Canada Revenue Agency’s 2025–26 Departmental results report

On this page

• At a glance
• Message from the Minister and the Secretary of State
• Foreword by the Interim Chair
• Message from the Commissioner
• Results: what we achieved
  • Core responsibilities: tax and benefits
  • Internal services
• Spending and human resources
  • Spending
  • Funding
  • Financial statement highlights
  • Human resources
• Supplementary information tables
• Federal tax expenditures
• Public Service Commission and assessment of recourse reports
• Corporate information
• Annex A: Strategic Priorities for 2025–26 and their commitments
• Definitions

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Note: The Canada Revenue Agency used generative AI tools (Microsoft Copilot and GENNI, the Agency's internally developed tool) to support the development of content in this report. A human has reviewed and validated all AI-generated content.

Message from the Minister and the Secretary of State

As Minister of National Revenue and Secretary of State (Canada Revenue Agency and Financial Institutions), we are pleased to present the Canada Revenue Agency’s 2025–26 Departmental Results Report.

Canadians expect and deserve a tax and benefit system that is fair, efficient, and worthy of their trust. That trust is fundamental to Canada’s voluntary tax system. It helps ensure that individuals and businesses meet their obligations with confidence and that Canadians can access the benefits and credits that support them and their families. This report outlines the CRA’s progress over the past year in strengthening service delivery, reinforcing compliance, and supporting government priorities.

Facing increased demand for services and higher expectations from the public, we directed the CRA to implement a 100-day Service Improvement Plan to enhance service delivery, improve accessibility, and reduce delays. Through the 2026 tax filing season, the Agency increased contact centre capacity, expanded digital service options, and addressed root causes of service challenges. Building on this momentum, the CRA is continuing to advance longer-term improvements through its One Agency Perspective, which focuses on service excellence, effective revenue generation, and operational efficiency.

Helping Canadians access the benefits and credits to which they are entitled remains central to the CRA’s mandate. During the year, the Agency expanded simple and automated filing options for individuals with straightforward tax situations, reducing barriers for low income and vulnerable Canadians. Building on this progress, legislative changes announced in Budget 2025, including the discretionary authority to file a tax return on behalf of an individual, will further support benefit access and participation in the tax system.

The CRA also supported the Government of Canada's commitment to modernizing operations and improving efficiency. Through the Comprehensive Expenditure Review, a portion of savings was reinvested into areas that strengthen service, compliance, collections, and revenue generation. Consistent with government‑wide priorities outlined in the 2026 Spring Economic Update, the CRA made use of automation and artificial intelligence in a responsible manner to support faster responses, reduce repetitive administrative tasks, and help Canadians more easily navigate CRA services.

Ensuring the fairness of the tax system is essential to public confidence and to supporting government programs and services that Canadians rely on every day. Throughout the year, the CRA continued to take action against aggressive tax avoidance, tax evasion and other serious forms of non-compliance, while helping taxpayers understand and meet their obligations. The publication of the second overall federal tax gap report, together with its approach to addressing the tax gap, provided greater transparency on the nature and extent of non-compliance and reaffirmed the CRA's commitment to protect Canada's revenue base.

Combatting serious tax crime and financial misconduct also contributes to keeping Canadians and the economy safe. The CRA continued to work closely with domestic partners, including the Royal Canadian Mounted Police and the Financial Transactions and Reports Analysis Centre of Canada, as well as international partners through initiatives such as the Joint Chiefs of Global Tax Enforcement, to address tax evasion, money laundering, fraud, and organized financial crime that undermine fair competition, confidence in Canada’s institutions, and financial security.

The tax system also plays an important role in supporting innovation, investment, and long-term economic growth. Through programs such as the Scientific Research and Experimental Development tax incentive program and the Clean Economy Investment Tax Credits, the CRA helps encourage investment, productivity, and innovation across Canada. Improvements to the administration of these programs, in collaboration with businesses, academic institutions, and other partners, will help provide greater certainty, improve service, and support Canada's competitiveness in an increasingly changing global economy.

The accomplishments described in this report were made possible by the dedication and professionalism of the CRA’s employees. Their work supports a tax and benefit system that contributes to affordability, fairness, and economic opportunity for people across Canada.

The Honourable François-Philippe Champagne, P.C., M.P.
Minister of National Revenue

The Honourable Wayne Long, P.C., M.P.
Secretary of State (Canada Revenue Agency and Financial Institutions)

Foreword from the Interim Chair

In a demanding operating environment, the Board of Management sought to drive focus on the CRA’s most important priorities and their intended outcomes. In doing so, we examined whether the CRA’s plans were supported by evidence-based decision-making and clear accountabilities. We stressed the need to address emerging issues early using predictive data, strengthen performance reporting, and maintain a direct connection between commitments, actions, and results.

This involved improving service delivery and the client experience, modernizing technology, enhancing security, and strengthening organizational capacity, while also ensuring these efforts were closely integrated. Achieving lasting results requires secure and reliable technology, strong governance, and effective risk management.

This report shows progress, and the Board recognizes the commitment and expertise of the many employees who drove results. The report also makes clear that there is much more work to do.

The year ahead will require clear choices, execution and ongoing attention to results. The Board will continue to hone the CRA’s priorities, focusing on the areas of greatest impact and translating plans into measurable results. That may mean some short-term trade-offs, but with better overall medium-term results. We will focus the CRA on practical ways to enhance service timelines and the overall client experience for those receiving benefits or paying their taxes. We will focus on promoting a fair and transparent tax system while fostering trust in the CRA’s administration and the government’s operations.

Through strong oversight and collaboration, the Board remains committed to helping the CRA deliver meaningful results for Canadians and ensuring the CRA continues to adapt and thrive in an evolving environment.

Madhuri Parikh
Interim Chair, Board of Management

Message from the Commissioner

In 2025–26, the Canada Revenue Agency (CRA) faced significant service pressures that affected the ability to consistently meet Canadians’ expectations. Throughout the year and particularly with the 100-day Service Improvement Plan, considerable progress was made in improving access to services, strengthening service standards, and scaling new technologies, all while enhancing user-friendly services. The results detailed in this report demonstrate meaningful progress, and that positive momentum continues, with further improvements underway for the coming year and beyond.

A recurring theme in the report is simplification. Canadians should be able to understand their obligations, access the benefits to which they are entitled, and interact with the CRA as easily as possible. SimpleFile services, digital self-service, and improved online information were significant achievements and point to a broader opportunity to reduce complexity and improve how Canadians experience the tax and benefit system.

A strong tax system must be fair. The vast majority of Canadians meet their obligations, and they rightly expect the system to be administered equitably. The CRA continued to strengthen efforts to address tax evasion, aggressive tax planning, fraud, and other forms of non-compliance, while also supporting voluntary compliance through outreach, education, and improved services. This work included targeted action against GST/HST refund schemes, enhanced efforts to address tax avoidance involving wealthy taxpayers and promoters, and strengthened international collaboration to combat tax crime.

The report highlights how digital services, automation, data-driven decision-making, and the responsible use of artificial intelligence are helping transform how the CRA serves Canadians and increases the efficiency of its operations. These efforts were complemented by measures introduced through the Comprehensive Expenditure Review, which focused resources on priority activities that strengthen service, compliance, and revenue generation. During the year, the CRA expanded digital identity verification and self-service capabilities, advanced AI-enabled tools to support employees and improve access to information, and increased the use of automation to improve processing and service delivery.

The CRA also continued to support its workforce by strengthening leadership, advancing accessibility and inclusion, supporting employee well-being, and equipping employees with the skills needed to work in an increasingly complex and digital environment.

Looking ahead, the CRA will continue building on the progress achieved and be guided by the One Agency Perspective, its strategic plan focused on service excellence, revenue generation, and operational efficiency, all supported by workforce health and readiness.

I would like to thank CRA employees across the country for their professionalism, resilience, and commitment in a year marked by significant change. As the CRA continues to evolve, their dedication provides the foundation for a world-class tax and benefit administration that is trusted, fair and helpful.

Heather Evans
Commissioner of the Canada Revenue Agency

Results: what we achieved

Core responsibilities and internal services

• Core responsibilities: tax and benefits
• Internal services

Core responsibilities: tax and benefits

Description of tax

The CRA’s core responsibility for tax is to ensure that Canada’s self-assessment tax system is sustained by providing taxpayers with the support and information they need to understand and fulfill their tax obligations, and by taking compliance and enforcement action when necessary to uphold the integrity of the system, offering avenues for redress^{Footnote 2} whenever taxpayers may disagree with an assessment/decision.

Description of benefits

The CRA’s core responsibility for benefits is to ensure that Canadians obtain the support and information they need, to know what benefits they may be eligible to receive, that they receive their benefit payments in a timely manner, and have avenues of redress when they disagree with a decision on their benefit eligibility.

Quality of life impacts

In its role as the administrator of benefits and credits, the CRA contributes to the “prosperity” domain of the Quality of Life Framework for Canada and, more specifically, “Household income” and “Making ends meet” quality of life indicators. These contributions can lead to poverty reduction, impacting the Poverty indicator, by providing vulnerable populations and Indigenous communities with better access to the benefits and credits to which they are entitled.

Progress on results

In carrying out its two core responsibilities of administering taxes and benefits, the CRA measured its performance against 11 departmental result indicators (see tables 1 and 2). The CRA also made specific commitments to Canadians for 2025–26, to advance its strategic priorities for its core responsibilities. These results are presented in the “Details on the results” section below.

Table 1 provides a summary of the target to be achieved by March 31, 2026, and actual results for each indicator associated with the results under tax.

Table 1: Targets and results for tax

Departmental result indicators	2025–26 target	2025–26 actual result	2024–25 actual result	2023–24 actual result
Percentage of individual tax returns filed on time	At least 90%	90%	91%	89%
Percentage of businesses registered for GST/HST	At least 90%	87%	87%	88%
Percentage of tax liabilities paid on time	At least 91%	93%	93%	92%
Percentage of Canadians who participate in the income tax systemFootnote 3	At least 93%	93%	94%	94%
Ratio of collectible tax debt to total net receipts (cash accounting)	At most 20%	28.5%	25.3%	25%
Percentage of external service standards targets that are met	At least 75%	55%	61%	55%
Service Satisfaction Index	At least 7.5	6.9	7.6	7.4
Public Perception Index: Trust	At least 7.0	6.2	6.8	6.6

Table 2 provides a summary of the target to be achieved by March 31, 2026, and actual results for each indicator associated with the results under benefits.

