About the NETFILE service

• What is NETFILE?
• Who can use NETFILE?
• How NETFILE works?
• What is an access code?
• Why use NETFILE?
• Is there a cost for NETFILE?
• Comments?

What is NETFILE?

NETFILE is one of our electronic tax-filing options. This transmission service allows you to file your personal income tax and benefit return directly to the Canada Revenue Agency (CRA) using the Internet. You can only transmit your own tax return to the CRA using NETFILE. You cannot transmit tax returns on behalf of your clients.

When you use NETFILE, you cannot change any of your personal information such as your name, address, date of birth, or direct deposit information.

To change your address, please visit My Account prior to using NETFILE. If you do not have an epass, you can call 1-800-714-7257 to make the necessary changes before using NETFILE.

For information on changing your name, date of birth, or direct deposit (including new requests), contact Individual income tax enquiries at 1-800-959-8281.

NETFILE is intended for the millions of individuals who use commercial software to manage their financial affairs and prepare their tax returns. These individuals can transmit their own tax returns using the CRA's free Internet transmission service, NETFILE. In the past, they had to print and mail their tax returns.

The NETFILE transmission service to electronically file your 2006 personal income tax and benefit return is open from February 12, 2007, until September 30, 2007.

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Who can use NETFILE?

NETFILE is available to most Canadians; however, there are some types of tax returns that cannot be submitted electronically. Our Restrictions Web page explains the exceptions.

Tax professionals cannot use NETFILE to file tax returns on behalf of their clients. They must use EFILE.

How NETFILE works?

Once you have prepared your personal income tax and benefit return using NETFILE-certified tax preparation software or Web application, you simply need to follow the software developer's instructions to save your tax return in the proper format for NETFILE. This will save your file with a ".tax" extension. You are now ready to file your tax return.

On the NETFILE Web site, click on Ready to file from the left side menu; read and agree to the terms and conditions; this will bring you to the NETFILE transmission page; enter your social insurance number, date of birth, and access code. Attach your ".tax" file.

We suggest you use the "browse" or "choose" option to find and attach your ".tax" file; you can also copy and paste the name of the ".tax" file in the appropriate box. Should you decide to type the name of the ".tax" file, ensure you type the name correctly, including any spaces or underscores that are part of the folder structure.

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What is an access code?

An access code is a four-digit number that enables you to use the NETFILE transmission service.

Your four-digit access code along with your social insurance number and date of birth become your electronic signature.

Your NETFILE access code is printed on the label sheet of your T1 personal income tax return package. If you didn't receive an access code, starting February 12, 2007, you can use our access code on-line service, or you can call the e-service Helpdesk, at 1-800-714-7257 (from anywhere in Canada and the United States) to get one.

Note
Before we can give you an access code over the phone or on-line, we need to be sure we know who we are communicating with. One question you could be asked by phone, and will be asked on-line, is the amount you entered on line 150 of your 2005 tax return. Ensure you have this information available before communicating with us for your access code.

Other electronic ways to file your tax return

If you decide not to use the NETFILE service, you may be able to use one of our other electronic tax-filing options, such as EFILE or TELEFILE.

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Why use NETFILE?

NETFILE is an easy-to-use, convenient option for filing your personal tax return. It streamlines the tax-filing process and offers the following benefits:

• secure and confidential;
• faster refunds (in as little as eight business days);
• greater accuracy (with the use of software, we don't re-key the information, and there is less chance of errors);
• no paper return to mail;
• no receipts to send in, unless we ask for them at a later date; and
• immediate confirmation that we've received your tax return.

Is there a cost for NETFILE?

You'll have to use NETFILE-certified tax preparation software or Web application to prepare your tax return. There may be a cost for you to purchase a tax preparation software package or Web application, but the NETFILE service is free.

A number of companies offer free use of their certified software or Web application while others charge a nominal fee. Check out our Software Web page for more information. Tax preparation software or Web applications are provided by software developers. They are not provided by the CRA.

Comments?

For security and confidentiality reasons, the CRA doesn't generally correspond by email. However, if you have suggestions about how we can improve our NETFILE service or if you have problems accessing information on our Web site, please send your comments to us.