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New CRA Authorize a Rep Process for Feb 2020 per CPA Canada

CRA improves processes for authorizing tax reps
November 2019

Members who practise tax will be glad to hear that the Canada Revenue Agency (CRA) is significantly changing the T1 processes for authorizing tax representatives, based in part on input from CPA Canada’s Technology Working Group. The changes will be ready by February 2020 in time for the next personal tax season. The CRA has asked us to spread the word among our members who practise tax, so check out our handy summary of the revised T1 taxpayer representative authorization processes.

If you go to the link above, then you can download the pdf.

PDF content

CRA improves processes for authorizing tax reps: what’s new?

The Canada Revenue Agency (CRA) plans to implement the following changes to their authorization processes for individuals as of February 2020.

OFFLINE ACCESS: Access to taxpayer information by telephone, in writing and in person

The CRA is introducing the new AUT-01 form, that combines the current T1013, RC59 and NR95 forms in one form. The AUT-01 form is designed for those who may still prefer or need to communicate with the CRA offline, so it can only be mailed or faxed to the CRA.

If you already have online authorization, do not submit a AUT-01 form. The CRA will process all authorization requests that it receives as new requests, and consider them as overriding previous requests if the representative named is already on file. Therefore, tax representatives will lose their online access if they submit a new AUT-01 form.

TWO OPTIONS FOR ONLINE ACCESS : Access to taxpayer information via Represent a Client, by telephone, in writing and in person)

The CRA will offer two online options for representative authorizations.

Option 1 – T1 software

Practitioners using T1 tax preparation software will find that the current electronic version of the T1013 form has been discontinued. Electronic submission of authorizations using T1 software will now generate a new signature page for your client to complete and sign. Once signed, the authorization request can be e-submitted to the CRA using the T1 software. The signed copy of the new signature page must be maintained in either hard copy or electronic format for six years

Option 2 – Represent a Client (RaC)

A new authorization process for individuals will be introduced in Represent a Client (RaC) that mirrors the existing business authorization process. The new process will require the practitioner who has a RepID to log into RaC and print a signature page for their client to sign. Once signed, the practitioner will upload the completed signature page in RaC. This authorization process does not require the use of T1 software.

Other important changes

• Electronically submitted authorizations using T1 software will no longer be denied when there is a “care of” address on your client’s CRA account at the time of submission.

• Barcodes for authorizations will be discontinued.

• Authorizations that are currently active with the CRA will no longer be cancelled on the death of a taxpayer.


As noted, these changes take effect in February 2020. Existing authorizations will remain active, so there is no need to submit a new authorization form.

T1013 replaced by two new options - watch out for tricky wording

BOTTOM LINE

New process to obtain online access is via the Rep A Client generated form which must be:

1 - a generated form with ref # on Rep A Client

2 - signed by client

3 - signed form uploaded to Rep A Client

If you use the new AuthRep form for an existing client then you will loose your online access.

If you use the new AuthRep form for an new client then you will not have online access, just offline.

This will add time and new workflow steps.

Looking at the silver lining this will enable online access when using at c/o address.

This will also retain online access for deceased individuals.

https://www.canada.ca/en/revenue-agency/news/newsroom/tax-tips/tax-tips-2020/changing-how-representatives-authorized.html

We’re introducing new ways to do authorizations online

We’re introducing new digital processes to simplify and speed up the way representatives request online authorizations.

Please note the upcoming changes to the Canada Revenue Agency’s authorization processes starting in February 2020:

We’re introducing new ways to do authorizations online

We’re introducing new digital processes to simplify and speed up the way representatives request online authorizations.

Please note the upcoming changes to the Canada Revenue Agency’s authorization processes starting in February 2020:

  • We’re introducing a new e-authorization process for online access to individual tax accounts. Representatives will be able to request access using a web form through Represent a Client. Similar to the authorization process for business tax accounts, they will need to scan and submit a signature page that has been signed by their client.
  • The existing T1013 form will be discontinued for access to individual tax accounts. The T1013, RC59, and NR95 will be combined into one form called the AUT-01 Authorize a Representative for Access by Phone and Mail . This form will only be used to request offline access to individual and business tax accounts.
    • Note: All AUT-01s submitted to the Canada Revenue Agency (CRA) will be processed as new requests and override previous T1013 submissions. This means representatives will lose their online access if they submit an AUT-01 form (with the exception of non-residents, as there are no online services for non-residents) .
  • If T1 or T2 software is used to e-submit a request for online access to individual and business tax accounts, a new signature page will be generated. This new page must be signed by the client and retained by the representative for six years.
    • Note: There is no requirement to submit a copy of this signature page, unless requested by the CRA.
  • We’re removing some restrictions for e-submitting an authorization using T1 or T2 software. For example, there won’t be an error message when a ‘care of’ address is used on a taxpayer’s account.
  • We’ll no longer be using barcodes for authorization requests.
  • Existing authorizations for individual tax accounts of deceased persons, will no longer be cancelled. This will avoid having to re-authorize the same representative after the client’s date of death.

