New process for EFILE authorization requests for My Business Account access

Due to increased concerns with identify theft, Confirm my Representative was introduced by the Canada Revenue Agency (CRA) as a new two-factor authorization process for confirming the representative and preventing client information from being given to unauthorized representatives. This new verification process was implemented last year for taxpayers to verify authorization requests submitted through Represent a Client.

The CRA has recently announced that beginning in October 2022, they will be rolling out the Confirm my Representative process to apply to authorization requests for business clients submitted through the Business Consent Service in certified tax software (EFILE).  

While we understand this is a significant change to authorization requests that will likely require process changes for EFilers, we also understand the CRA’s need to increase security to mitigate risks of fraud and identity theft.  We explored a number of different alternatives for the CRA to positively verify authorization requests with the taxpayers, and understand they have considered them. However, we were informed that the two-step process of Confirm my Representative is the method that best meets their security objectives at this time.

That said, we have asked CRA to provide guidance on how the new Confirm my Representative process will work with the following two groups of taxpayers:

  • Non-resident businesses – Non-resident businesses do not have access to My Business Account and so it is unclear based on the announcement how Confirm my Representative would work in this case.  CRA indicated to us that non-resident businesses would be exempt from this new process. In these cases, CRA may follow up with a phone call to the non-resident business owner to verify the authorization request.
  • Taxpayers who cannot access My Business Account – There are taxpayers who just cannot use My Business account, such as those with disabilities, and so guidance is required as to how these taxpayers will be expected to verify authorizations requests.  CRA indicated they are working on an accessible solution for such individuals.

We will keep you updated as we gather more information.

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