Automatic tax filing could give the average non-filer more than $2K per year: PBO

OTTAWA — The federal fiscal watchdog says Ottawa’s plan to roll out automatic tax filing could see Canadians who normally don’t file their tax returns get thousands of dollars in owed benefits annually.

The federal government announced a plan in the 2025 budget for the Canada Revenue Agency to file taxes for certain low-income individuals and offer pre-filled returns for others with simple tax situations.

The government relies on the CRA to distribute certain benefits supporting workers, parents or low-income households — which means those who don’t file their taxes probably aren’t receiving the benefits they’re owed.

Parliamentary Budget Officer Annette Ryan estimates in a new report that the federal government would pay out $342 million over five years under this new program, which she expects would cost $87 million to administer.