These changes will take effect on February 10, 2020. Please continue to use the existing Representative authorization processes until this time.

Contacts

Individual Tax Enquiries
1-800-959-8281

Business Enquiries
1-800-959-5525

I think your wrong you do not have to go through represent a client or send in any forms. You just have to have them sign the form in the software . Then transmit like we did the old t1013 and keep a copy on file
if you send in any paper copy they will only let you get info over the phone.

@pugs1
There are two online authorization procedures:

  1. Rep a Client, generated by the representative
  2. CRA My Account or CRA My Business account, generated by the taxpayer or business owner.

The Rep a Client procedure require the Rep to generate a form for the taxpayer’s signature.

The CRA My Account or CRA My Business account requires no tax signature but does require the level and RepID to be completed. I am not especially fond of this system since it depends upon taxpayer to get everything completed correctly. My clients seem to mess up even the simplest of forms.

the one i use all the time is still with the T1 is still like the old 1013, but have used the represent a client one once or twice

Date: Tue 2020-02-11 7:59 AM
From: EFILE-TED noreply@cra-arc.gc.ca
Re: Significant changes to the Canada Revenue Agency’s (CRA) authorization processes for February 2020

Significant changes to the Canada Revenue Agency’s (CRA) authorization processes for February 2020

Please note that you do not need to renew or resubmit authorizations if you do not want or need to make changes to your existing authorizations. The new processes only apply to new authorization requests or new changes to existing authorizations. As always, online access continues to include offline access such as by phone, mail, fax and in-person.

• By mid-February 2020, a new e-authorization process for individual taxpayers will be introduced in Represent a Client (RaC), similar to the existing business authorization process in RaC. This will provide you with an additional method of submitting authorization requests. This process does not require the use of tax software, but does require the uploading of the completed authorization signature page in RaC.

• For online access, the existing T1013 form is being discontinued. This means new e-submission of authorizations using T1 software will generate a new authorization signature page that will need to be signed by the taxpayer and kept by the electronic filer for 6 years.

o IMPORTANT: The CRA may request signed copies of authorization signature pages to verify that taxpayer consent was given. There is no requirement to submit signed paper versions of the signature pages generated by the software package unless the CRA requests the signature page.

• For offline access, three of the CRA’s authorization forms are being combined into one: the T1013, RC59, and NR95 will be combined into the new AUT-01 Authorize a representative for Access by Phone and Mail. Offline access means that the representative can only access taxpayer information by telephone, by mail, or in person.

o With regard to the new AUT-01 for offline access only, it is very important to not mail, fax or upload this form as an e-submission document if you already have online access. All AUT-01 forms submitted to the CRA will be processed as new requests and will override previous requests. If AUT-01 forms are mailed, faxed or uploaded by electronic filers, representatives will lose their online access.

• E-submitting authorizations using software will no longer be delayed for the reasons that generated response messages W103, W104 and W105. For instance, when a ‘care of’ address is present on the taxpayer’s CRA account at the time of submission.

• Barcodes for authorizations will be discontinued.

• Existing level 1 and level 2 authorizations for individuals will no longer be cancelled when the CRA is notified of the death of the taxpayer. This will avoid having to re-submit a new authorization to re-authorize the same representative after the taxpayer’s date of death. Instead, a new condolence letter will be sent to the deceased taxpayer’s Estate informing it of the presence of authorized representatives on the account, and of the option for an executor to either cancel these or to add new ones.

For more information on the changes to authorizations for individuals, please call 1-800-959-8281. For changes to authorizations for business, please call 1-800-959-5525.

I think you missed this part:

" If T1 or T2 software is used to e-submit a request for online access to individual and business tax accounts, a new signature page will be generated. This new page must be signed by the client and retained by the representative for six years.

  • Note: There is no requirement to submit a copy of this signature page, unless requested by the CRA."

In Taxcycle use the AuthRep form for new authorizations and transmit like old T1013.

Nicole

I agree i do not think you understand what has changed and how to deal with it.