/internet/English/parl_oag_201711_02_e_42667.html#hd2e

OTO response to 100-Day Plan

https://www.canada.ca/en/taxpayers-ombudsperson/news/2025/09/statement-from-the-taxpayers-ombudsperson-about-100-day-plan-to-strengthen-service-at-the-canada-revenue-agency.html

UTE response to 100-Day Plan

https://www.ute-sei.org/en/news-events/news/utes-response-minister-champagnes-letter

Tax Filing Trends (2016-2025)

T1 tax returns recieved

Tax Filing Season	Total Number of T1 Returns ReceivedFootnote *
2016	29,059,445
2017	29,309,004
2018	29,784,503
2019	30,319,388
2020	30,916,517
2021	30,864,118
2022	31,303,684
2023	32,283,581
2024	33,454,068
2025 (as of Sept. 28, 2025)	32,951,536

• The number of returns received as of September 28, 2025, was under 33M
• With 4 months left in the tax filing season, this is already almost 7% more than what was received in the entire 2020 (30.9M) and 2021 tax filing seasons (30.8M)

CRA-administered programs & benefits

Total number of federal, provincial and territorial related benefit programs and services administered by the CRA

Year	Benefit Programs and Services administered by the CRA
2016-2017	157
2017-2018	171
2018-2019	181
2019-2020	178
2020-2021	195
2021-2022	195
2022-2023	199
2023-2024	206
2024-2025	211

Parliamentary Information:

PACP Member Profiles

Standing Committee on Public Accounts (PACP) Committee Member Biographies – October 2025

About the Committee

• Pursuant to Standing Order 108(3)(g) of the House of Commons, PACP has a mandate to, among other matters: “review of and report on the Public Accounts of Canada and all reports of the Auditor General of Canada, which shall be severally deemed permanently referred to the Committee immediately after they are laid upon the table”
• As such, PACP is Parliament’s standing audit committee, and it reviews the work of the federal government’s external auditor, the Auditor General of Canada
• When the Speaker tables a report by the Auditor General in the House of Commons, it is automatically referred to PACP
• PACP selects the chapters of the report it wants to study and calls the Auditor General and senior public servants from the audited organizations to appear before it to respond to the Office of the Auditor General’s findings
• PACP also reviews the federal government’s consolidated financial statements – the Public Accounts of Canada – and examines financial and/or accounting shortcomings raised by the Auditor General
• At the conclusion of a study, PACP may present a report to the House of Commons that includes recommendations to the government for improvements in administrative and financial practices and controls of federal departments and agencies

Timing

As per a motion adopted on June 16, 2025, PACP conducts its meetings in the following manner with regards to timing:

• Opening Remarks
  • Maximum time (per witness) - 5 minutes
• Questions - Round 1
  • Conservative Party - 6 minutes
  • Liberal Party - 6 minutes
  • Bloc Québécois - 6 minutes
• Questions - Round 2 (then repeated for subsequent rounds for duration of the meeting)
  • Conservative Party - 5 minutes
  • Liberal Party - 5 minutes
  • Bloc Québécois - 2 1/2 minutes
  • Conservative Party - 5 minutes
  • Liberal Party - 5 minutes

Projected total time breakdown of questions for the October 28, 2025 PACP meeting:

• Conservative Party – 36 minutes
• Liberal Party – 36 minutes
• Bloc Québécois – 13 ½ minutes

PACP Member Profiles

John Williamson (Chair)

Conservative – Saint John—St. Croix (New Brunswick)

Biography

Prior to Williamson’s election to the House of Commons in 2011, he worked as Stephen Harper’s Director of Communications in the Office of the Prime Minister. Outside of elected office, Williamson established Canadians for Affordable Energy and held senior positions with the Canadian Taxpayers Federation, Atlantic Institute for Market Studies and the Manning Centre for Building Democracy. He was an editorial writer with the National Post at its inception in 1998 and founding member of the newspaper’s editorial board.

During his time in Parliament, Williamson has also served as a member of the House of Commons committee investigating all aspects of the Canada-China relationship.

Williamson has a master’s degree in economic history from the London School of Economics and a bachelor’s degree from McGill University.

