Submission to the Government of Canada on Expanding Automatic Tax Filing


​Introduction​

​In January 2026, March of Dimes Canada responded to an open consultation launched by the Canada Revenue Ag​​​ency to inform the new automatic tax​ filing for low income people with simple tax situations initiative. We shared the following insights and recommendations based on our expertise in providing community support and employment services for people with disabilities in multiple jurisdictions across Canada, deeply informed by the lived experience of our service users.


Submission

January 29, 2026

On behalf of March of Dimes Canada (MODC), we welcome the opportunity to provide feedback on the Government of Canada’s proposal to expand automatic tax filing and pre-filled tax returns for lower-income individuals in simple tax situations.

MODC is a leading national charity committed to championing equity, empowering ability, and creating real change that helps people with disabilities across Canada unlock the richness of their lives. We work across policy, service delivery, and community engagement to reduce barriers to income security, employment, and social participation for people with disabilities.

We support the objective of automatic tax filing to ensure that people receive the benefits to which they are entitled. We know from our report, Benefit Without Barrie​rs​ (co-authored by Prosper Canada) that too many people with disabilities and other low-income people in Canada miss out on critical federal benefits because of barriers to filing annual tax returns. 

Automatic tax filing has the potential to significantly increase benefit take-up and reduce administrative burden. At the same time, careful design and implementation is essential to ensure this initiative is accessible and responsive to the realities of people with disabilities in Canada.


Accessibility and communication

Clear, accessible communication is foundational to the success of automatic tax filing. Many people who would benefit most from this initiative face barriers related to disability or lack of access to digital technology.​

We recommend that:

  • All communications about automatic tax filing be provided in multiple accessible formats, including (but not exclusively) plain language, large print, ASL/LSQ/ISL interpretation, braille, and audio formats.

  • Individuals are informed clearly and repeatedly that their tax return will be filed on their behalf unless they opt out, and what this means for their benefits and obligations.

  • Communication strategies account for people without reliable access to email, internet, or permanent mailing addresses by employing multiple communications channels. 

  • The lack of personal identification and access to a permanent address and bank accounts for unhoused people be solutioned when developing program workflows and benefit payments processes. Existing community and service organizations, such as those in the Prosper Canada network, local shelters and housing agencies, and community libraries, often provide identification, address, and banking support. Partnerships with these organizations should be considered.


Access to human support

While automation can reduce barriers, it must not replace access to human assistance. Many people with disabilities require or prefer direct support when navigating tax and benefit systems.

We recommend that:

  • CRA agents be available to support individuals eligible for automatic tax filing through phone, in-person, and accessible virtual channels. It is critical that CRA agents in this area are trained to engage in positive obligation and non-time-limited interactions, and to support people with many different kinds of disabilities and income situations, including working with a support person and proactive barrier reduction.

  • Wait times and accessibility barriers to speaking with a trained agent be reduced and addressed proactively. 

  • Community organizations with trusted relationships, including disability organizations, be resourced to provide navigation and support related to automatic tax filing.


Eligibility and changing circumstances

We recognize the intent to focus automatic tax filing on individuals with simple tax situations. However, people’s financial and personal circumstances often change over time.

We recommend that:

  • Eligibility criteria clearly account for individuals whose tax situations have become simpler after periods of complexity, including those with prior tax debt.

  • Clear guidance be provided on how to address tax situation changes, temporary housing situations, and lack of a fixed address in a solution-oriented way. 

  • Individuals retain the ability to access and update information easily during the review period to ensure benefits are maximized and errors are avoided.


Paper documentation

For many people with disabilities, paper tax documentation plays an important role in financial organization and meeting requirements for other systems.

We recommend that:

  • Individuals whose returns are filed automatically continue to receive paper copies of tax summaries and relevant slips by mail and in their CRA account.

  • The CRA recognizes the importance of providing timely and relevant tax documentation for interactions with housing providers, service agencies, and income-tested programs.


Implementation, monitoring, and evaluation

Automatic tax filing represents a significant shift in how people interact with the tax and benefit system. Ongoing monitoring and evaluation is essential.

We recommend that:

  • The CRA publicly reports on uptake, benefit increases, opt-out rates, and equity impacts, including for people with disabilities.

  • People with living experience of disability be meaningfully involved in the design, testing, and evaluation of the program. Service Canada has proactively sought to engage people with disabilities in testing its products, from correspondence to documentation, websites and applications. We recommend the CRA seek to duplicate Service Canada’s proactivity in this area.

  • Accessibility and service standards meet Accessible Canada Act requirements, and that the CRA work with Accessibility Standards Canada to ensure all relevant standards, including the Information and Communications Technology Standard, the Plain Language Standard, are followed. Further, we recommend that the draft Design and Delivery of Accessible Service Delivery Standard​ be used as a guide ahead of the standard’s publication. 


Conclusion​​

MODC supports the expansion of automatic tax filing as a powerful tool to reduce poverty and increase access to benefits. To realize its full potential, the initiative must be implemented with an accessibility-first, human-centered approach that respects diverse needs.

We welcome the opportunity to continue working with the Government of Canada and the Canada Revenue Agency to ensure automatic tax filing delivers equitable and meaningful outcomes for people with disabilities.


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