Service Commitments & Standards in Tax Administration Guide

Commitment To Quality Service

Taxpayers and governments have specific legal rights and obligations in the collection and administration of taxes. Equally important, however, Ontario's tax system can only achieve its goals if it is built on the spirit of co-operation between the taxpayer and the province's tax administration, and the expectation of the taxpayer's voluntary compliance with their legal obligations.

Taxpayers accept these principles based on their understanding that their hard-earned dollars are spent wisely and effectively to fund a range of government programs and priority services including education, health care, environmental protection and community services. They also demand and expect quality service in the delivery of these programs.

The Ministry of Revenue's goal is to be recognized by taxpayers as a professional and effective organization, ensuring that taxpayers and their representatives get value for their money. Our commitment is to continually improve the quality of the services we provide to the taxpayer, and to be accountable to those we serve for the prudent use of their funds.

As part of our efforts to fulfill that commitment, we are establishing specific service standards for tax administration which will enable measurement and reporting on our performance. These service standards are customer-focused and emphasize the commitment of the ministry and our employees to quality service. They will give taxpayers a means of evaluating our performance in applying tax laws with fairness and courtesy, and in treating taxpayers professionally and with respect.

To ensure our accountability to the taxpayer we will, in addition to finalizing our service standards:

• Establish and publish performance benchmarks.
• Provide mechanisms for taxpayers to evaluate our performance against those benchmarks.
• Report annually on our results and progress.
• Encourage taxpayer feedback, and suggestions for service quality improvements.

Service Commitments and Standards

The Ministry of Revenue and its employees are dedicated to meeting the following service commitments and standards in tax administration:

Service Commitments

1. Impartial and Professional Service
   We will provide impartial, professional and courteous service and provide a means for you to hold us accountable for the services we provide. We will be pleased to deal with you or your authorized representative.
2. Privacy and Confidentiality
   We will keep your tax returns and other information secure and confidential.
3. Accessible Information
   We will offer clear, understandable and current tax information and will make this information available to you through various media.
4. Assistance
   We will provide timely, accurate responses to questions and requests for tax information. We will explain to you the tax implications of your current tax situation and if you seek to learn more about your liability and how it is determined, offer you the option of meeting with us.
5. Reliable Written Information
   We will provide written information that you can rely on.
6. Education
   We will provide education and information programs on specific tax issues.
7. Voluntary Disclosure
   We will allow you to voluntarily disclose your tax situation without incurring a penalty or being prosecuted for tax violations under certain conditions.

Service Standards

1. Ontario Public Service Common Service Standards
   We will meet the Ontario Public Service common service standards for telephone, mail, walk-in service, and also for customer feedback/complaint resolution.
2. Core Business Service Standards
   We will establish standards and provide a high level of service in all of our core tax administration business areas including but not limited to registrations, taxroll update, account adjustments, audit and collections.
3. Objections and Appeals
   We will advise you of how to file an objection and an appeal within the specified time periods, if you disagree with a tax decision.
4. Refunds
   We will provide you with a timely refund or equivalent credit for all overpayment of taxes, provided that you do not owe money under another provincial tax statute.

Service Commitments

Impartial and Professional Service

You are entitled to receive impartial, professional, and courteous service. We will:

• Be impartial and treat you in a professional and courteous manner.
• Not be paid, evaluated or promoted on the basis of the amount of assessment or collections from taxpayers. We do not have a quota system - but one that is based on applying tax laws fairly and equitably.
• Conform to the Ontario Public Service Conflict of Interest Guidelines.
• Meet our published service standards.
• Properly identify ourselves and the reason for the contact.
• Provide information to help you understand tax law and its impact.
• Make services available to you in either English or French.

Privacy and Confidentiality

In keeping your tax information on file, we will:

• Ensure that it is secure.
• Give you access to that information.

When collecting information from you, we will tell you:

• Why we are asking you for information.
• How we will use it.
• What will happen if you choose not to provide the requested information.

In disclosing information about you, we will:

• Only use your information in accordance with the law.