Table 2: Targets and results for benefits

Departmental result indicators	2025–26 target	2025–26 actual result	2024–25 actual result	2023–24 actual result
Percentage of Canada child benefit payments issued to recipients on time	100%	100%	100%	100%
Percentage of respondents satisfied with overall benefits experience	At least 75%	72%	72%	72%
Percentage of taxpayers (benefit recipients) who filed as a result of targeted CRA intervention	At least 10%	Not reportedFootnote 4	Not reported	11%

The Results section of the Infographic for the CRA on GC InfoBase provides additional information on results and performance related to its program inventory.

Details on results

The CRA presents its plans under four strategic priorities that align with its mandate, Departmental Results and Government of Canada (GC) priorities. The following section describes the results of the CRA’s commitments for each strategic priority related to tax and benefits in 2025–26 compared with the planned results set out in the CRA’s departmental plan for the year.

Result 1: Taxpayers comply with Canadian tax obligations, the right tax revenue is secured for Canadians, and Canadians have trust in the CRA.

Result 2: Canadians receive their rightful benefits.

A. Deliver high-quality services

The CRA faced a challenging year in service delivery to Canadians. In the fall of 2025, the Auditor General found that CRA contact centres were not providing taxpayers with timely and accurate information. At the same time, the CRA was falling short of meeting other service standards while some of its programs’ backlogs grew with increased demand.

In response to these challenges, the CRA launched the 100-day Service Improvement Plan. Efforts focused on strengthening contact centre operations, expanding digital and self-service options, addressing the underlying causes of service issues, and accelerating service modernization, helping Canadians access the information and assistance they need more efficiently. While these efforts resulted in measurable improvements, the CRA recognizes that service challenges in recent years have affected Canadians and that further work is required to consistently deliver timely, accessible, and high-quality service. 

Despite progress made during the year, challenges remain in meeting Canadians’ expectations for service. While several services demonstrated notable improvements compared to the previous year, performance pressures continued in more complex and resource-intensive workloads. Areas such as reassessments, Canada child benefit applications, disability tax credit determinations, and service feedback complaints continued to experience workload demands that exceeded processing capacity, contributing to inventories and processing delays. The CRA continues to identify opportunities to enhance process efficiency, increase automation, and strengthen service delivery to improve timeliness and address these challenges.

This priority contained 7 commitments in the CRA’s 2025–26 Departmental Plan. During this reporting period, all seven commitments were met. Refer to Annex A for a complete list of commitments and their results identified as having been met or not met.

A1. Improve contact centre service

High quality service helps Canadians and businesses meet their tax obligations voluntarily. Timely and accessible contact centre services play an important role in helping Canadians receive the information and support they need to meet their tax obligations and access the benefits and credits for which they may be entitled. In 2025–26, demand remained high, with approximately 32.8 million calls handled, contributing to ongoing service pressures.

Additional staffing helped respond to high call volumes, while call management was enhanced with data and analytics to better understand call drivers and direct enquiries more efficiently. At the same time, improvements to digital tools and self-service options enabled more Canadians to resolve issues independently. Advanced technologies were leveraged to improve access to information, including the expansion of the generative AI chatbot pilot to cover a broader range of topics, increasing its scope from approximately 6,000 to nearly 15,000 web pages while maintaining a focus on key service areas. Together, these actions contributed to an enhanced and more efficient service experience, enabling service representatives to focus on more complex client needs.

The CRA also continued to monitor and elevate service quality through ongoing call evaluations, including the evaluation of over 164,000 calls using a structured quality monitoring framework that assesses the accuracy, completeness, and professionalism of information provided to callers. Results showed 96% call quality, 92% call accuracy, and 80% caller satisfaction. While these results are positive, the CRA will continue its monitoring and improvement efforts to address areas requiring attention.

Performance outcomes and results for commitments under this objective for 2025–26:

1. Completed the pilot of a generative AI chatbot beta, providing users with quick, plain language responses grounded in authoritative online sources, while adhering to privacy, accessibility, and responsible AI requirements established through the CRA's AI Stewardship Process. The chatbot supported approximately 2.6 million questions with an accuracy rate of 91%.
2. Enabled 334,400 users to successfully regain access to their CRA account using the document verification service self-service option, helping to mitigate approximately 289,900 calls to contact centres.

A2. Increase automation of tax filing and improve access to benefits

Benefit and credit payments help make life more affordable, and filing a tax return is the key step that allows individuals to receive the support to which they are entitled. However, some Canadians face barriers to filing and accessing benefits, particularly those from hard-to-reach populations and those with modest incomes. These barriers can include language or literacy challenges, documentation requirements, and the complexity of navigating the tax and benefit system. To address these challenges, the CRA made it easier to file and access benefits by expanding automated services, enhancing digital tools, and strengthening community-based support. Simplified filing options and increased outreach helped individuals complete their returns more easily and confidently while minimizing the risk of errors.

A key component of this effort was the expansion of SimpleFile services to nearly 2.9 million individuals. SimpleFile by Phone and SimpleFile Digital provide free, secure, and easy-to-use options for eligible individuals with simple tax situations. For the 2025 tax year, more than 1.4 million individuals were invited to use the service and an additional 1.4 million were granted access without requiring an invitation, significantly expanding availability and supporting participation in the tax and benefit system.

The administration of the disability tax credit (DTC) was also strengthened to improve access and timeliness for applicants. Actions to address upstream service pressures included optimizing application processing, coupled with efforts to reduce backlogs and accelerate determination decisions. This resulted in the processing of more than 23,000 additional DTC cases, improving timeliness while maintaining service levels. While service pressures remain, updates to the program to streamline the DTC certification requirements for specific medical conditions outlined in the 2026 Spring Economic Update, subject to Royal Assent, will improve the CRA’s processing of applications.

Community partnerships also continued to play a vital role in improving access. Through the Community Volunteer Income Tax Program (CVITP) and the Income Tax Assistance Volunteer Program (ITAVP) in Quebec, free tax clinics were offered across the country, helping 926,710 individuals with modest incomes and simple tax situations complete their returns. The importance of this work was reinforced through the renewal of the CVITP Grant for an additional three years, announced in February 2026 as part of the program’s 55th anniversary.

The CRA also continued implementing its Indigenous Strategy, focusing on improving service experiences, building trust, and increasing participation in the tax and benefit system. Efforts to make services more inclusive included expanding access to relevant information and supporting enhanced accessibility for Indigenous clients. Public Opinion Research results indicate progress toward achieving the Strategy's two intermediate outcomes: improving trust and increasing service satisfaction among Indigenous Peoples. However, these results are still slightly below those of the overall Canadian population, reinforcing the importance of sustained, distinctions-based approaches, to ensure that actions are responsive to the differing experiences of First Nations, Inuit and Métis.

"Fair access is essential for everyone. Filing a tax return opens the door to important benefits and credits, but many still have trouble doing it. We are committed to ensuring Canadians can access their benefits in a secure yet user-friendly way. The Board has especially stressed the need to expand automated services, reach underrepresented groups, and make filing easier."

Performance outcomes and results for commitments under this objective for 2025–26:

3. Increased the number of individuals eligible for simplified filing services to approximately 2.9 million for the 2025 tax year through SimpleFile by Phone and SimpleFile Digital, up nearly 0.9 million over the previous year.
4. Increased the number of individuals helped through the Community Volunteer Income Tax Program (CVITP) by 8% to 926,710, providing access to over $2.5 billion in federal and provincial benefits and credits to low-income and vulnerable individuals.
5. Continued to implement the CRA’s Indigenous Strategy 2024–2027, including expanding access to information in Indigenous languages, with the number of products available increasing to 41 and the publication of the Taxes and benefits for Indigenous peoples web page in Inuktitut (North Baffin dialect).

A3. Simplify client interactions

Clear and accessible information is critical to helping individuals and businesses understand their obligations and entitlements, and to reducing barriers to compliance and benefit uptake. Client interactions were improved by enhancing the clarity, accessibility, and consistency of information. This included enhancements to account features, digital filing processes and portal support with the integration of links to frequently asked questions to provide timely, relevant assistance.

Through the Web Optimization Strategy, the CRA adopted a user-centred, data-driven approach to transform how content is designed and delivered. The strategy was developed in response to common client challenges navigating and understanding information on high-demand tax and benefit pages, which often resulted in Canadians contacting the CRA for assistance. This work focused on addressing issues identified through contact centre data, analytics and usability research. Key user pain points and high-demand web pages were optimized. This included clarifying instructions on registering for a CRA account to improve ease of use, as well as helping new businesses more easily understand and complete key registration requirements, such as obtaining a business number and opening program accounts. Over five years, the CRA clarified the information on nearly 2,900 high-demand webpages. The result was a 36 percentage point increase in the ability of taxpayers to successfully find and understand the answers to their questions, helping Canadians and businesses resolve issues independently and reducing the need to seek assistance from the CRA.

Improvements were made to online document submission processes and guidance, making it easier for Canadians to provide documents to the CRA. These changes reduced the number of documents sent to the wrong area and that required redirection by 35%, helping clients receive service more efficiently. As services and client expectations continue to evolve, ongoing efforts are required to ensure information remains clear, accessible, and easy to navigate.

"High-quality service means making it easier for taxpayers to get the help they need and complete tasks quickly and confidently. The Board has encouraged the CRA to improve the entire service experience by listening to client feedback, reducing barriers, and making services simpler, clearer, and easier to use. At the same time, personalized support must remain available for those who need extra help. By combining simple, accessible services with meaningful support, the CRA can better meet the needs of all Canadians and help them access important benefits, information, and services with greater ease and confidence."