CRA-related issues raised in Parliament

• As the PACP Chair since March 2022, Williamson has overseen significant CRA-related studies at the Committee (including on Report 1, Access to Benefits for Hard-to-Reach Populations, of the May 2022 Reports of the Auditor General of Canada, the Pierre Elliott Trudeau Foundation, and Report 10, Specific COVID-19 Benefits, of the 2022 Reports 9 and 10 of the Auditor General of Canada).
• During those studies, Williamson has often underlined his belief that CRA should more adequately address emerging concerns and report more regularly to Parliament.

Recent correspondence to CRA (May 2025-present)

(Redacted).

Ned Kuruc

Conservative – Hamilton East—Stoney Creek (Ontario)

Biography

Kuruc is a local entrepreneur and a former global sports entertainment executive. Ned has lived in Hamilton East-Stoney Creek his entire life, along with his wife Lisa and their three children, Vonn, Ilija, and Ivanna.

 

 

Recent correspondence to CRA (May 2025-present)

(Redacted).

Stephanie Kusie

Conservative – Calgary Midnapore (Alberta)

CPC Critic for Treasury Board and the King's Privy Council

Biography

Kusie was born and raised in the community of Calgary Midnapore and earned a degree in political science from the University of Calgary. Kusie went on to obtain her Masters in Business Administration from Rutgers University.

As a diplomat for the Canadian federal government, Kusie served in Argentina in 2006; was chargée d’affaires and Consul for Canada in El Salvador from 2006-2008; and Consul for Canada at the Consulate in Dallas, Texas from 2010-2013. She also served as policy advisor to the Minister of State for Foreign Affairs for the Americas in 2009. In 2018, Kusie was elected to the Executive Committee of the Canadian Section of ParlAmericas Interparliamentary Association. In March 2023, Kusie joined the Canadian Chapter of the Parliamentary Network on the World Bank and the IMF as an Executive Member. Kusie speaks English, French, and Spanish fluently.

CRA-related issues raised in Parliament

• In May 2024, Kusie participated in a House of Commons Standing Committee on Government Operations and Estimates (OGGO) meeting as part of its study of “Federal Regulatory Modernization Initiatives.” Kusie commented on the need for CRA to reduce its “negative” regulatory burden on small businesses.

Recent correspondence to CRA (May 2025-present)

(Redacted).

Gérard Deltell

Conservative –Louis-Saint-Laurent—Akiawenhrahk (Quebec)

CPC Critic for National Revenue

Biography

Deltell was born and raised in Quebec City. He held party membership in the Progressive Conservative Party of Canada in the 1980s. Deltell studied social science at Cégep de Sainte-Foy, graduating in 1984. He majored in history at Université Laval and graduated in 1989. He also received training as an announcer at the Collège des annonceurs radio télévision in 1982 and at École de radio et de télévision Promédia in 1993. He received a pilot’s license for ultralight aircraft in 2005.

Before he entered politics, Deltell worked as a TV correspondent with TQS. He also worked for TVA and Radio-Canada stations in Quebec City, as well as the CIRO-FM radio station as a radio show host. Overall, he worked as a journalist for a total of over 20 years.

Prior to entering federal politics, he represented Chauveau in the National Assembly of Quebec from 2008 to 2015 and was the leader of the Action démocratique du Québec (ADQ) from 2009 until it merged with the Coalition Avenir Québec (CAQ) in 2012.

CRA-related issues raised in Parliament

• During a September 16, 2025 PACP Committee Business meeting, Deltell spoke at length his concerns with CRA’s “inadequate service” to Canadians, especially that incorrect information was often being provided to seniors (see Tab D2: Relevant PACP Meeting Transcripts). Deltell repeated a truncated version of these same criticisms in the House of Commons on September 18, 2025 during ‘Statements by Members’.
• Additionally, Deltell participated in a November 2017 PACP meeting on Report 2, Call Centres—Canada Revenue Agency, of the Fall 2017 Reports of the Auditor General of Canada. Deltell was highly critical of CRA – calling on the Commissioner to “overhaul everything” given CRA’s poor service and that the organization needed to improve its culture writ-large. Deltell further remarked at the meeting that CRA’s attitude was “unacceptable” and that the CRA needed to acknowledge the reality of situation – underlying this was beyond an issue of technology, but culture. Deltell further asked what redress individuals provided incorrect information from a CRA call centre agent have available.