With proper written authorization, we are pleased to discuss your tax information with your authorized representative.

Accessible Information

It is important that you, as a taxpayer or an authorized representative of a taxpayer, have access to clear, understandable and current tax information. We will:

• Make tax information available in alternative formats upon request.
• Ensure that information explaining a tax change is available to all taxpayers by the next business day following a significant change in tax policy or legislation.

If you encounter forms or publications which are difficult to understand or which do not contain enough information, we encourage you to call your local tax office to suggest changes or to request assistance.

Assistance

We will listen and respond to your enquiries and conduct ourselves in a manner that encourages public confidence.

If you are making an enquiry of a general nature, you do not have to identify yourself.

However, if you are making an enquiry about your tax assessment or particular tax affairs, it is important that we are certain about your identity before we proceed with our discussion. This ensures that personal information is only given to you or your authorized representative. This means you need to give us your name, address, telephone number and tax file number and/or the reference number on your correspondence if your enquiry is in response to a letter from us. If applicable, a copy of the notice of assessment should be sent with written enquiries and shown during walk-in enquiries.

If we cannot assist you immediately, we will tell you when you can expect a response based on the complexity of the issue.

If you are not satisfied with the assistance provided, you can ask to speak to the manager in the appropriate tax area.

If you have a complex tax situation and require a detailed explanation or interpretation of a tax law as it applies to your particular situation, you can request a detailed explanation or interpretation.

Reliable Written Information

Written information from us may be in the form of tax bulletins, notices, publications, rulings and interpretations. You can rely on this information as it applies to your circumstances, as follows:

• Tax bulletins, notices and publications can be relied on for general guidance. We are available to help you if you require clarification.
• Tax rulings and interpretations provide a binding written opinion about the way a tax law or laws would apply to your particular arrangement.
• No liability will be assessed against you where you, as a taxpayer, rely on information provided in writing by an employee of the ministry. This is limited to situations when information was in response to a written request from you containing full and accurate disclosure of the particular circumstances and you relied on that information.
• When you seek a written ruling or interpretation, we will tell you when you can expect a response based on the complexity of the issue.

Education

The ministry frequently develops and delivers taxpayer education and information programs under specific tax statutes. Certain taxpayer and industry groups are also given in-depth briefings on tax items needing clarification, or which have been amended or withdrawn.

Seminars

We will assist you in understanding your rights and responsibilities under the Retail Sales Tax Act. New vendors will be invited to attend a PST-GST/HST seminar within 15 working days of being registered.

The Tax Advisory Services Branch will conduct industry and/or topic specific seminars relating to retail sales tax legislation and will schedule the seminar within 60 working days of a request.

Voluntary Disclosure

We encourage all bona fide voluntary disclosures with respect to the tax and grant statutes.

Any corporation or individual, who voluntarily discloses a violation of a provincial tax statute administered by the ministry and who makes full payment of the debt and interest owing, will not be prosecuted or assessed a civil penalty provided that they meet the following five conditions:

• The disclosure must be voluntary (i.e. it must not be prompted by any enforcement action or contact by audit staff).
• The disclosure must be full and accurate.
• All books of account, records and documents must be made available and questions from ministry staff answered so that the information disclosed can be verified.
• The disclosure must not relate to information for the current tax return.
• The disclosure must involve an offence with a civil penalty, fine or jail term.

You will be sent a written confirmation of the acceptance of your voluntary disclosure.

Service Standards

Government Common Service Standards

We are committed to meeting the Ontario Public Service common service standards that we set for ourselves for four key areas: telephone, correspondence, walk-in services and customer-feedback and complaint resolution. When you call us or visit one of our tax offices during core business hours (8:30 a.m. to 5:00 p.m., Monday to Friday) or write to us at any time, these are the standards you can expect:

• Telephone: Your call will be answered by the third ring, and you will have the option of reaching a person. Your call will not be redirected more than once. All calls will be returned within one working day.
• Mail (Includes fax, mail and e-mail): All correspondence will be answered within fifteen working days of receipt. If a conclusive response is not possible within that time, an interim acknowledgement with an anticipated date of response will be provided within five working days of receipt.
• Walk-In Services: You will receive staff-assisted service in the order of your arrival and will be told the expected waiting time. The best times to receive speedier service will also be posted.
• Customer Feedback/Complaint Resolution: Your complaints will be documented and acknowledged within two working days, and with each contact, you will have the opportunity to provide feedback on our service.

