NETFILE

NETFILE is a transmission service that allows eligible Canadians to submit their personal income tax return to the Canada Revenue Agency using the Internet. Tax returns filed via NETFILE must first be prepared using a NETFILE-certified product. The software or Web application produces a .tax file, which must then be uploaded to the CRA independently to constitute a tax filing. NETFILE was introduced in 2001.^[1]

According to CRA, 26% of total 2014 tax returns were sent by Netfile.^[2] To Netfile taxes, users need a certified tax program, which is listed on the CRA website.

Advantages

According to the CRA website,^[3] filing directly through a NETFILE-certified tax software offers greater accuracy and immediate confirmation once the tax return is received. Receipts do not need to be submitted unless requested at a later date. Refunds are processed faster through NETFILE, and with direct deposit, a refund may be received within 2 weeks.

See also

• Canadian efile, a similar service used by professional tax preparers.