The CRA also supported businesses by simplifying access to information and services related to the new Clean Economy Investment Tax Credits (ITCs), implemented in partnership with Natural Resources Canada. The Clean Economy ITCs will help Canada contribute to net-zero emissions while supporting economic growth and green innovation, and provide the certainty needed for businesses and investors to invest and build in Canada. As part of this work, the CRA delivered five new ITCs, including Carbon Capture, Utilization and Storage, Clean Technology, Clean Hydrogen, Clean Technology Manufacturing, and Clean Electricity. From the launch of the first ITCs in June 2024 to March 2026, the CRA received 1,763 claims, valued at $1.6 billion, and processed 465 claims. Demand for these incentives has expanded rapidly, with claim volumes more than doubling since the beginning of 2026. This growth reflects accelerated investments in clean technologies and major projects across Canada. Since January 2026, the CRA has made substantial progress in processing outstanding claims. Additional funding of $146 million over five years, provided in Budget 2025, has allowed the CRA to significantly accelerate the delivery of the Clean Economy ITCs and increase claim processing capacity by more than 4.5 times.

Performance outcomes and results for commitments under this objective for 2025–26:

6. Enabled individual and business clients to quickly and easily learn about their tax obligations and entitlements to benefits and credits by providing clear, well-developed online answers to general, non-account-specific questions on Canada.ca. For example, clarifying the online information about the Canada child benefit made it significantly easier for parents and caregivers to get answers to the questions they had about eligibility, payments, and how to apply, without having to contact the CRA.
7. Ensured a seamless service experience for businesses seeking to claim the new clean economy investment tax credits (ITC) through updated and simplified information, targeted outreach, and dedicated support channels, implemented in partnership with Natural Resources Canada.

B. Ensure the fairness of the tax system

The CRA plays a central role in generating revenue for governments across Canada, which helps fund the public programs and services that Canadians rely on every day. Ensuring the fairness and integrity of the tax system is essential to maintaining public trust and promoting voluntary compliance. While the CRA invests in services and outreach to help taxpayers meet their obligations, it also undertakes compliance, collections, and enforcement activities, applying increasingly severe interventions where needed to protect Canada's revenue base.

Following the Comprehensive Expenditure Review, a portion of savings was reinvested to improve services, strengthen compliance, and reduce tax debt. While these reinvestments are expected to strengthen capacity over time, particularly in key compliance, collections, and modernization activities, short-term operational pressures continued to affect results. Investments focused on modernizing operations through advanced technologies, such as artificial intelligence and data analytics, and strengthening risk-based approaches to better target high-risk sectors and emerging threats. By shifting toward more proactive and efficient compliance activities and addressing growing tax debt, these measures are expected to increase revenue generation over time while reducing costs and risks, supporting a fair and sustainable tax system for Canadians.

Over the past five years, the CRA has increased its fiscal impact by approximately $5.25 billion. In 2025–26 alone, the CRA achieved a fiscal impact of nearly $18.5 billion identified through compliance activities through the completion of 87,369 cases. This was achieved by focusing on areas with the highest tax risks, simplifying and modernizing processes and operations through greater use of technology, and investing in our workforce. Together, these efforts demonstrate the CRA’s contribution to fairness in the tax system by ensuring that high-risk non-compliance is detected and addressed and that taxpayers pay the taxes they owe.

"Fairness and integrity are at the heart of Canada’s tax system, and the Board works closely with the CRA to uphold these principles. We give advice and guidance to support the CRA in improving financial reporting and improving risk management. The Board focuses on overseeing the government’s revenue generation and reinvestment targets. And it monitors the CRA’s resource allocation to make sure resources go to areas with the greatest positive impact on Canadians. By encouraging transparency and accountability, we strive to make taxpayers confident that public funds are being protected and managed responsibly and that the CRA will deliver on its commitments."

This priority contained 7 commitments in the CRA’s 2025–26 Departmental Plan. During this reporting period, the CRA met 5 of its 7 commitments. Refer to Annex A for a complete list of commitments and their results identified as having been met or not met.

B1. Increase the rate of resolution of the tax debt

The collection of outstanding tax debt is essential to maintaining the fairness and integrity of the tax system. When individuals and businesses meet their tax obligations, it helps ensure that the tax burden is shared fairly and that governments have the revenue needed to fund public services. However, in 2025–26, collecting tax debt through payments and payment arrangements became more challenging due to ongoing economic pressures and an increase in older, more complex balances. As a result, tax debt continued to grow as the volume of new debts entering outpaced the rate at which debts were resolved. In 2025–26, the CRA resolved $87.7 billion in collectible tax debt, representing a 48.8% increase since 2019–20. The ratio of collectible tax debt resolved to total net receipts increased to 28.5%, up 3.2 percentage points from the previous year. While the CRA improved the amount of tax debt resolved, overall tax debt continued to grow as new debt accumulated and existing balances remained outstanding.

To address these challenges, the CRA continued to modernize its collections approach by expanding digital services and simplifying processes to make it easier for taxpayers to manage their obligations. This included the launch of the Manage balance service in the CRA’s My Account portal, which offers taxpayers with certain tax debts of $1,000 or more the ability to independently set up payment arrangements without needing to contact a service representative, make full or partial payments, schedule payment plans, and connect with a collections officer. As of March 31, 2026, the service supported $542.7 million in payments and payment arrangements and was made available to over 3.7 million taxpayers.

Performance outcomes and results for commitments under this objective for 2025–26:

8. The CRA did not meet its target to resolve approximately $1.2 billion in outstanding tax debt for the 2025–26 fiscal year. Production results were impacted by lower-than-expected performance across major collections programs. Since Budget 2021, the economic landscape has deteriorated and financial pressures on Canadians have increased, impacting the ability of individuals and businesses to pay. This was also influenced by operational pressures, including reduced staffing levels and resource reallocations, that affected the CRA’s capacity and overall results. Despite these challenges, the CRA remains committed to resolving outstanding tax debt through ongoing compliance and collection efforts.

B2. Combat aggressive tax planning and tax evasion

The CRA strengthened efforts to address aggressive tax planning and tax evasion by pursuing wealthy individuals, promoters and advisors, businesses, and entities who tried to evade or avoid taxes, or conceal assets and income offshore. The CRA focused on the highest-risk cases and took targeted enforcement action. This work relied on using enhanced analytics and modern tools, and leveraging domestic and international collaboration. These efforts contributed to identifying and deterring non-compliance, recovering revenues, and promoting a fairer tax system for Canadians.

The CRA Criminal Investigations Program (CIP) investigates significant cases of tax evasion, tax fraud, and other serious violations of tax laws, referring cases to the Public Prosecution Service of Canada (PPSC) for potential criminal prosecution where appropriate. Over the past five fiscal years, investigations by the CIP resulted in 77 cases being referred to the PPSC and 80 convictions with sentencing, involving more than $32 million in federal tax evasion, $21.8 million in court-imposed fines, and over 83 years of prison sentences. To support this work, the CRA continued to strengthen its investigative capacity by improving case information management and modernizing disclosure tools to support successful prosecutions. Working closely with law enforcement partners, the CRA addressed complex financial crimes, including those linked to money laundering and organized illicit activities. Publicized criminal convictions and other high profile enforcement actions help deter non-compliance by demonstrating that tax crimes can result in significant penalties, including fines, imprisonment, and a criminal record.

International collaboration remains essential to addressing aggressive tax planning and tax evasion, particularly in cases involving cross-border transactions and multinational activities. In 2025–26 the CRA continued its work with over 50 tax administrations through the Organisation for Economic Co-operation and Development (OECD) Forum on Tax Administration to support tax transparency and the exchange of information. In addition, Canada continued its participation in the Joint Chiefs of Global Tax Enforcement, also known as the J5, collaborating with international partners to combat tax crime and money laundering. These efforts support greater tax transparency and strengthen the CRA’s ability to identify and address non-compliance that spans multiple jurisdictions.

The efforts form part of a broader approach to compliance that also includes early intervention and support to help prevent issues before they escalate. For example, the Back on Track with Trust Accounts Examination initiative was launched as an education-focused service that helps eligible businesses and self-employed individuals self-correct errors through assisted compliance examinations. This approach reduces the risk of future non-compliance by helping employers understand their payroll responsibilities and correct issues early, while supporting all taxpayers in meeting their obligations.

Transparency and accountability in the charitable sector remain a priority, achieved by making information about a charity’s operations, finances, and governance publicly available. In 2025–26, the CRA administered the regulatory framework for approximately 86,000 registered charities and 4,500 other qualified donees, while strengthening oversight in a complex and evolving risk environment. Misuse of charitable assets can affect beneficiaries, erode public confidence, and impact the fairness and integrity of the tax system. To address this, the CRA enhanced its oversight by refining risk assessment approaches, improving documentation and decision-making, and advancing the use of data and digital modernization to strengthen its ability to identify and address potential non-compliance. Charities were also supported through outreach and compliance assistance to help them meet their obligations. Collectively, these efforts help protect charitable assets, support beneficiaries, and reinforce Canadians’ confidence in the charitable sector and the tax system.

The CRA also processed 121,572 Special Elections and Returns, which allow taxpayers and businesses to access specific tax treatments under Canada's tax laws. This work helps ensure the appropriate tax treatment is applied and protects Canada's revenue base. Through its review of Capital Dividend Elections, the CRA identified $936.9 million in excess capital dividends, and converted $455.9 million to taxable dividends, supporting the fair and consistent application of tax laws.

In 2025–26, compliance in the trucking industry was advanced following the lifting of the moratorium on T4A penalties. In response to the updated reporting requirements, communication activities were undertaken to ensure trucking businesses are aware of and comply with their tax obligations. Actions included a virtual information session with the Canadian Trucking Alliance and its provincial counterparts, new web content, a technical webinar, and social media messaging. In collaboration with federal and provincial partners, the CRA participated in outreach events at weigh stations across 5 provinces, interacting with 1,089 drivers. The changes to reporting requirements strengthen compliance and oversight by making it easier for payers and workers to meet their tax responsibilities. Beyond compliance, they support safer road practices and fairer working conditions, while enhancing the CRA’s capacity to address risks in the trucking sector through Budget 2025 investments.