Core Business Service Standards

Registrations

We will complete registrations in the following time frames:

Retail Sales Tax

• Walk-in, mail-in and telephone registrations - 1 working day.
• Ontario Business Connects registrations - within 15 working days.

Employer Health Tax

• Walk-in, mail-in and telephone registrations - 1 working day.
• Ontario Business Connects - within 15 working days.

Corporations Tax

• Within two weeks of your application for incorporation or an extra provincial license being processed by the Ministry of Government Services, you will be assigned a Corporations Tax number.

Motor Fuels and Tobacco Tax

• Walk-in registrations under the International Fuel Tax Agreement - same day.
• Mail-in registrations under the International Fuel Tax Agreement - within 15 working days. All other registrations within 15 working days of provision of application and required security.

Taxroll Update

When you advise us of changes in your personal or corporate information we will make those changes promptly:

Telephone or walk-in visit - within 2 working days.

Mail-in request - within 15 working days of when the request is received by mail.

Account Adjustments

Adjustments can include corrections to keying errors, issuing cheques for credit balances and re-posting any errors such as wrong date or wrong amount. These adjustments will be made within 30 working days of receipt of all necessary information.

Audit

A visible audit program is essential to maintaining the integrity of the self-assessment system by making sure that everyone is following the same rules and paying their fair share of taxes that are due. Audits are an impartial examination of a taxpayer's return and/or books, records and operations. Throughout the course of an audit, you will receive fair, courteous and professional treatment.

The objective of an audit is to assess the correct amount of tax and may result in no assessment, an assessment of additional taxes, or a refund of overpaid taxes. Some audits are conducted from our premises ("desk audits"), while others involve on-site interviews and examinations of financial records and accounts ("field audits").

To conduct a quality field audit in a timely manner, we will:

• Arrange with you a mutually agreeable date for the commencement of the audit, generally with 15 working days notice.
• Prior to commencing the audit, provide you with an initial list of information required and the name of the individual who will be conducting the audit and their manager and telephone number should you wish to further discuss the findings of the auditor.
• Confirm with you the people designated to speak on your behalf during each segment of the audit.
• Generally conduct the audit during your normal business hours with minimal disruption to your business operation.
• Discuss with you any potential adjustments as they arise and give you the opportunity to provide further information.
• Maintain the confidentiality of taxpayer information, safeguard your records and handle them with due care.
• Once the field work is completed, prepare a statement of proposed adjustments reflecting the results of the audit.
• Have the auditor meet with you and/or your representative to explain any proposed adjustments and provide you with information about how you can comply in the future.
• Give you 30 working days to respond to the proposed adjustments if you wish to provide additional information/arguments before the audit is completed.
• At the conclusion of every audit, provide you with the final audit results, notification that the audit has been concluded and advise you that if as a result of the audit, additional tax is owing, that this tax is to be paid immediately to avoid additional interest charges.
• Provide a quality service questionnaire to recipients of an audit within three weeks following an assessment.

With respect to desk audits, the above will also apply, where applicable.

Joint Audits

We are committed to streamlining the audit process through the performance of joint audits with those jurisdictions conducting reviews under comparable legislation. Joint audits under several tax statutes are being conducted with the federal government (Canada Revenue Agency). While such joint audits are only being done on a limited basis at the present time, we will continue to seek ways to expand them further if business is agreeable.

Consolidated Audits

In order to reduce the overall time spent by our auditors at the business location, we are committed to conducting more consolidated audits across various Ontario tax programs where the business is agreeable to it.

