T1 ADJUSTMENTS

A tax adjustment can be requested either through a client’s CRA Account or by mailing a T1 Adjustment form. Adjustments should only be made after a Notice of Assessment has been issued.

Once an adjustment is processed the CRA will issue a Notice of Re-assessment. Alternatively, the CRA may send a letter explaining why the adjustment could not be made and may request supporting documents or additional information.

Occasionally, the CRA issues a Notice of Assessment even if the client has not filed a tax return sometimes called an ‘arbitrary assessment’. This can occur when the CRA has evidence of income and believes tax is owing. If the client disagrees with such an assessment, they should not submit a T1 Adjustment form, and instead file a return the regular way.

Method 1 - CRA Account

The Change My Return service can only be done if the client can access their own CRA Account. The service cannot be accessed by using Represent a Client. The Change My Return service is user-friendly.

Method 2 – Submit a T1-Adj Form

• Don’t complete section B – Authorization. CVITP volunteers are not considered Representatives. Similarly, don’t sign section D – Certification. Volunteers are just temporary representatives on the day they assist a client.
• It is only necessary to report changes to line numbers representing client inputs, and not calculated line numbers. CRA will do recalculations based on the revised inputs.
• For line numbers that are check boxes, a ‘0.00’ means unchecked and ‘1.00’ means checked.
• Attach any tax schedule or other supplementary form if applicable, and supporting documents if applicable. For example, if adding a claim for the Ontario Energy and Property Tax Credit, a signed ON-BEN form and rent receipt should be attached. If adding or changing employment amounts, a copy of the T4 slip should be attached.
• In the “Other details” section indicate what is being attached. For example, “ON-BEN and copy of rent receipt attached.”

Example for adding OEPTC claim:

See an excerpt from the T1-Adj form below

References:

• CRA website - Changing a tax return
• T1-Adj form