Performance outcomes and results for commitments under this objective for 2025–26:

9. Improved compliance activities and focused on the highest risk cases to address tax avoidance by wealthy taxpayers and tax schemes supported by promoters and advisors. The CRA implemented new data strategies, modernized tools, and explored the use of advanced technologies, including artificial intelligence. This led to enhanced data integration and business intelligence, enabling the CRA to better detect and respond to tax non-compliance, reinforcing that everyone is expected to pay the taxes they owe. To support compliance actions involving promoters, advisors, and their clients, the CRA updated the IC01-1 Third-Party Penalties which improves transparency by clearly outlining how these penalties apply, helping to promote awareness and compliance.
10. Advanced efforts to combat aggressive tax planning through the development and implementation of enhanced audit tools and methodologies. This strengthened audit effectiveness and led to increased additional tax assessed.
11. Published the CRA’s second overall federal tax gap report covering tax years 2014 to 2022, integrating prior research, applying revised methodologies, and demonstrating the impact of compliance and collection activities. For tax year 2022, the net tax gap, which is the difference between the amount of tax that should be paid if all obligations are fully met and the amount that is actually reported and collected, was estimated at 9.3% of federal tax revenue ($34.7 billion). This estimate reflects a potential 42% reduction from the gross tax gap, demonstrating the impact of CRA compliance and collection efforts. The CRA also published its approach to addressing the tax gap through targeted compliance actions, improved data use, and efforts to encourage voluntary compliance. These insights strengthen transparency, improve understanding of the drivers of non-compliance, and support a data-driven approach to protecting Canada’s revenue base.
12. While the commitment related to the Reporting Fees for Service (RFS) initiative was not met, the work undertaken produced meaningful outputs that support increased compliance. Through consultations with internal and external partners, the CRA identified key challenges related to RFS reporting requirements, under which businesses must report payments over $500 (generally via T4A slips) for services. These insights informed updated web content, compliance analysis, and clear, accessible guidance to help businesses better understand their obligations. This work reinforces fair and consistent application of tax obligations and helps reduce non-compliance.

B3. Continue to tackle non-compliance in the most serious cases and implement strategies to address non-compliance in emerging high-risk areas

Focusing on the most serious and emerging forms of non-compliance is essential to protecting tax revenue and maintaining the fairness and integrity of the tax system. The CRA continued to strengthen its risk-based approach to compliance through enhanced data-driven tools, modernized risk assessment systems, and a focus on high-risk sectors and emerging areas where non-compliance poses significant risks to Canada's revenue base and the integrity of the tax system. These improvements support earlier detection of non-compliance and enable more effective and efficient use of compliance resources, including the introduction of refined risk-based processes to enhance payroll compliance activities.

Performance outcomes and results for commitments under this objective for 2025–26:

13. Improved business intelligence and modernized risk assessment systems to strengthen compliance efforts and combat aggressive GST/HST schemes by identifying suspicious behaviours earlier, enabling accounts to be closed before unwarranted refunds are issued. The CRA exceeded its $250 million target, identifying $344 million in unwarranted GST/HST refunds, and met the overall five-year Budget 2021 commitment of $1 billion, helping to prevent abuse of the tax system.
14. Identified and secured approval for the necessary information technology (IT) infrastructure modifications to support the implementation of the Crypto-Asset Reporting Framework (CARF), with project planning activities initiated and underway. Once implemented, CARF will enable the collection and automatic exchange of information on specified crypto-asset transactions, strengthening the CRA’s ability to detect non-compliance in this emerging high-risk area.

C. Transform digitally

Digital transformation in 2025–26 focused on modernizing service delivery and making operations more efficient. As digital expectations continue to evolve and new technologies are increasingly integrated into operations, balancing innovation, security, and privacy remains essential. A strong emphasis continued to be placed on ensuring that new tools are used responsibly, securely, and in a way that respects privacy. At the same time, modernization efforts enabled more efficient and productive ways of working, contributing to the efficient use of public resources.

"Digital transformation offers immense potential to improve how the CRA serves Canadians, but it must be pursued thoughtfully and responsibly. The Board has supported the CRA in its efforts to integrate technologies like artificial intelligence and automation while ensuring strong governance, privacy protections, and measurable benefits. Our shared goal is to ensure that innovation leads to meaningful improvements in service and operational efficiency while respecting the trust taxpayers place in the CRA."

In alignment with the Government of Canada's direction and supported by the CRA’s AI Stewardship Process, the CRA advanced the responsible use of artificial intelligence (AI) across service delivery, compliance activities, fraud detection, and enterprise productivity. AI tools, including Microsoft Copilot, the internally developed GENNI, and the CRA GenAI chatbot, were used to support employee productivity and improve access to information, while safeguards helped ensure their use remained secure, transparent, and aligned with legal and ethical requirements. Additional information on the CRA's use of AI is provided in the Artificial Intelligence section of this report.

The CRA continued modernizing how people, processes, and technology work together across the organization. This included strengthening the use of data to inform decision-making and improving the consistency and efficiency of service delivery. The work aligns with the broader vision of the Organisation for Economic Co-operation and Development (OECD) Tax Administration 3.0, which aims to simplify and modernize tax and benefit services so they are more seamless and easier for Canadians to use.

While significant progress has been made in modernizing services and operations, digital transformation remains an ongoing journey. The CRA continues to operate in an environment shaped by changing technologies, evolving client expectations, and increasingly sophisticated security risks, requiring continuous adaptation and improvement.

Taken together, the progress achieved in 2025–26 reflects a deliberate and forward-looking approach to digital transformation. By advancing integration, improving how services are designed and delivered, and investing in its workforce, the CRA is enhancing its ability to provide reliable, accessible, safe, and secure services that meet the evolving expectations of Canadians.

This priority contained 6 commitments in the CRA’s 2025–26 Departmental Plan. During this reporting period, all six commitments were met. Refer to Annex A for a complete list of commitments and their results identified as having been met or not met.

C1. Become a more secure and efficient organization

Protecting CRA systems, processes, and data remained essential to maintaining secure and reliable operations. As cyber threats and fraudulent activities continue to evolve, the CRA regularly adjusts and strengthens its technologies, processes, and controls to address emerging risks and enhance its security posture. Efforts focused on improving how risks are identified and managed across systems and applications, strengthening the ability to respond to emerging cybersecurity risks while safeguarding taxpayer information.

"As the CRA continues to expand its digital services, cybersecurity remains a cornerstone of maintaining public trust. The Board has worked with the CRA to oversee and guide how it manages emerging cyber risks and how it safeguards taxpayer information. By focusing on resilience and proactive risk management, we are supporting the CRA’s ability to provide secure and reliable services in a digital world."

Improvements to service delivery were driven by expanding the use of automation and digital tools to handle routine and repetitive tasks with greater speed and consistency. By reducing the need for manual processing, these tools helped streamline internal workflows and lowered administrative burden. This allowed employees to dedicate more time and expertise to accounts requiring direct intervention, particularly those involving more complex or sensitive cases, ultimately improving the accuracy, timeliness, and overall quality of service provided to Canadians.

Automation continued to play a key role in improving efficiency. Robotic process automation (RPA), which uses software to automate repetitive, rule-based tasks by replicating routine workflows, was applied across multiple workloads to reduce backlogs and accelerate processing. This included areas such as Canada child benefit (CCB) applications, disability tax credit (DTC) claims, and GST/HST credit applications for new residents. The implementation of RPA saved thousands of hours of manual effort and improved processing times for high-volume workloads, helping address service pressures by resolving issues earlier.

Automation was also leveraged to support the wind-down of the Canada Carbon Rebate for small businesses following the Government of Canada's announcement to sunset the carbon pricing framework. Through an innovative automated solution, the CRA returned more than $3.2 billion in fuel charge proceeds to over 778,000 eligible businesses, fulfilling the Budget 2024 commitment ahead of schedule, with final payments issued in December 2025.

Improving efficiency and ensuring the sustainable use of public resources includes adjusting activities to align with evolving government priorities. This involves phasing out work related to programs such as the digital services tax, the federal fuel charge, and the Canada Carbon Rebate for individuals and businesses. It also includes closing out activities associated with the underused housing tax and the luxury tax on aircraft and vessels following their elimination as proposed in Budget 2025. These adjustments support the reallocation of resources to areas critical to generating revenues and enable continued improvements in the services provided to Canadians.

Enabling employees to work more effectively in a digital environment remained a key focus. Through training, awareness initiatives, and hands-on learning opportunities, employees were supported in building the skills needed to adopt new tools and integrate them into their daily work. This helped strengthen digital capacity across the organization and enabled the transition to more modern and efficient ways of working.

Maintaining reliable and continuous IT and people-focused solutions remained essential to supporting the CRA's operations in an evolving threat environment. Efforts focused on improving how risks are identified and managed across systems and applications, enabling consistent and reliable operations. This work enhances the CRA’s ability to anticipate and respond to emerging risks and vulnerabilities, supported by the responsible use of data and modern technologies to inform decision-making.

Performance outcomes and results for commitments under this objective for 2025–26:

15. Advanced the Harmonized Threat Risk Assessment (HTRA) methodology, a standardized approach to identify and manage risks, through the completion of an assessment of the current model and the initiation of design improvements. This work is improving the consistency and accuracy of risk assessments across systems and applications and strengthening the Agency’s ability to identify, assess, and manage evolving cybersecurity threats.
16. Developed GENNI, a secure internal generative AI tool that supports CRA employees in tasks such as drafting professional documents to support business needs, providing references for answering questions, and summarizing content. The tool improves efficiency and consistency in a manner aligned with principles for responsible use while ensuring decisions remain under human oversight.

C2. Advance more ways for clients to interact digitally

Digital service channels were expanded to make it easier for Canadians and businesses to interact online, while maintaining alternative service channels for those who need them. These enhancements help users navigate processes, determine eligibility, and securely exchange information, ultimately resulting in more seamless, accessible, and efficient interactions.

Digital-first service delivery was advanced by transitioning to online mail as the default method for most business correspondence and expanding this approach to selected individuals. Beginning in May 2025, newly registered businesses started receiving most notices and correspondence through secure online portals, and in June 2025, 3.1 million existing businesses were converted to online mail, improving the speed, reliability, and security of communications while making it easier to manage tax obligations digitally. Starting July 2025, a phased transition of approximately 1.3 million individuals from paper to online mail began. This shift enables Canadians to access their tax information more quickly and conveniently through their CRA account, while benefitting from enhanced security measures that protect personal information. In addition, it lowers costs and decreases paper use, supporting more efficient and environmentally sustainable service delivery.

The CRA continued to modernize how taxpayers access information related to the taxpayer relief provisions. These provisions give the Minister discretion, in certain circumstances, to cancel or waive penalties and interest, accept late, amended, or revoked income tax elections, and issue refunds or adjustments beyond normal legislative time limits. In 2025–26, the CRA granted approximately $1.03 billion in relief from penalties and interest, supporting taxpayers unable to meet their obligations for reasons beyond their control.

