CRA Expands Online Mail Delivery: What Individuals Need to Know
The Canada Revenue Agency (CRA) has significantly expanded its use of online mail, affecting how individuals receive tax-related correspondence. These changes reflect CRA’s broader digital strategy and carry important implications for taxpayers who may not be actively monitoring their CRA accounts.
Automatic Shift to Online Mail for Individuals
Beginning July 3, 2025, CRA transitioned approximately 500,000 individual benefit recipients from paper mail to online-only correspondence. On September 4, 2025, this initiative was broadened to include an additional 900,000 individuals, extending beyond benefit recipients to a wider group of taxpayers.
This change applies to individuals who are registered for a CRA My Account and currently receive paper mail. CRA has stated that affected individuals will be notified either by email or letter, depending on their account setup.
Importantly, this shift does not affect the delivery of benefit, credit, or refund payments. However, it does change how notices, assessments, and other communications are received. Individuals who prefer to continue receiving paper mail must update their correspondence preferences in their CRA My Account profile. CRA also provides a formal election form for opting out of online mail, which must be renewed every two years.
Court Case Highlights Risks of Ignoring Online Mail
A recent Federal Court case (April 29, 2025) illustrates the consequences of not actively monitoring CRA’s online communications. The case involved a taxpayer who requested judicial review after CRA denied her waiver of interest and penalties on excess TFSA contributions made in 2021 and 2022.
CRA had issued a notice of assessment on July 26, 2022, which was posted to the taxpayer’s CRA My Account. Unaware of the notice, she discovered the issue in February 2023 while applying for employment insurance benefits and withdrew the excess contributions shortly thereafter.
The taxpayer argued that she had forgotten she opted for electronic communication and had not linked her email to receive alerts. CRA denied the relief, stating that discretionary relief requires the excess to be withdrawn “without delay,” defined as within 30 days of the notice being posted. Since the withdrawal occurred more than six months later, CRA maintained its position.
The Court upheld CRA’s decision, emphasizing that taxpayers who choose electronic communication are responsible for regularly checking their accounts. CRA is not required to prove that a taxpayer received a notice—only that it was posted.
Final Thoughts
These developments highlight the growing importance of digital engagement with CRA. Whether managing personal or business tax affairs, staying current with CRA’s communication methods is essential to avoid missed notices, penalties, or delays. Taxpayers are strongly encouraged to:
Regularly check their CRA My Account
Ensure a valid email address is linked to receive alerts
Review and update correspondence preferences as needed
Staying informed through CRA’s digital platform ensures timely access to important tax-related information and helps prevent costly oversights.
The preceding information is for educational purposes only. As it is impossible to include all situations, circumstances and exceptions in a newsletter such as this, a further review should be done by a qualified professional.
No individual or organization involved in either the preparation or distribution of this letter accepts any contractual, tortious, or any other form of liability for its contents.