Recent correspondence to CRA (May 2025-present)

(Redacted).

Sébastien Lemire

Bloc Québécois – Abitibi—Témiscamingue (Quebec)

PACP Vice-Chair
Bloc Québécois Critic for Public Accounts, Sports, and Indigenous and Northern Affairs Canada

Biography

With degrees in political communication, public leadership, and corporate governance, Sébastien Lemire is a specialist in public relations and citizen participation. Before being elected in 2019, he worked at the Fédération de l'UPA d'Abitibi-Témiscamingue, the Mercier—Hochelaga-Maisonneuve borough of the City of Montreal, the Juripop Legal Clinic, Octane Stratégies, and the Forum jeunesse de l'Île de Montréal of the Conférence régionale des élus de Montréal.

CRA-related issues raised in Parliament

• During a September 16, 2025 PACP Committee Business meeting, Lemire echoed concerns from CPC PACP Member Gérard Deltell about CRA’s perceived poor services to seniors.
• In 2022, Lemire additionally publicly commented on a plan by CRA to recruit 300 customer service agents to work in remote regions of Quebec, including Abitibi-Témiscamingue, as part of a two-year pilot project. Lemire noted that he would monitor the situation to ensure CRA’s ongoing commitment to the region.
• In 2024, Lemire also publicly complained about CRA’s treatment of recreational vehicles (RVs) under the Excise Tax Act’s place of supply rules – noting that CRA had been examining the issue for years, but failed to bring forward reasonable solutions.

Recent correspondence to CRA (May 2025-present)

(Redacted).

Jean Yip

Liberal – Scarborough—Agincourt (Ontario)

PACP Vice-Chair

Biography

Yip was born in Scarborough, and raised in Agincourt, and has deep roots in the community. After completing her degree at the University of Toronto, Yip pursued a career in insurance and underwriting, becoming a team leader in her field. Yip holds the Fellow Chartered Insurance Professional Designation.

Prior to becoming an MP, Yip has focused on her community and her family, stepping up to serve Scarborough—Agincourt. She has taught Sunday school at her church for over 13 years, and has been involved with the STEM Fellowship Board of Directors which promotes computer literacy and programming capacity among youth.

She also serves as Co-Chair of the Liberal Seniors Caucus. Yip is also a member of the Liberal Party’s Caucuses on Immigration, and Mental Health as well as Women’s and Scarborough Caucuses where she brings attention to the issues facing the people of Scarborough—Agincourt. Yip is a member of the Canada-China Legislative Association, as well as the Canada-Armenia, Canada-Philippines Parliamentary Friendship Group, and the Commonwealth Parliamentary Association.

CRA-related issues raised in Parliament

• As a member of PACP since January 2018, Yip has participated in significant CRA-related studies at the Committee (including on Report 6, Canada Emergency Response Benefit, of the 2021 Reports of the Auditor General of Canada, Report 4, Canada Child Benefit—Canada Revenue Agency, of the 2021 Reports of the Auditor General of Canada, Report 1, Access to Benefits for Hard-to-Reach Populations, of the May 2022 Reports of the Auditor General of Canada, the Pierre Elliott Trudeau Foundation, and Report 10, Specific COVID-19 Benefits, of the 2022 Reports 9 and 10 of the Auditor General of Canada).
• While Yip has been consistently appreciative of CRA’s work on benefit delivery and in other areas, she has frequently sought reassurance from CRA that it is working towards implementing the recommendations from the OAG in their various reports.

Recent correspondence to CRA (May 2025-present)

(Redacted).

Anthony Housefather

Liberal – Mount Royal (Quebec)

Parliamentary Secretary to the Minister of Emergency Management and Community Resilience

Biography

Housefather previously served as Parliamentary Secretary to the President of the Treasury Board, Parliamentary Secretary to the Minister of Public Services and Procurement, and Parliamentary Secretary to the Minister of Labour.

He also served as Special Advisor to the Prime Minister on Jewish Community Issues and Antisemitism and is co-chair of the Inter-Parliamentary Task Force on Online Antisemitism.

Prior to his election to the House of Commons, Anthony worked at Dialogic Corporation, a multinational technology company, where he rose through the ranks to become Executive Vice-President of Corporate Affairs and General Counsel. Anthony also served as a city councillor and then as Mayor of the City of Cote Saint-Luc for 10 years prior to being elected federally.