Collections

We are responsible for collecting the revenue payable under the law so that the government has the money to fund programs and services which are a priority for the people of Ontario. Tax laws require taxpayers to meet their tax obligations and to pay their fair share.

If you fail to pay or remit your provincial taxes, penalties and interest in a timely manner, we will:

• Notify you of your delinquency by mailing Default Notices, Assessment Notices or Statements to your last known address.

If your account remains delinquent after notice, we will:

• Take progressive collection action by way of letters, telephone contact and personal contact.
• Only take more severe sanctions when other methods have failed and you have been advised of the consequences of non-compliance.
• Provide you with the name and telephone number of the collection manager should you wish to discuss any matter relating to the collection.
• Consider reasonable payment arrangements where the whole amount owing cannot be paid immediately.
• Refrain from further collection action while the terms of any payment arrangement are being met.
• Release garnishments when all taxes, interest and penalties owing are paid.
• Not take legal action following an original assessment for 30 working days, other than in exceptional circumstances.

Objections and Appeals

You may disagree with the way we have interpreted or applied a tax law or calculated an assessment with respect to your particular circumstances. Some differences of opinion regarding tax liability can be settled through meetings with staff from the tax office.

However, if you still disagree with a tax assessment, or grant allowance, you may request a Notice of Objection form from the auditor who conducted your audit or from any tax office. This form is also available on our Internet site by visiting ontario.ca/taxappeals.

The completed form objecting to an assessment or disallowance under a tax act must be sent by registered mail within 180 calendar days from the day the Notice of Assessment or Statement of Disallowance was mailed or personally delivered to you. The exceptions to the 180 calendar day period are:

International Fuel Tax Agreement: 30 Calendar Days

Community Small Business Investment Funds Act, Ontario Home Ownership Savings Plan Act: 60 Calendar Days

Ontario Guaranteed Annual Income Act, Income Tax Act (Ontario), Ontario Child Care Supplement for Working Families, Ontario Research Employee Stock Option, Tax Overpayment: 90 Calendar Days

* from the date the Notice or Determination was mailed or personally delivered.

Objections

Once an objection has been filed, the Tax Appeals Branch will conduct a timely, independent review of the assessment and will:

• Acknowledge receipt of the Notice of Objection within 5 working days.
• Deal with objections on a first in-first out basis.
• Within three months of the objection being assigned to an Appeals Officer, have that officer contact you to discuss the objection.
• Contact you if additional information is required or to obtain clarification of your objection.
• Keep you advised of the progress of the review.
• Provide you with 30 working days to respond to our proposed resolution of the objection, with respect to complex objections.
• Upon completion of the review, advise you in writing of the results.
• Resolve objections dealing with interest and penalties within three months of receipt.
• Resolve 80% of all objections within two years of receipt.

Throughout the objection review process, you may:

• Discuss your case with the Ministry's Tax Appeals Branch and submit a proposal to resolve the disputed assessment.

Appeals

• If you are not satisfied with the ministry's decision regarding your objection, you may appeal to the Ontario Superior Court of Justice.

Refunds

The ministry has the responsibility to refund any overpayment of provincial tax within a reasonable period of time provided that you do not owe tax under another tax statute. Taxpayers are required to pay only what is due.

Where you are entitled to a tax refund, the following time frames will apply once we receive from you all required information and documentation:

Retail Sales Tax: 40 working days

Employer Health Tax: 40 working days

Corporations Tax: 40 working days

Fuel Tax: 40 working days

Gasoline Tax: 40 working days

Tobacco Tax: 40 working days

Land Transfer Tax: 40 working days

Provincial Land Tax: 40 working days

Service Standards at at March 2003

Service
Standard

Ensure information explaining significant change in tax policy or legislation is available
By the next working day following the change

Invite new Retail Sales Tax vendors to attend a PST-GST/HST seminar
Invited within 15 working days of being registered

Conduct retail sales tax industry and/or topic specific seminars
Scheduled within 60 working days of request

Correspondence by fax, mail or electronic mail
Within 15 working days or an interim acknowledgment within 5 working days

