CRA Approves Income Tax Filing Extension for Deployed CAF Personnel

Canada Revenue Agency (CRA) has approved an income tax filing extension for Canadian Armed Forces (CAF) members and their spouses deployed on operations.

The extension applies for the taxation year 2022 and for any CAF members and their spouses deployed on operations from Jan. 1 to April 30, 2023.

“For provinces other than Quebec and all Territories, provisions of REF D allow the waiver or cancellation of penalties and interest (as in the case of late-filed returns) in whole or in part, accordingly,” stated CANFORGEN 078/23 announcing the waiver.

Those living in Quebec must file their taxes no later than Oct. 31, 2023.

There are no extensions for RRSP contributions.

Step-by-Step Process

There are a number of steps CAF members and their spouses must take if they are filling their returns after April 30.

CAF members must enclose a completed CRA Form RC4288 entitled Request for Taxpayer Relief. They must also send a certification letter, originally produced on DND letterhead, signed by the supporting unit accounting officer. According to the CANFORGEN, the letter must include the following:

• request for relief under subsection 220 of the income tax;
• And the letter must say, “I hereby certify that (SIN, rank, name) was assigned to active duty in (country) as part of (operation) from (date) to (date).
• Quebec residents must also add, “this authority is granted by RQ S letter, dated 20 February 2023.”

For spouses, the instructions are that on the top of page one of their return, they should write “spouse of a military member who was deployed in (country) from (date) to (date) as part of (operation name).” Spouses must also include a copy of their spouse’s certification letter and their own form RC4288.

The CANFORGEN states that the member’s home unit is permitted to provide a copy of the certification letter to the spouse.

Note on Canada Child Benefit

CAF members filing their taxes should remember that the Canada Child Benefits Payment calculation is made based on income amounts reported on the income tax returns of the benefit claimant and his or her spouse.

“Any CAF members who are entitled to these benefits IAW PRA 1 and who file after April 30, 2023, should ensure their payments in respect of the benefits are not interrupted,” stated the CANFORGEN.

Members can do so by calling Petra Bolduc, Benefit Programs Directorate, at 613-863-2283.

Additional Pointers

If CAF members have not filed their taxes by September or October, it is possible they will receive Form T11 by CRA. If a CAF member receives such a letter, they are guided to respond to that letter by stating, “I am a member (or the spouse or common-law partner of a member) of the Canadian Armed Forces who was serving outside Canada and request an extension to file my 2022 individual tax and benefit return under subsection 220(3) of the Income Tax Act.”

If they continue to be contacted by the CRA, they can contact their Pay Office for Assistance through 1-866-809-7803.

Members and their spouses who are filing their taxes via telefilm or E-file must contact the CRA or RQ to make arrangements for their electronic transmission of their tax returns.