Housefather is active in his community, having served as a volunteer for many years with a number of community organizations. He is also a member of the local swim team. His performance in swimming earned him a total of twelve medals at the 2013 and 2017 Maccabiah Games, an international multi-sport competition held every four years in Israel.

Housefather holds a Bachelor of Civil Law and a Bachelor of Laws from McGill University, and a Master of Business Administration from Concordia University’s John Molson School of Business.

CRA-related issues raised in Parliament

• In November and December 2024, Housefather participated in the House of Commons Standing Committee on Access to Information, Privacy and Ethics (ETHI) hearings on ‘Privacy Breaches at the Canada Revenue Agency.’ During those meetings, Housefather asked factual questions about the frequency of privacy breaches at CRA, as well as confirmation of CRA’s use of multi-factor authentication.
• In September 2024, Housefather (and Liberal MP Ben Carr) wrote an open letter to the Jewish community in Canada about CRA’s decision to revoke the Jewish National Fund’s charitable status. The letter noted “we can deeply appreciate how this has left many of you feeling … We have heard your concerns related specifically to the JNF issue … We will stay closely attuned to the JNF court challenge as it proceeds.”

Recent correspondence to CRA (May 2025-present)

(Redacted).

Tom Osborne

Liberal – Cape Spear (Newfoundland and Labrador)

Parliamentary Secretary to the President of the Treasury Board

Biography

Prior to being elected, Osborne was the General Manager of the Dairy Farmers of Newfoundland and Labrador (DFNL).

Prior to being General Manager of DFNL, Osborne was a Member of the Newfoundland and Labrador Legislature.

Osborne holds the distinction as the longest serving member of the NL legislature in the history of the province. He has held several cabinet positions throughout his provincial political career, including Minister of Environment, Minister of Labour, Minister of Health, Minister of Justice, Minister of Finance and President of Treasury Board, Minister Responsible for the Human Resource Secretariat, the Public Service Commission, Office of the Chief Information Officer, Minister of Education and Minister of Service NL. Osborne was also elected as Speaker of the Legislature.

Recent correspondence to CRA (May 2025-present)

(Redacted).

Kristina Tesser Derksen

Liberal – Milton East—Halton Hills South (Ontario)

Biography

Tesser Derksen is a devoted community leader with an impressive record of community service. A two-term elected town councillor, local lawyer, wife, mother, and engaged community member, Tesser Derksen has shown her determination to make life better for families in the community.

Tesser Derksen volunteers her time with several organizations, having sat as a Director on the boards of the Townsend Smith Foundation, Conservation Halton, Milton Chamber of Commerce, Milton Downtown Business Improvement Area and Canadian Federation of Women (CFUW). She is also a committee member of the Nassagaweya Community Consultation Committee and the Milton Quarry Community Advisory Committee.

Tesser Derksen’s professional career has always been in providing service: after several years working in the funeral service profession caring for families in Georgetown and Milton, Kristina studied law at the University of Toronto and runs her own Main Street practice in downtown Milton.

Relevant PACP Meeting Transcripts

PACP - Committee Transcript Recap

Committee Name:

House of Commons Public Accounts (PACP) Committee

Agenda:

Committee Business

Meeting Date

September 16, 2025, 3:30 p.m. to 5:30 p.m.

Items of note:

The public portion of the meeting (3:31PM - 4:23 PM) was solely focused on potential committee business for the fall of 2025, there were some brief references to the CRA during the meeting. No decisions were made in the public portion of the meeting about future business.

CRA service issues / Fall 2025 OAG report on Contact Centres During the meeting, CPC PACP Member (and CPC National Revenue critic) Gérard Deltell suggested that PACP take a close look at CRA in the fall, especially in the context of the upcoming OAG fall report on Contact Centres in October. Deltell complained that MPs have received “hundreds of calls from taxpayers” displeased with the CRA, as “80% of the people who call CRA don't get any answer … and only 5% of the people can actually reach somebody by telephone” despite this being an essential service for Canadians. Deltell also referenced media reports over the summer that showed incorrect information being provided to taxpayers by CRA contact centres as well (i.e. related to wrong information on TFSA contribution room, incorrect interest penalties being levied, etc), and that has jeopardized the financial well-being of many Canadians – especially seniors. Deltell further worried that CRA is not adequately supporting seniors that do not have online access or familiarity with computers. Deltell demanded that “CRA has to be accountable” and he was anxious to see what the upcoming OAG report would say – stressing that PACP should work together to investigate this issue.

