As your business grows you must delegate some duties. This helps you avoid burnout and helps the entire team remain focused and productive. One area of delegation to consider is how you communicate with Revenue Canada. Did you know you can authorize a business representative that can handle matters related to your CRA account?
What is a Business Representative?
A business representative is a person you authorize to speak with Canada Revenue Agency (CRA) on your behalf. With written authorization, the representative can register your business, access your accounts, make enquires and update your information. You have control over how much access the representative has over your account(s). The representative remains active on your account until you revoke his or her privileges.
How do I Give my Representative Authorization?
There are three ways you can let CRA know you have an account representative. The first and most efficient way is to simply use the “authorize” options on your online account. Go to your “My Business Account” page, log in and register the authorization. Your representative now has immediate access.
If you don’t have a business account, your next best option is to have your representative submit an online request through CRA’s Represent A Client link. You’ll need to be on hand as they fill out the request because you must sign the certification form. The request and the certification form are then submitted to CRA. Once reviewed, the representative is issued a RepID and will use this ID every time they need to access your account.
If you do not wish to use any online options, you can manually fill out form RC59. The form must reach CRA within six months from the time you signed it or it will be rejected.
Who can be a Representative?
Your representative will have a great deal of influence and access over your private business information. Choose your representative with care. While your options are very open (employees, bookkeepers and the company lawyer are all eligible) avoid choosing a representative from an emotional standpoint. Your spouse, for example, may not be a good choice if he or she is not business minded or has no other dealings with your company. The same goes for boyfriends and girlfriends. It’s easy to intertwine your lives when everything is going well but if things fall apart in your personal lives, the issues can easily spill over into your business. Your representative should be someone with a good reputation in a professional capacity (lawyer, accountant), a responsible employee (bookkeeper, manager) or someone that you can trust with your information and a part of your business (contract bookkeeper, freelance accountant).
We Can Help
AF Accounting provides a full suite of services and specializes in working with small businesses. We provide virtual CFOs, tax planning and advice, cloud accounting and more. When you trust AF Accounting with your bookkeeping needs, you are trusting an experienced, trustworthy partner that can also act on your behalf with the CRA. Contact us today to see how we can help your business succeed.