Performance outcomes and results for commitments under this objective for 2025–26:

17. Improved the client experience when applying for taxpayer relief by launching the Self-Evaluation and Learning Tool (SELT), an accessible digital tool that helps taxpayers determine whether applying is appropriate and understand the documentation required to support their request. Since its launch, the tool has received over 36,000 visits and supports users in assessing their eligibility for penalty and interest relief. Together with improvements to the Taxpayer Relief Request Form, SELT contributed to a 55% reduction in requests for additional information and a 15% decrease in misdirected correspondence, indicating that taxpayers were submitting more complete applications and better understanding eligibility requirements.
18. Complemented the CRA portal services by expanding the use of its secure digital channels for exchanging solicited information with taxpayers, businesses, and third parties, reducing reliance on manual and paper-based processes. This included implementing the Secure Data Channel, comprising of the Secure Drop Zone for one-time, case-specific exchanges, Digital Communication Services (DCS) to securely receive and route fax communications, and Business-to-CRA/CRA-to-Business (B2CRA) services for secure two-way data exchanges with partners and financial institutions. The initiative improved access to secure digital document transmission, reduced reliance on mail and manual processing, and enhanced the efficient exchange of information which resulted in more than 9 million pieces of paper being saved by DCS, the paper equivalent of 377,762 files transferred through Secure Drop Zone and 179,000 files for B2CRA in one year. Access for non-resident account holders was expanded through the Non-Resident Withholding Tax portal, allowing users to view balances, make payments, and manage their accounts online.

C3. Strengthen security, identity management and privacy safeguards

Protecting taxpayer information and maintaining public trust remained central to digital transformation efforts. In response to increasingly sophisticated cyber threats and fraud, the CRA strengthened its security, identity management, and privacy practices to ensure safe and reliable access to services for Canadians.

Establishing confidence that individuals are who they claim to be and ensuring that sensitive information is accessed only by authorized users, is essential to the integrity of the tax and benefit system. Authentication processes were enhanced through the expanded use of multi-factor authentication (MFA) and additional security features, such as backup authentication options, improving both security and the client experience. Calls that successfully used multi-factor authentication through the Interactive Voice Response system before being connected to an agent had average handle times that were 3 minutes and 24 seconds shorter than authenticated calls that did not use MFA. Updates to authentication tools also supported more efficient service delivery, including consolidating authentication attempts into a front-end dashboard that provides contact centre service representatives with a clear view of prior authentication activity to better assess the risk of unauthorized access and support callers.

The ability to detect and respond to fraud and suspicious activity was also strengthened. Enhancements to monitoring capabilities supported a more proactive approach to identifying and addressing potential threats. Improvements to Identity Protection Services (IPS) further strengthened the Agency’s response to suspected identity theft or unauthorized account activity, with the IPS program providing a dedicated point of contact to review cases, work directly with taxpayers, and restore and secure accounts to prevent further misuse. In 2025–26, IPS completed cases for 186,218 unique individual accounts, demonstrating the scale of support provided to those affected by identity theft or unauthorized account activity. Foundational work on digital identity progressed through the exploration of emerging technologies, including verifiable credential models. These models are secure digital versions of physical identity documents, such as passports, drivers’ licences, or bank statements, and support more secure and user-friendly services over the longer term.

Significant action was taken to protect the integrity of the tax system by identifying and disrupting fraudulent activities designed to improperly obtain government payments and exploit CRA services. The CRA identified a large-scale fraud scheme where businesses with similar characteristics filed false claims for a refundable tax credit. To stop the fraud, the CRA worked with external partners, including Public Services and Procurement Canada and financial institutions, and implemented measures to prevent additional fraudulent claims. The CRA also responded to a fraud scheme involving the misuse of online payment services. Through partnerships with financial institutions, the CRA quickly coordinated a response and placed necessary restrictions on impacted accounts to prevent progression of the scheme.

Acknowledging that security depends on both technology and people, a strong security culture continued to be fostered across the organization. Through targeted training and awareness initiatives, including cybersecurity learning, the CRA strengthened its workforce’s ability to identify and mitigate risks. The CRA also supported public awareness by providing guidance to help Canadians recognize and avoid scams, including through resources such as Recognize a scam.

Performance outcomes and results for commitments under this objective for 2025–26:

19. Enhanced contact centre service representative confidentiality tools to safely and efficiently identify callers. This included integrating the multifactor authentication process into the upfront contact centre call menu, allowing taxpayers to pre-authenticate before they reach an agent.
20. Implemented improvements to the Identity Protection Services (IPS) tools and processes to address potential unauthorized use of taxpayer information by a third party. The IPS program supports individuals affected by suspected identity theft or unauthorized account activity. It provides a dedicated point of contact to review cases, work directly with taxpayers, and restore and secure accounts to prevent further misuse. A key initiative implemented was the creation of dynamic identity theft logic to respond more effectively and efficiently to patterns of highly suspicious activity on individual CRA accounts.

Key risks

Throughout 2025–26, the CRA faced a number of risks that could have affected the achievement of its strategic priorities and objectives. Measures were taken to address key risks related to service experience and public trust, tax debt, fraud prevention and cybersecurity, and external dependencies.

"Effective risk management, including the detection and mitigation of fraud and suspicious activities, is essential to protecting personal information and safeguarding Canada’s revenue base. The Board has provided guidance to the CRA about strengthening risk management practices, protecting critical assets, and increasing public confidence. Our role has been to oversee and direct the improvement of safeguards and make sure the CRA is prepared to respond to evolving challenges."

Service experience and public trust

Service performance challenges, combined with increasing demand and complexity, affected client experience and contributed to pressures on public trust and confidence in the tax and benefit system.

To address these challenges and reduce their impact, the CRA implemented the 100-day Service Improvement Plan, which focused on:

• enhancing contact centre capacity
• expanding digital self-service options and automation, including the use of generative artificial intelligence
• addressing root causes of service delays through improved planning, processes, and system enhancements
• accelerating service modernization through advanced technologies and tools

The CRA is also implementing its One Agency Perspective for 2028–2029. This provides clarity on what the CRA intends to achieve and how key initiatives contribute to those outcomes. It is designed to support informed decision-making, prioritize investments, and ensure that near-term actions remain aligned with longer-term objectives.

Tax debt 

Continued growth of tax debt remained a key risk, with the potential to impact the CRA’s ability to sustain timely collections and maintain compliance. To enhance the resolution of outstanding tax debt, the CRA is modernizing its collections strategies and implemented the following initiatives to mitigate this risk:

• enhanced digital services within the CRA MyAccount portal to enable taxpayers to independently establish payment arrangements
• leveraged artificial intelligence to improve the efficiency of selected collections functions

Fraud prevention and cybersecurity

Increasing cyber threats, fraud schemes and identity theft continued to pose risks to the security of taxpayer information and the integrity of the CRA. To mitigate these risks, the CRA continued efforts to identify suspicious activity and prevent fraud while increasing awareness through:

• strengthened security measures and communications to protect electronic filing services and taxpayer information
• improved the sharing of fraud risk intelligence to support timely and coordinated responses
• increased awareness of fraud risks among employees and taxpayers

Modernization

Adapting quickly to rapid technological change and evolving taxpayer expectations remained a key modernization risk in 2025–26. As such, the CRA has:

• established artificial intelligence governance structures and strategies to guide the use of artificial intelligence
• updated policies, standards and guidance to reflect the evolving technological environment

External dependencies 

The CRA has many dependencies on external parties, which present risks to the timely delivery of shared initiatives and services. These dependencies are mainly tied to its relationships with other government departments, including the Treasury Board of Canada Secretariat, Shared Services Canada, Public Services and Procurement Canada, and the Department of Finance Canada. The CRA collaborates regularly with these partners to ensure that shared initiatives are completed effectively and efficiently.

Resources required to achieve results

Table 3 provides a summary of the planned and actual spending and full-time equivalents required to achieve results.

Table 3: Snapshot of resources required for tax

Resource	Planned	Actual
Spending	$4,469,497,448	$4,414,232,527Footnote 5
Full-time equivalentsFootnote 6	40,599	37,943

Table 4 provides a summary of the planned and actual spending and full-time equivalents required to achieve results.

Table 4: Snapshot of resources required for benefits

Resource	Planned	Actual
SpendingFootnote 7	$4,858,170,167	$4,343,383,292Footnote 5
Full-time equivalents	2,156	1,894

The Finances section of the Infographic for the CRA on GC InfoBase and the People section of the Infographic for the CRA on GC InfoBase provide complete financial and human resources information related to the CRA’s program inventory.

Related government priorities

This section highlights government priorities that are being addressed through these core responsibilities.

Program inventory

The program inventory identifies all of the CRA’s programs that contribute to its core responsibilities and results.

Tax is supported by the following programs:

• Tax services and processing – The CRA helps businesses and individuals to comply with Canada’s tax laws by processing their information and payments, and providing related services.
• Returns compliance – The CRA ensures that individuals, businesses, and trusts are compliant with their withholding, remitting, reporting, and filing obligations.
• Collections – The CRA collects tax and non-tax debts on behalf of the federal, provincial, and territorial governments, as well as for other government departments and agencies.
• Reporting compliance – The CRA protects the integrity of Canada’s self-assessment tax system through education and proactive efforts that are aimed at promoting compliance.
• Objections and appeals – The CRA offers an impartial review process for taxpayers who wish to file a formal dispute.
• Taxpayer relief – The CRA administers the process under which relief of penalties and interest may be granted to taxpayers under certain circumstances.
• Service feedback – The CRA offers clients a process to provide feedback, including complaints, suggestions and compliments, and resolve problems about the service, quality, or timeliness of the CRA work.
• Charities – The CRA supports and protects the integrity of Canada’s charitable sector through the regulation of registered charities, Canadian amateur athletic associations, national arts services organizations, journalism organizations, and other qualified donees.
• Registered plans – The CRA is responsible for registering and monitoring deferred income and savings plans.
• Policy, rulings and interpretation – The CRA offers taxpayers, registrants, and tax intermediaries binding rulings and non-binding interpretations of the acts the CRA administers.

Benefits is supported by the following program:

• Benefits – The CRA ensures that Canadians obtain the support and information they need to know what benefits they may be eligible to receive, that they receive their benefit payments in a timely manner, and have avenues of redress when they disagree with a decision on their benefit eligibility.