• Gérard Deltell (Louis-Saint-Laurent—Akiawenhrahk, CPC):
  We know that the Office of the Auditor General of Canada is expected to table a report on this subject in a few weeks, on October 7, if I'm not mistaken. I think we can all agree that this is an issue that affects all regions of Canada, from coast to coast. It's nothing to celebrate. We know that it's never easy to manage the agency because of new tax measures that are introduced. We recognize that. We are also aware that taxpayers are the ones who suffer the consequences of inadequate service. Media surveys conducted over the past few weeks show that 95% of people who try to contact someone at the agency over the phone are unsuccessful. We can understand that there may be issues over the summer. However, 95% is huge. Only 5% of people manage to talk to someone on the phone. This is not a lottery; it is a public service to which Canadians are entitled and that they pay for.
• An article in La Presse mentioned cases where the agency wasn't even able to provide specific information to Canadians who wanted to invest in a tax-free savings account, or TFSA. If they can't get their facts straight on how much someone can invest in a TFSA, the very basis of Canadians' savings is at stake. The very basis of a TFSA investor's future is at stake here.
• The media has also reported cases where mistakes were made. You'll see the common thread. Le Journal de Québec and Le Journal de Montréal reported that 78-year-old Mr. Roujeon had to pay interest on an amount he had already paid to the Canada Revenue Agency. We know how it works. When you receive a notice from the agency, it says that you have to pay immediately or else you will be charged interest. If you've already paid, why would you pay interest? While someone is trying to prove that they've paid, the interest is accumulating. In this case, the agency finally realized that it was absurd and it had made a mistake.
• Canadians in general are honest, hard-working people, apart from a few scofflaws. Hard-working people of good faith don't expect the Canadian government to treat them like thieves. However, that is what happened.
• Another case involves 83-year-old Mr. Derome. The CRA claimed that he had phantom revenue that, as it turned out, was non-existent. These examples are cited in Le Journal de Québec and Le Journal de Montréal. Aside from the fact that they were mistreated by the agency, the common thread between these two is that they are an 83-year-old man and a 78-year-old man.
• That brings me to a very important issue. Our seniors are the ones who built Canada and the wealth Canadians now enjoy. The least we can do is treat them with dignity. They shouldn't be taken for crooks, thieves or anything of the sort. We must not forget that these people, who were born in the 1930s and 1940s, are not digital natives. As a result, we need to respect their wishes. What they want is to have direct phone contact, to speak directly to a person.

CPC PACP Member William Stevenson also agreed that CRA needs to be more aware of the challenges that seniors face – fearing CRA’s modernization may be ageist and discriminatory against seniors.

• William Stevenson (Yellowhead, CPC):
  … Mr. Deltell discussed how the modernizing of CRA was making it difficult and was becoming somewhat ageist or discriminatory toward those who are technically challenged in dealing with CRA.

Later in the meeting, Bloc Québécois Sébastien Lemire also voiced support for looking closely at CRA, as he was also hearing concerns and especially among seniors.

• Sébastien Lemire (Abitibi—Témiscamingue, BQ):
  While the meeting is still public, I would like to say that I support what Mr. Deltell on the Conservative side said about the timeliness of the services provided to people, particularly seniors. In my riding, I too have seen people having problems at the Canada Revenue Agency. I even travelled around talking to seniors, and we wrote a report about it. This is a real problem. I think it would be particularly interesting to take a look at it.

PACP - Quick Committee Recap

Committee Name:

House of Commons Public Accounts (PACP) Committee

Agenda:

2025 Reports 5 to 10 of the Auditor General of Canada

Witnesses:

Office of the Auditor General

Meeting Date (video/audio link):

Tuesday, October 21, 2025, 10:00 a.m. to 12:00 p.m.

