Some Canadians can file their taxes in 2025 by phone in 10 minutes. Here’s how the CRA decides who’s eligible #CanadaFinance

Of the more than 33 million tax returns filed by Canadians since February 5, 2024, a relative sliver were submitted by phone — in a process that likely took those taxpayers around 10 minutes.

Those 51,555 returns were submitted using the Canada Revenue Agency’s (CRA’s) SimpleFile by Phone (SFP) option, which is not a relic of the pre-internet era but part of a system that first emerged in 2018.

“There are no complex forms to fill out or calculations to do, and users can automatically file their tax return in as little as 10 minutes by answering a series of short questions,” said Kelly Williams, a director at the CRA’s individual returns directorate. “The CRA then uses the information it knows about you together with the information you provide to automatically file a tax return.”

This tax season, some two million Canadians will receive letters inviting them to use the service — up from 1.5 million last year — with eligibility contingent upon income, income sources and other factors. The CRA has also offered a similarly quick digital filing option since 2022, which this year will be available to around 100,000 people.

The service is one of a few programs the CRA runs to make filing taxes more accessible and less anxiety-inducing, Williams says. “We know that individuals have varying needs,” she said. “Some are intimidated by the process, some may need a little help, and that’s where services like CVITP” — the Community Volunteer Income Tax Program, which provides free local tax clinics — “and SimpleFile are great options for individuals who may need a little bit more help.”

The system helps serve the CRA’s goal “to keep people filing and filing on time,” Williams says, emphasizing that doing so means people “get access to the benefits and credits designed to support them.”

Eligibility for SimpleFile is determined by running a database query on the previous year’s return, Williams says, with age and income among the considerations. Crucially, the taxpayer’s income sources must be straightforward — if you have tax slips beyond those for standard income, benefits or interest-based investment income, you’re likely out of luck.

With that said, the system isn’t likely to interest individuals with more complicated tax situations who are looking to maximize their return or minimize their balance owing. With no calculations, and no conversation with actual humans, filing by phone is more about confirming your identity, verifying your situation and nothing further.

“When you pass the authentication questions and we’ve confirmed that you’ve actually been invited to use the service, we’ll only ask you questions that we need information for to qualify you for refundable tax credits or benefit and credit payments,” Williams said. “For example, if you live in the province of Ontario, we may ask you, what is the total rent that you paid, or what is the total property tax that you paid so that you can qualify for the Ontario Trillium benefit” — a provincial program designed to help residents with the costs of energy, sales and property taxes.

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