Additional information related to the program inventories for tax and benefits is available on the Results page on GC InfoBase.

Internal services

Description

Internal services refer to the activities and resources that support the CRA in its work to meet its corporate obligations and deliver its programs. The 11 categories of internal services are:

• management and oversight services
• communications services
• legal services
• human resources management services
• financial management services
• security services
• information management services
• information technology services
• real property management services
• materiel management services
• acquisition management services

Progress on results

The CRA presents its plans under four strategic priorities that align with its mandate, Departmental Results, and Government of Canada priorities. The following section describes the results of the CRA’s commitments for the strategic priority related to internal services in 2025–26, compared with the planned results set out in CRA’s departmental plan for the year.

D. Nurture a high-performing and diverse workforce in a modern, flexible, inclusive, and accessible workplace

To build a more people-centric, resilient, and data-driven organization, the CRA advanced its People Strategy by strengthening leadership capacity, modernizing human resources services, and supporting employees through ongoing transformation. During a period marked by workforce adjustments, public spending restraint measures, and ongoing organizational change, employees and leaders were supported through coordinated guidance, workforce planning tools, and well-being resources designed to help them navigate change and uncertainty while helping the CRA respond to evolving operational demands and future service delivery needs. Strategic workforce planning and human resources analysis provided evidence-based advice to align workforce capacity with evolving priorities and enable flexible and sustainable service delivery for Canadians.

"A positive workplace culture is built on clear expectations, responsible leadership, and follow-through, especially during times of major change. Strong organizational performance relies on leaders who make good decisions, act with integrity, and take responsibility for their actions. The Board makes sure the CRA is consistently fostering these qualities across the organization and making them a part of how it makes decisions, handles risks, and achieves priorities."

Transparency and accountability continued to be promoted through the publication of the CRA’s second Annual Report on employee misconduct and wrongdoing, supporting the Clerk of the Privy Council’s renewed focus on values and ethics. While instances of misconduct may occur, results continue to show that the majority of employees act with integrity across the organization and that the CRA’s policies and programs effectively respond to ethical lapses.

Following the closeout of its 2023–2025 Accessibility Plan, the CRA launched its 2026–2028 Accessibility Plan. Guided by the Accessible Canada Act, the plan builds on prior progress and represents another step toward becoming a barrier-free organization by 2040. Taking a more targeted approach, it considers today's realities, including changing client needs and expectations, the use of emerging technologies, and ongoing accessibility challenges related to communications, service access, and CRA employee accommodations processes, with a focus on stronger measurement to ensure real progress.

This priority included 7 commitments in the CRA’s 2025–26 Departmental Plan. During this reporting period, the CRA met five of its seven commitments. Refer to Annex A for a complete list of commitments and their results.

D1. People-centric: Empower people leadership

In 2025–26, the CRA strengthened its people-centric approach to leadership by implementing a national leadership development model. This provided more integrated access to learning and increased consistency in leadership practices across the organization, supporting high-quality service delivery. Efforts focused on building competencies, character, and decision-making skills through targeted learning for managers and team leaders, new tools, and expanded resources for employees at all levels. The pilot of the New Leader Foundations Program was also completed, supporting 46 new leaders in transitioning to their roles and delivering results, and informing an Agency-wide rollout planned for 2026–27.

Supporting the development of future leaders from equity-deserving groups remained an important component of the CRA's leadership strategy. In 2025–26, the third cohort of the Building Black Leaders Program pilot was delivered in the Western Region, helping participants strengthen leadership skills through targeted learning, mentoring, and networking opportunities. This work complemented the national SponsorMe Plus program, which continued to connect employees who self-identify as Indigenous Peoples, Black, or other racialized employees with executive sponsors to support career development and leadership readiness. Together, these initiatives contribute to a more representative leadership workforce and help prepare the next generation of leaders across the CRA.

Performance outcomes and results for commitments under this objective for 2025–26:

21. Implemented a national Leadership and Management Development Approach. This structured Agency-wide effort to develop leadership skills at all levels was designed to equip a high-performing workforce with the competencies required for future success.
22. Expanded character leadership development below the executive level by broadening access to leadership learning and introducing new development opportunities focused on practical leadership challenges and organizational needs. By recognizing that leadership effectiveness demands both character and competence, this approach helps leaders build trust, navigate complexity, make sound decisions, and contribute to better outcomes for Canadians.

D2. Resilient and modern: Equip and enable the workforce 

The CRA continued to equip its workforce to be more resilient, modern, and adaptable in response to changing expectations, new technologies, and evolving ways of working. Investments in employee skills, tools, and technologies, such as artificial intelligence, have helped improve agility and support more efficient service delivery. These efforts are part of ongoing work to build a workplace that meets both current and future needs.

To support its commitment to official languages, the CRA launched its 2025–2030 Official Languages Strategic Plan, which upholds Canadians’ right to receive services in the official language of their choice. The plan also addresses ongoing challenges related to maintaining bilingual capacity, ensuring equivalent service quality in both official languages, and strengthening performance measurement and monitoring.

"Investing in the workforce is essential to the CRA’s success, and the Board has worked closely with the CRA to make sure employees have the support and resources they need to excel in their roles. This includes offering opportunities for skills development, planning the workforce effectively, and creating a workplace that recognizes and values employees’ contributions while equipping them to meet future challenges. We have also emphasized the importance of allocating resources in a way that aligns with the CRA’s evolving priorities. By working together, we are building a strong, adaptable organization that can continue to deliver high-quality services to Canadians with consistency and excellence."

Contributions were also made to broader government efforts to modernize workplaces. In 2025–‍26, the CRA supported the implementation of Public Services and Procurement Canada’s long-term accommodation plan, completing 16 real property projects. Upgraded office spaces and expanded Wi-Fi have enabled more flexible and collaborative ways of working. While progress has been made, the CRA continues to improve how it equips its workforce and delivers services to Canadians. For example, to support the transition toward the increased on-site presence requirement of five days per week for executives and four days per week for non-executives, an initial space readiness assessment that identified potential seating pressures and key considerations was conducted, and early planning discussions with central agencies were initiated, which focused on identifying viable accommodation solutions.

Performance outcomes and results for commitments under this objective for 2025–26:

23. The commitment to define, create, and implement a Hybrid Framework for the CRA, intended to establish guiding principles and objectives for hybrid work, has not been met and is no longer being pursued. While progress was made during the fiscal year, following the February 2026 Treasury Board Secretariat Direction on prescribed presence in the workplace, the commitment to implement a Hybrid Framework was reevaluated, and it was determined that the initiative will not move forward.

D3. Digital and data-driven: Drive stewardship through data 

As technology and data practices continued to evolve rapidly, the CRA focused on building its capacity to operate effectively in a data-driven environment while advancing digital and data stewardship across the organization.

During the year, work progressed on enhancing data literacy among employees and expanding access to tools that enable informed and confident use of data.

Self-service dashboards containing workforce insights were introduced to provide managers and executives with timely, transparent, and reliable information, supporting evidence-based decisions.

Performance outcomes and results for commitments under this objective for 2025–26:

24. Established a modern foundation for the management of human resources data by advancing and updating the People Data Strategy and accompanying roadmap to support workforce data modernization and improved service delivery.

D4. Culture: Align organizational culture 

Recognizing that employee well being and psychological health and safety are essential to delivering high quality services to Canadians, a healthy, inclusive and respectful workplace continued to be promoted. Through coordinated well-being initiatives, awareness sessions, and employee support services, the CRA continued to promote resilience, psychological safety, and inclusion, helping employees navigate uncertainty and change while maintaining a healthy workplace culture.

In support of the Clerk's Call to Action and the Government of Canada's forward direction message to deputies, the CRA further advanced equity, diversity, and inclusion (EDI) as key elements of its organizational culture. This included ongoing implementation of the EDI Performance Measurement Framework to track progress and support evidence-based decision making, as well as the development of the 2026–2031 EDI Action Plan to guide efforts in addressing systemic barriers and meeting employment equity obligations. In addition, the CRA has developed its first Action Plan for Black Employees, marking an important step toward advancing equity, diversity, and inclusion across the organization.

The CRA maintained its dedication to developing and retaining a diverse and representative workforce. In collaboration with the Indigenous Employee Network, targeted initiatives supported the inclusion and retention of Indigenous employees through the delivery of events and initiatives that promoted cultural awareness, strengthened community, and fostered inclusive workplace practices. In addition, learning opportunities for employees through Indigenous-focused programming and partnerships were expanded, contributing to increased awareness and understanding of Indigenous perspectives. A national student staffing approach was also developed, with a renewed focus on engagement with Indigenous community organizations. Through the Indigenous Student Employment Program (ISEP), the CRA also continued to support employment opportunities for Indigenous students, helping to promote greater Indigenous representation within the CRA workforce.

Performance outcomes and results for commitments under this objective for 2025–26:

25. Reviewed and updated the CRA’s Code of Integrity and Professional Conduct, the Directive on Conflict of Interest, and the CRA Integrity Framework to reflect evolving workplace practices and expectations, in alignment with the Deputy Ministers’ Task Team on Values and Ethics Report. The code and directive establish important terms and conditions of employment and set the high standards and core values that the CRA strives to uphold. The Integrity Framework maps out the key elements required to support a culture of integrity, and demonstrates the coordinated efforts to prevent integrity lapses.
26. Implemented the Well-being and Psychological Health and Safety Approach by developing and implementing tools and products to both identify and manage workplace risks related to the well-being of individuals, teams and the organization. Strengthening the CRA’s ability to mitigate psychological hazards and promote mental health enables an engaged and resilient workforce to deliver a world-class tax and benefit administration.
27. Indigenous representation remained stable at 2.7% in the executive group and 3.4% in the non-executive group as of March 31, 2026. While these rates remained below their respective Labour Market Availability rates of 3.0% and 3.7%, the stability in representation was primarily attributable to an overall reduction in the workforce rather than an increase in Indigenous representation. Improvements were also observed in select employment equity occupational groups, reflecting ongoing progress toward a more representative workforce.

Key risks

The CRA continually monitors its internal and external environments for events that could affect the achievement of its strategic priorities and objectives. The CRA manages its risks with the objective of delivering on its mandate and maintaining public trust.