Items of note:

The Office of the Auditor General appeared to speak to the ‘2025 Reports 5 to 10 of the Auditor General of Canada’ as a whole. Canada Revenue Agency Contact Centres was a significant focus of the meeting, with interventions as follows:

• In her opening statement, the Auditor General noted that she was concerned that “in spite of a new telephony system and other improvements, Canadians are still waiting too long to get answers to their tax questions.” She explained that during the last fiscal year, callers choosing to speak with an agent weighted on average 31 minutes, more than twice as long as the agencies service standard of 15 minutes – and when callers did reach an agent, they were often provided with inaccurate information. The Auditor General noted the audit found agents responses to individual tax questions were accurate only 17% of the time, and business tax or benefit questions accurate just over half of the time. She noted though that agent responses to account specific questions had much higher accuracy rates.
• CPC PACP Member (and CPC National Revenue critic) Gérard Deltell complained that Canadians are ‘terribly harassed’ by the CRA – and don’t even receive timely or correct information. He complained ‘mediocrity’ exists at CRA – as it largely never meets its service standards and provides incorrect information 4/5 of the time. He called this a ‘lack of respect for taxpayers’, and asked how CRA reached this ‘level of mediocrity’; the Auditor General explained that while CRA “definitely would like to provide better service”, Canadians are frustrated with long wait times and not getting exact information – stating “there is a great deal of improvement that can be made at the CRA.”
  • Deltell wanted to know about the increase in the telephone system contract to $110 million; the Auditor General explained that she “saw so many red flags with this particular contract that I thought we should look more closely at the contract for at the call centres that are managed by Shared Services Canada”, as there was the need for more exactness.
• CPC PACP Member Stephanie Kusie called the OAG’s finding “another damning report that Canadians continue to pay more and get less”, especially despite the OAG audit in 2017 and CRA’s previous efforts to address the issue. Kusie was surprised that ‘the priority for the CRA is adhering to shift and breaks’ rather than accuracy and completeness. She also complained that seniors were being treated poorly by CRA agents during the personal information authentication process – calling this “unacceptable service”; the Auditor General underlined there were ‘lots of opportunities’ for CRA to improve – especially having more than 10% of an agent's annual performance review based on the accuracy and completeness of their responses as that “does not encourage a good culture where accuracy and completeness is top of mind.” She agreed that Canadians “expect CRA will be available in a timely fashion and provide them with accurate information. And what we're seeing is that that is not the case.” She did note though that CRA had improved some service to specific question responses since 2017, but responses “haven't gotten better” since 2017 on general questions. She added that CRA’s MyAccount – which was meant to take calls away from call centres – now represent most of the calls received, with callers trying to access MyAccount.
• Kusie pointed to issues with the IBM contract and the increased costs – worried that neither Shared Services Canada nor CRA could confirm whether the invoice levels of activity, which were the basis for the charges invoice to the agency, were accurate. She declared “we're seeing this same type of practice that we saw in ArriveScam”; the Auditor General explained the contact covers three departments, but that they found ‘invoices received very little scrutiny and as CRA didn't verify the accuracy of what was being charged. So there were enough red flags here for me and my inability to conclude value for money’ – noting she will be auditing the contract.
• Liberal PACP Member Tom Osborne conceded that nearly all MPs have received complaints about the slowness at CRA, wondering if the Government’s recently announced 100-day plan would help address the gaps identified in the OAG report; the Auditor General said that CRA agents don’t have the tools they need to address the calls, also CRA needs to change their culture that is currently placing greater importance on how closely they adhered to their schedules for shift and breaks – rather than accuracy and completeness of information they provided to callers. The Auditor General said she trusted that the 100-day plan and the CRA’s response to the OAG report’s specific recommendations should service to improve the situation.
• Bloc Québécois PACP Member Sébastien Lemire complained that CRA agents only giving accurate information 17% of time is having a major negative impact on Canadians, and questioned why CRA has not improved the situation since 2017; Auditor General explained that the situation from 2017 has changed depending on the type of question asked – general questions are answered incorrectly still, but more specific questions are generally being answered correctly (so there was a ‘margin of improvement’ in that respect). OAG clarified that there was no difference when agents answering in English and French.
