As of February 2020, the T1013 form, Authorizing or Cancelling a Representative, has been discontinued. An online process and a new form, called AUT-01 Authorize a Representative for Access by Phone and Mail, have replaced these forms. Here’s what you now need to do in order to authorize or cancel a representative, whether it’s your accountant, spouse, or another person.
Why Has the Process for Authorizing or Cancelling a Representative Changed?
The Canada Revenue Agency introduced a new way to authorize other people to handle your tax matters to simplify and digitize the process. Don’t worry, your representative still requires your signature in order to gain access, however, they can now apply online and use the more convenient form called AUT-01.
What is the AUT-01 Form?
The AUT-01 form combines three old forms:
- T1013 Authorizing or Cancelling a Representative
- RC59 Business Consent for Offline Access
- NR95 Authorizing or Cancelling a representative for a Non-Resident Tax Account
The AUT-01 form can be used by individuals, businesses and non-residents to give their accountant or other representative access to their information when offline. As there are no online services for non-residents, the only way that non-residents can authorize a representative is through the AUT-01 form.
New AUT-01s that you submit as of February 10, 2020 will override any previous T1013 forms that you have submitted. If you are a representative or accountant, you will be required to keep the paper AUT-01 form on file for no less than six years, just as you would have had to keep the T1013 form.
AUT-01 forms are not necessary for your representative to gain online access. Your accountant, spouse or family member can instead use the “Authorize my Representative” process online in order to gain instant access to your online CRA account.
In order to access your account, your representative will need to log onto the “Represent a Client” page through the CRA. They will need your social insurance number or business number in order to gain access.
When Should I Authorize or Cancel a Representative?
There are many circumstances where you may wish to authorize a representative, including:
- You’d like to give your spouse or common-law partner the ability to handle your tax affairs
- You have an illness or disability and need to give a family member the ability to handle your tax affairs
- You’d like to give an accountant access to your tax information and the ability to represent you
You may also have reason to cancel a representative. For example, if you are now using tax software, and no longer need an accountant. Or, you have recovered from your illness or injury and can now handle your own tax affairs again. Or, if you have lost trust in a representative or would like to authorize a new one.
It is important to note that an organization or financial institution is not supposed to be using Form T1013 to confirm your income. The CRA has recently reported that they have found cases of these applications and prohibit them. If an organization or financial institution needs to confirm your income, there is a new service to be used instead: the “proof of income statement” request through your CRA My Account. This is instant. If you require a paper copy to be mailed to you, it will take 4 weeks, so it is wise to plan ahead if you are buying a house or otherwise need to prove your income.
How Long is My Authorization in Effect?
Since the CRA has made changes to the authorizing process, they have also extended the period that a representative may be authorized. If you pass away while a person has authorization, they will retain it after your death. This makes the process of getting your financial matters in order easier for your grieving family. Previously, they would have had to apply to reauthorize the same person after your death. Now, they can immediately begin to handle your affairs.
However, it also makes it more important that you revoke access to a representative the moment you no longer want their services.