Workforce 

There is a risk that workforce adjustments and return-to-office requirements may impact employee well-being, productivity and the CRA’s capacity to deliver on its mandate. To manage these risks, the CRA has taken the following steps:

• provided employees with resources and tools to support them through workforce adjustments
• equipped managers with guidance and resources to support employee well-being and organizational effectiveness

Resources required to achieve results

Table 5 provides a summary of the planned and actual spending and full-time equivalents required to achieve results.

Table 5: Resources required to achieve results for internal services this year

Resource	Planned	Actual
Spending	$1,042,224,045	$1,091,421,665Footnote 5
Full-time equivalentsFootnote 6	8,011	7,590

The Finances section of the Infographic for the CRA on GC InfoBase and the People section of the Infographic for the CRA on GC InfoBase provide complete financial and human resources information related to the CRA’s program inventory.

Risk and compliance process

The Risk and Compliance Process (RCP) is a self-assessment designed to help deputy heads verify that they have controls and practices in place to meet their accountabilities under legislation and Treasury Board policy, and to effectively manage risks within their departments.

In 2025–26, the Canada Revenue Agency (CRA) completed the RCP self-assessment in select areas of focus, consistent with its status as a separate Agency with policy authorities in many areas of management that are overseen by its Board of Management. Overall, the CRA’s self-assessed results were strong and demonstrated alignment with key policy principles and controls.

The self-assessment reinforced the importance of maintaining these levels of rigour, while pursuing modernization and continuous improvement. The CRA will continue to engage with Treasury Board Secretariat on best practices in applicable areas of the RCP.

Contracts awarded to Indigenous businesses

Government of Canada departments are required to award at least 5% of the total value of contracts to Indigenous businesses every year.

As shown in table 6, the CRA awarded 3.35% of the total value of all contracts to Indigenous businesses for the 2025–26 fiscal year.

Table 6: Total value of contracts awarded to Indigenous businesses

Contracting performance indicators	2025–26 Results
Total value of contracts awarded to Indigenous businesses (A)	$4,989,446.02
Total value of contracts awarded to Indigenous and non-Indigenous businesses (B)	$148,773,156.67
Value of exceptions approved by deputy head (C)	$0.00
Proportion of contracts awarded to Indigenous businesses [A / (B−C) × 100]	3.35%

While the CRA has consistently met or exceeded the Government of Canada’s mandatory minimum 5% Indigenous procurement target in previous years, it did not meet its 2025–26 target.

In its 2026–27 Departmental Plan, the CRA estimated that it would award 5.67% of the total value of its contracts to Indigenous businesses by the end of 2025–26; however, actual performance reached only 3.35%. This result reflects several structural and operational factors. In particular, a significant proportion of total contract value was associated with high-value information technology procurements conducted through Government of Canada procurement arrangements, where opportunities for Indigenous participation were more limited and raised value-for-money considerations.

In response, the CRA adopted a more diversified and sustainable approach to Indigenous procurement. The approach to Indigenous procurement was strengthened by expanding the use of targeted set-asides and sustaining Indigenous participation in key procurement areas. Building on this foundation, the CRA is well positioned to further diversify opportunities and increase Indigenous participation across a broader range of sectors in the future. Compliance and oversight activities further supported these objectives by identifying opportunities to incorporate Indigenous participation plans across procurements.

Efforts were also undertaken to reinforce organizational awareness, accountability, and engagement, including targeted awareness sessions on integrating Indigenous considerations into procurement decisions, as well as ongoing engagement with national Indigenous organizations to align approaches with Indigenous economic priorities.

Looking ahead, the CRA will continue to strengthen policy, governance, and oversight; expand engagement and awareness; and analyze procurement trends to identify new opportunities and better understand Indigenous business capacity.

Taxpayer Bill of Rights

The Taxpayer Bill of Rights describes and defines 16 rights and builds on the CRA’s corporate values of integrity, professionalism, respect, and collaboration. It describes the treatment taxpayers are entitled to when dealing with the CRA. The Bill also sets out five commitments to small businesses to ensure the CRA interacts with them as efficiently and effectively as possible.

The CRA integrates the Bill into its core responsibilities and across all its daily activities. Rights 5 and 6, 9 to 11, and 13 to 15 (identified with an asterisk below) are service rights that govern the CRA’s relationship with taxpayers. General concepts such as fairness, transparency, and courtesy influence those service rights. The CRA promotes widespread understanding of those rights to make sure it integrates them into how it delivers programs and services, and interacts with its clients.

1. You have the right to receive entitlements and to pay no more and no less than what is required by law
2. You have the right to service in both official languages
3. You have the right to privacy and confidentiality
4. You have the right to a formal review and a subsequent appeal
5. You have the right to be treated professionally, courteously, and fairly*
6. You have the right to complete, accurate, clear, and timely information*
7. You have the right, unless otherwise provided by law, not to pay income tax amounts in dispute before you have had an impartial review
8. You have the right to have the law applied consistently
9. You have the right to lodge a service complaint and to be provided with an explanation of the CRA findings*
10. You have the right to have the costs of compliance taken into account when administering tax legislation*
11. You have the right to expect the CRA to be accountable*
12. You have the right to relief from penalties and interest under tax legislation because of extraordinary circumstances
13. You have the right to expect the CRA to publish its service standards and report annually*
14. You have the right to expect the CRA to warn you about questionable tax schemes in a timely manner*
15. You have the right to be represented by a person of your choice*
16. You have the right to lodge a service complaint and request a formal review without fear of reprisal

Commitment to small business

1. The CRA is committed to administering the tax system in a way that minimizes the costs of compliance for small businesses
2. The CRA is committed to working with all governments to streamline service, minimize cost, and reduce the compliance burden
3. The CRA is committed to providing service offerings that meet the needs of small businesses
4. The CRA is committed to conducting outreach activities that help small businesses comply with the legislation we administer
5. The CRA is committed to explaining how we conduct our business with small businesses

Spending and human resources

Spending

This section presents an overview of the CRA’s actual and planned expenditures from 2023–24 to 2028–29.

Graph 1 presents how much the CRA spent in 2025–26 to carry out core responsibilities and internal services.

Budgetary performance summary

Table 7 presents how much money the CRA spent over the past three years to carry out its core responsibilities and for internal services.

Table 7: Actual three-year spending on core responsibilities and internal services (dollars)

Core responsibilities and internal services	2025–26 Main Estimates	2025–26 total authorities available for useFootnote 9	2023–24 actual spending (authorities used)Footnote 5	2024–25 actual spending (authorities used)Footnote 5	2025–26 actual spending (authorities used)Footnote 5
Tax	4,469,497,448	4,837,141,003	5,025,663,618	4,767,625,053	4,414,232,527
BenefitsFootnote 10	4,858,170,167	4,380,179,723	10,514,068,342	16,182,472,509	4,343,383,292
Taxpayers’ OmbudspersonFootnote 8	5,324,936	5,295,602	5,532,722	5,611,233	5,117,470
Subtotal	9,332,992,551	9,222,616,328	15,545,264,682	20,955,708,795	8,762,733,289
Internal services	1,042,224,045	1,303,384,662	1,256,665,328	1,223,614,512	1,091,421,665
Total	10,375,216,596	10,526,000,990	16,801,930,010	22,179,323,307	9,854,154,954

The Finances section of the Infographic for CRA on GC InfoBase offers more financial information from previous years.

Planned spending for next three years

Table 8 presents how much money the CRA plans to spend over the next three years to carry out its core responsibilities and for internal services.

Table 8: Planned three-year spending on core responsibilities and internal services (dollars)

Core responsibilities and internal services	2026–27 planned spending	2027–28 planned spending	2028–29 planned spending
Tax	4,572,025,864	4,505,200,943	4,442,015,333
BenefitsFootnote 11	659,834,747	661,373,883	669,356,015
Taxpayers’ OmbudspersonFootnote 8	4,609,959	4,599,720	4,598,392
Subtotal	5,236,470,570	5,171,174,546	5,115,969,740
Internal services	1,037,073,110	1,034,699,303	1,067,925,813
Total	6,273,543,680	6,205,873,849	6,183,895,553

The Finances section of the Infographic for CRA on GC InfoBase offers more detailed financial information related to future years.

Budgetary actual gross spending

Table 9 reconciles gross planned spending with net spending for 2025–26.

Table 9: Budgetary actual gross spending summary (dollars)

Core responsibilities and internal services	2025–26 actual gross spending	2025–26 actual revenues netted against expenditures	2025–26 actual net spending (authorities used)
Tax	4,809,161,675	394,929,148	4,414,232,527
Benefits	4,343,518,684	135,392	4,343,383,292
Taxpayers’ OmbudspersonFootnote 8	5,117,470	0	5,117,470
Subtotal	9,157,797,829	395,064,540	8,762,733,289
Internal services	1,194,921,397	103,499,732	1,091,421,665
Total	10,352,719,226	498,564,272	9,854,154,954

The Finances section of the Infographic for CRA on GC InfoBase offers information on the alignment of CRA’s spending with Government of Canada’s spending and activities.

Funding

This section provides an overview of the CRA’s voted and statutory funding for its core responsibilities and for internal services.

Graph 2 summarizes the CRA’s approved voted and statutory funding from 2023–24 to 2028–29.

Consult the Public Accounts of Canada for further information on the CRA's departmental voted and statutory expenditures.

Financial statement highlights

This section presents the CRA’s Financial statements (audited) for the year ended March 31, 2026.

Table 10 summarizes the expenses and revenues for 2025–26 which net to the cost of operations before government funding and transfers.

Table 10: Condensed Statement of Operations (unaudited) for the year ended March 31, 2026 (dollars)

Financial information	2025–26 actual results	2025–26 planned results	Difference (actual results minus planned)
Total expenses	7,279,388,976	7,429,648,422	(150,259,446)
Total revenues	817,374,982	783,772,009	33,602,973
Net cost of operations before government funding and transfers	6,462,013,994	6,645,876,413	(183,862,419)

The 2025–26 planned results information is provided in the CRA's Future-Oriented Statement of Operations and Notes 2025–26.

Table 11 summarizes actual expenses and revenues and shows the net cost of operations before government funding and transfers.