• Lemire complained why CRA was leaning on IBM systems here given their poor track record with the Phoenix pay system; Auditor General confirmed there were a lot of ‘red flags’ on management of the contracts, especially on authentication of invoices – as such, the OAG would bring forward an audit in 2026 to Parliament on the matter.
• Lemire wondered about the use of AI to improve service to Canadians; Auditor General noted that CRA has a chatbot that provided correct response 2 out of 6 times (which was better than the overall response from CRA call centre agents) but conceded that not all Canadians would be comfortable to use it. Lemire then quired if CRA could create a specialized call centre for seniors; Auditor General explained that report did not look at that and the OAG was unsure about its feasibility – though added CRA had a ‘Northern-based’ call centre.
• Liberal PACP Member Jean Yip asked if the CRA’s shift to digital improvements would help address the concerns in the OAG report – especially self-serve options and extended chat hours; the Auditor General said digital improvements aligned with the report’s recommendations. She highlighted the need for improving the CRA chatbot, which performed worse when compared to other publicly available AI tools. She also added that agents need access to better tools to find correct information more quickly and reduce call duration (30% of call time was spent on hold as agents looked for information). She also said better work needs to be done to divert the calls related to access to MyAccount, as those are currently most calls.
• CPC PACP Member William Stevenson explained he had ‘wasted lots of time’ waiting for CRA calls to be answered as a former CPA. He noted the OAG report showed number of CRA call centre agents has been reduced in recent years – and asked if this was part of a push to self-service; the Auditor General said number of agents indeed has a direct impact on quality and timeliness of service received, but the number of agents depends on budget constraints at given period.
  • Stevenson again complained that seniors were having lots of issues with CRA.
  • Stevenson noted there appeared to be little training for CRA call centre agents (“seems like virtually none)”; the Auditor General agreed that CRA provides limited feedback or training to agents, and that is especially needs to better triage calls to specialized agents that can be trained for specific issues. She repeated again that having only 10% of an agent's annual performance review based on the accuracy and completeness was creating culture issues – and CRA needs to do a better job at focusing on stressing the importance of accuracy.
• Liberal PACP Member Anthony Housefather asked for confirmation of the audit period; the Auditor General noted it ended on June 30th – and would not have picked up improvements from the 100-day plan, as that occurred after the audit period.
  • Housefather was puzzled by the ‘bizarre’ situation that CRA’s chatbot performed worse than other publicly available AI tools – ‘how is it possible that CRA’s specially created tool is worse than average AI chatbot tool that can be accessed online’; Auditor General said that was an excellent question for the CRA, but that its chatbot was only populated with general personal tax information (not business tax information). Housefather wondered it the chatbot should be eliminated or more information should be uploaded to allow for more information; Auditor General said the future of the CRA chatbot was a CRA management decision, but CRA had to be more cognizant of Canadians desire to self-serve.
• Near the end of the meeting, CPC PACP Member (and CPC National Revenue critic) Gérard Deltell moved a motion for a PACP study (starting on October 23, 2025) on the CRA Contact Centres report as follows (below is an unofficial AI transcript should not be quoted):
  Que compte tenu de graves préoccupations soulevées dans le rapport de la Vérificatrice générale concernant les centres de contact de l'Agence du revenu du Canada indiquant des manquements importants à fournir aux Canadiens des renseignements opportuns et exacts sur les impôts et les prestations, le comité entreprenne immédiatement une étude sur cet audit et l'étude examine dans quelle mesure ces manquements ont touché les contribuables et les bénéficiaires de prestations, en particulier les Canadiens à faible revenu, les aînés et les familles qui dépendent de paiements de prestations versées en temps opportun. Le comité tienne sa première réunion sur cette étude le jeudi 23 octobre 2025 et des représentants de l'Agence du revenu du Canada, y compris le commissaire du revenu, les sous commissaires responsables des services ainsi que les hauts fonctionnaires concernés, des directions des centres d'appels et des prestations soient convoquées à cette réunion conjointement avec la Vérificatrice générale du Canada.
  • The PACP Chair voiced support for the motion, as he noted this was an issue that had impacted all MPs offices. Deltell also noted that CRA’s poor service was forcing Canadians to hire accountants for information.
  • After limited debate on the motion, it passed unanimously.

Follow-ups for CRA:

CRA will be required to appear before PACP on October 23, 2025 as part of the Committee’s study of the CRA Contact Centres report.