Telephone General Enquires
Pick up by third ring; 1 working day call back

Walk-in Enquiries
Expected waiting time posted

Customer Feedback/Complaint Resolution
Complaint documented and acknowledged within 2 working days; with each contact, have the opportunity to provide feedback on service

Registrations
Walk-in, mail-in and telephone - 1 working day (with a few exceptions) Through Ontario Business Connects-15 working days Other registrations - 15 working days

Refunds
*Time frames apply once we receive all required information and documentation
All refunds to be processed within 40 working days

Account Adjustments
30 working days

Taxroll Update
Walk-in and Telephone - 2 working days
Mail - 15 working days

Notice of Audit
Mutually agreeable date, generally with 15 working days notice

Audit - to respond to the proposed adjustments
Up to 30 working days

Objections - contact by appeals officer
Within 3 months of the objection being assigned

Objections (complex objections) - Allow for response by objector to Opinion Letter
30 working days from date of letter

Objections - resolution of objections dealing with interest and penalties
3 months from date of receipt of Notice of Objection

Objections
Resolution of 80% of all objections within 2 years from date of receipt of Notice of Objection

Collections - time before legal action may be started
30 working days after original assessment(other than exceptional circumstances)

Contact Information

General Enquiries

Ministry Information Centre
33 King Street West
PO Box 627
Oshawa ON L1H 8H5

Ministry Internet

For electronic copies of the Service Commitments and Standards in Tax Administration and other ministry documents, visit our website at: www.rev.gov.on.ca/en/about/scsta/

Electronic Feedback/Enquiry

We welcome your comments and questions electronically. There is a Quality Service Questionnaire online for this purpose at www.rev.gov.on.ca/en/about/scsta/survey.html You can also e-mail us at service.standards@ontario.ca

Access to Information

Forms and Publications are available by calling: 1 866 ONT-TAXS (1 866 668-8297) or 1 800 263-7776 for teletypewriter (TTY) or on our website at: ontario.ca/revenue. Our fax number is 905 436-4445.

Business Registration

The Ontario Business Connects self-help workstations are located through a network of over 140 service locations across Ontario. You can find the location nearest to you on the Ministry of Government Services Internet site at: Gateway for Business.

Education

If you wish an industry and/or topic specific Retail Sales Tax seminar, contact the Tax Advisory Services Branch at 905 433-6313 or 1 866 ONT-TAXS (1 866 668-8297).

Voluntary Disclosure

If you wish to make a voluntary disclosure, contact the relevant tax office or call the ministry toll free at 1 866 ONT-TAXS (1 866 668-8297) or 1 800 263-7776 for teletypewriter (TTY) or write to:

Ministry Information Centre
33 King Street West
PO Box 627
Oshawa ON L1H 8H5

The Tax Information Bulletin, Voluntary Disclosure, is available on the Internet at ontario.ca/revenue.

Complaint Resolution Process - Tax Assessment

Check your assessment notice for the telephone number of your tax office and deal with management and staff in this office first before filing an objection or an appeal.

Objections/Appeals

The tax guide, Ontario Taxes and Programs: Objections and Appeals Process, is available on the Internet at ontario.ca/revenue or by calling the ministry toll free: 1 866 ONT-TAXS (1 866 668-8297).
File your objection with the:
Tax Appeals Branch
1600 Champlain Ave., 3rd Floor
Whitby ON L1N 9B2
Toll Free: 1 800 461-2637

Refunds

For information on refund procedures or to obtain assistance, call the tax office closest to your place of business.

To Comment

We want to hear from you. We value your input on how we can continue to meet taxpayer needs and improve our services. Please take the time to complete the Quality Service Questionnaire on our website or at any of our tax offices. Your feedback can help to ensure that we are achieving our goal of applying tax laws with fairness and courtesy. Mail this form to:

Quality Centre for Excellence
Ministry of Finance
2nd Floor, 33 King Street West
Oshawa ON L1H 8H5
Fax to: 905 433-6588