Table 11: Condensed Statement of Operations (unaudited) of actual results for the years ending March 31, 2026 and March 31, 2025 (dollars)

Financial information	2025–26 actual results	2024–25 actual results	Difference (2025–26 minus 2024–25)
Total expenses	7,279,388,976	7,681,761,141	(402,372,165)
Total revenues	817,374,982	839,327,211	(21,952,229)
Net cost of operations before government funding and transfers	6,462,013,994	6,842,433,930	(380,419,936)

Table 12 provides a brief snapshot of the amounts the CRA owes or must spend (liabilities) and its available resources (assets), which helps to indicate its ability to carry out programs and services.

Table 12: Condensed Statement of Financial Position (unaudited) for the years ending March 31, 2026 and March 31, 2025 (dollars)

Financial information	Actual fiscal year 2025–26	Previous fiscal year 2024–25	Difference (2025–26 minus 2024–25)
Total net liabilities	1,234,977,526	1,310,580,720	(75,603,194)
Total net financial assets	381,160,999	508,069,025	(126,908,026)
Departmental net debt	853,816,527	802,511,695	51,304,832
Total non-financial assets	550,817,937	561,555,161	(10,737,224)
Departmental net financial position	302,998,590	240,956,534	62,042,056

Administered activities

Table 13 shows the condensed statement of administered revenues and pension contributions, statement of administered expenses and recoveries (unaudited), and statement of administered cash flows for the year ended March 31, 2026 (in millions of dollars).

Table 13: Condensed statement of administered revenues and pension contributions, statement of administered expenses and recoveries (unaudited), and statement of administered cash flows

Financial information	Actual fiscal year 2025–26	Previous fiscal year 2024–25	Difference (2025–26 minus 2024–25)
Total administered revenues and pension contributions	743,651	720,849	22,802
Total net administered expenses and recoveries	(62,922)	(70,993)	8,071
Revenues paid or payable directly to a province	(792)	(626)	(166)
Changes in administered assets and liabilities	(7,690)	(3,008)	(4,682)
Net cash deposited in the Consolidated Revenue Fund of the Government of Canada	672,247	646,222	26,025

Table 14 provides a brief snapshot of the amounts the CRA owes or must spend (liabilities) and its available resources (assets), which helps to indicate its ability to carry out programs and services.

Table 14: Condensed Statement of Financial Position (unaudited) for the years ending March 31, 2026 and March 31, 2025 (dollars)

Financial information	Actual fiscal year 2025–26	Previous fiscal year 2024–25	Difference (2025–26 minus 2024–25)
Total administered assets	242,507	228,310	14,197
Administered liabilities	102,517	96,010	6,507
Net amount due to the Consolidated Revenue Fund	139,990	132,300	7,690
Total administered liabilities	242,507	228,310	14,197

Human resources

This section presents an overview of the department’s actual and planned human resources from 2023–24 to 2028–29.

Table 15 shows a summary of human resources, in full-time equivalents (FTEs), for the CRA’s core responsibilities and for its internal services for the previous three fiscal years.

Table 15: Actual human resources for core responsibilities and internal services

Core responsibilities and internal services	2023–24 actual full-time equivalents	2024–25 actual full-time equivalents	2025–26 actual full-time equivalents
Tax	43,866	42,707	37,943
Benefits	2,658	2,303	1,894
Taxpayers’ OmbudspersonFootnote 8	42	43	38
Subtotal	46,566	45,053	39,875
Internal services	8,668	8,532	7,590
Total	55,234	53,585	47,465

Table 16 shows the planned full-time equivalents for each of the CRA’s core responsibilities and for its internal services for the next three years. Human resources for the current fiscal year are forecast based on year to date.

Table 16: Human resources planning summary for core responsibilities and internal services

Core responsibilities and internal services	2026–27 planned full-time equivalents	2027–28 planned full-time equivalents	2028–29 planned full-time equivalents
Tax	40,186	39,606	38,986
Benefits	1,556	1,549	1,540
Taxpayers’ OmbudspersonFootnote 8	33	33	33
Subtotal	41,775	41,188	40,559
Internal services	7,723	7,751	8,248
Total	49,498	48,939	48,807

Supplementary information tables

The following supplementary information tables are available on the CRA’s Departmental web page:

• Details on transfer payment programs
• Gender-based Analysis Plus
• Response to Parliamentary committees and external audits
• Board of Management attendance record for 2025–26 and compensation rates

Federal tax expenditures

The tax system can be used to achieve public policy objectives through the application of special measures such as low tax rates, exemptions, deductions, deferrals and credits. The Department of Finance Canada publishes cost estimates and projections for these measures each year in the Report on Federal Tax Expenditures. This report also provides detailed background information on tax expenditures, including descriptions, objectives, historical information and references to related federal spending programs as well as evaluations and GBA Plus of tax expenditures.

Public Service Commission and assessment of recourse reports

The Canada Revenue Agency Act requires the CRA to include in its annual reporting a copy of any report produced under subsection 56(1) or a summary statement of any assessment produced under section 59. The report and assessment are produced on an as-needed basis. During 2025–‍26, the Public Service Commission did not prepare, or have prepared on its behalf, a report to the CRA pursuant to subsection 56(1) of the Canada Revenue Agency Act on the consistency of the CRA’s staffing program with the principles set out in the Summary of its Corporate Business Plan. For the same period, the CRA did not prepare pursuant to section 59 of the Canada Revenue Agency Act an assessment of the recourse the CRA provides or administers in its management of human resources.

Corporate information

Annex A: Strategic Priorities for 2025–26 and their commitments

In the 2025–26 fiscal year (April 1, 2025, to March 31, 2026), the CRA identified 27 commitments to help support its 4 priorities and achieve its core responsibilities:

23 met their target;

4 fell short of their target.

Below is a list of all commitments by priority, indicating whether each commitment was met.

A. Deliver high-quality services

A1. Improve contact centre service

1. Pilot a generative AI chatbot to provide quick access to relevant, up-to-date online information for Canadians.
   Result – met
2. Enable self-service options for My Account lockouts, allowing clients to unlock their online accounts without needing to call.
   Result – met

A2. Increase automation of tax filing and improve access to benefits

3. Increase the number of Canadians eligible to use SimpleFile by Phone to 2 million in 2025.
   Result – met
4. Increase, by 5%, the number of individuals helped through the CVITP in comparison to the 2024 program year.
   Result – met
5. Continue to implement the CRA’s Indigenous Strategy 2024–2027, whose main goal is to improve outcomes for Indigenous Peoples when they interact with the CRA.
   Result – met

A3. Simplify client interactions

6. Enable individual and business clients to quickly and easily learn about their tax obligations and entitlements to benefits and credits by providing clear, well-developed online answers to general, non-account-specific questions on Canada.ca.
   Result – met
7. Ensure a seamless service experience for businesses seeking to claim the new clean economy investment tax credits (ITC) by implementing and administering the ITCs in partnership with Natural Resources Canada.
   Result – met

B. Ensure the fairness of the tax system

B1. Increase the rate of resolution of the tax debt

8. Resolve approximately $1.2 billion in outstanding tax debt, as a result of Budget 2021 investments, supporting a tax system that promotes fairness.
   Result – not met

B2. Combat aggressive tax planning and tax evasion

9. Continue to deliver compliance activities focused on addressing tax avoidance within the wealthy population, and non-compliance supported by promoters and advisors through audits and improvements to business intelligence and tools.
   Result – met
10. Combat aggressive tax planning by designing tools and methodologies that enhance audit activities of economic entities^{Footnote 14} and non-residents.
    Result – met
11. Publish the CRA’s tax gap report, which covers up to 2022, delivering on the GC’s commitment to estimate and publish Canada’s federal tax gap on an ongoing basis.
    Result – met
12. Engage with partners to focus on creating a reporting system that prioritizes responsible enforcement, and develop a communication and education plan which will support taxpayers in meeting specific reporting obligations.
    Result – not met

B3. Continue to tackle non-compliance in the most serious cases and implement strategies to address non-compliance in emerging high-risk areas

13. Apply new analytical tools using technology, machine learning, and AI to recover $250 million in unwarranted GST/HST refund and rebate claims.
    Result – met
14. Plan the domestic implementation of the CARF, including identifying appropriate information technology (IT) infrastructure modifications and conducting project planning.
    Result – met

C. Transform digitally

C1. Become a more secure and efficient organization

15. Focus on the stability and continuity of IT and people-focused solutions to maintain the protection of CRA systems, processes and data from evolving threats and vulnerabilities.
    Result – met
16. Develop a general-purpose generative AI tool for internal CRA use to improve operational efficiencies in a manner aligned with principles for responsible use and providing business value.
    Result – met

C2. Advance more ways for clients to interact digitally

17. Improve the client experience when applying for taxpayer relief by launching an accessible, digital tool to educate taxpayers on whether applying for taxpayer relief is the right course of action and what documentation is needed to support their request.
    Result – met
18. Complement the CRA portal services by offering secure ways to digitally exchange solicited information with taxpayers, businesses, and third parties who do not have access to the portal or a portal account.
    Result – met

C3. Strengthen security, identity management and privacy safeguards

19. Enhance contact centre agent confidentiality tools, guiding agents through the authentication process to safely and efficiently identify callers.
    Result – met
20. Implement improvements to the IPS’ tools and processes used to address potential unauthorized use of taxpayer information by a third party.
    Result – met

D. Nurture a high-performing and diverse workforce in a modern, flexible, inclusive, and accessible workplace

D1. People-centric: Empower people leadership

21. Implement a national Leadership and Management Development Approach.
    Result – met
22. Develop and implement the approach to strategically expand character leadership below the executive level.
    Result – met

D2. Resilient and modern: Equip and enable the workforce

23. Define, create and implement a Hybrid Framework for the CRA with clear guiding principles and objectives.
    Result – not met

D3. Digital and data-driven: Drive stewardship through data

24. Establish a modern foundation for the management of human resources data.
    Result – met

D4. Culture: Align organizational culture

25. Review the CRA’s Code of Integrity and Professional Conduct, the Directive on Conflict of Interest, and the CRA Integrity Framework to drive alignment with core values.
    Result – met
26. Implement the Well-being and Psychological Health and Safety Approach by developing and implementing tools and products to both identify and manage workplace risks related to the well-being of individuals, teams and the organization.
    Result – met
27. Increase the representation of Indigenous peoples within the executive group and non-executive groups.
    Result – not met

Definitions