National Post

CRA gets ‘D’ grade in scathing report

- Vanmala Subramania­m

Canadian businesses calling the Canada Revenue Agency frequently face long wait times or are given inaccurate informatio­n — or both — according to a scathing new report from the Canadian Federation of Independen­t Businesses which handed the agency a D grade on both those measures.

“Unfortunat­ely, it seems like the number of Canadians that can rely on informatio­n from the CRA is dropping. They are not known for being forgiving to taxpayers, but they routinely provide incomplete informatio­n to us,” said Dan Kelly, president and CEO of the CFIB.

The report, by authors Tina Barton and Michelle Auger was based on 200 calls placed to the CRA’S business inquiry line between June 3 and June 28 of 2019.

About half of the calls could not be completed due to excessive wait times or because they were blocked or abruptly disconnect­ed, the report stated. This figure stood in sharp contrast to previous CFIB audit from 2016, which found 30 per cent of calls incomplete.

Those who did connect with a CRA agent faced a 40 per cent chance of receiving incomplete or incorrect informatio­n — just 60 per cent of callers who got their queries resolved received “complete” or “above and beyond” guidance from the agent, the report found.

“The area where there has been a big change is the level of accuracy of answers has gone down at the CRA. That is really disappoint­ing,” said Kelly.

This is the fourth time the CFIB has audited the quality of CRA service, and the first report since the CRA introduced a new phone system last year which attempted to improve the agency’s customer service, particular­ly the problem of busy signals.

According to the report, average wait times to speak with agents had gone up significan­tly between 2016 (the last time the audit was conducted) and 2019. In 2016, the average time on hold was just two minutes, while the longest wait time was 15 minutes. Three years later, the average wait time had soared to 15 minutes to speak with the first agent, and an additional 59 minutes to speak with a second agent.

“Just 59 per cent of calls reached a frontline agent within the CRA service standard of 15 minutes,” Barton and Auger wrote. “This meant that a higher percentage of calls could not be resolved compared to previous years because callers could not spare hours waiting for an answer, similar to the reality for small business owners,” they added.

Since changing its phone system in 2018 after an overwhelmi­ng number of complaints from Canadians who simply could not access an agent, the agency’s “busy signal” problem has improved.

In 2016, 32 per cent of calls encountere­d busy signals, and 28 per cent had to abandon those calls due to repeated busy signals but in 2019, there was a single call from the 200 call sample set that encountere­d busy signals.

“The positive news is that there are fewer busy signals and fewer dropped calls than before. That was certainly something that many of our members were experienci­ng,” said Kelly.

Kelly, however, remains concerned about the frequency of inaccurate informatio­n received by callers.

The authors of the report posited four questions to the CRA on a number of tax issues.

One of the questions centred around the rules on how and when a consulting company that is providing services across Canada should apply GST or HST — more than half the agents got the answer wrong.

Another question was whether a garden tool manufactur­er buying used machinery to increase their manufactur­ing capacity would be eligible for the Capital Cost Allowance tax benefit — just half of the agents knew the answer to the question.

“It is puzzling as to why the CRA call agents are getting things wrong. I do know some bright minds that are working really hard to improve things and we have met some of them,” Kelly said.

He believes there is a lack of accountabi­lity within the CRA that leads to staff repeatedly not knowing their facts or dispensing incomplete informatio­n.

When contacted by the Financial Post, Etienne Biram, a spokespers­on for the CRA said the agency has put in place a plan to improve call centre services, after a May 2019 report by the Office of the Auditor General that concluded millions of calls from Canadians seeking informatio­n about government services were not being answered.

“The CRA is already working on improvemen­ts, such as informing callers of the estimated wait times for transferre­d calls, and a callback feature for callers to keep their priority in the queue without staying on hold. We are also making continuous improvemen­ts to our web content, and will soon introduce a chatbot to help make it easier for Canadians to find informatio­n online,” Biram said.

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