CRA GST/HST Refund Integrity Audit — Montreal CPA Firm Near You: Prove Refund Entitlement

A CRA GST/HST Refund Integrity Audit occurs when the Canada Revenue Agency (CRA) places a temporary hold on your refund to verify that every Input Tax Credit (ITC) claimed is supported, legitimate, and related to your business activity. This type of audit is not an accusation — it’s a documentation test.
Mackisen CPA Montreal helps businesses prove their refund entitlement with CPA-certified documentation, supplier validation, and complete reconciliation, ensuring your funds are released quickly and safely.

Legal Foundation

Law: Excise Tax Act s.169 (ITC entitlement requirements), s.231.1 (CRA’s power to demand records), s.299 (refund verification).
Jurisprudence: Northwest Company Inc. v. Canada (2011 TCC) — CRA can deny ITCs if documentation is incomplete or fails to meet the required standard, even when the transaction occurred.

Learning insight: CRA doesn’t question your right to the refund — it questions your proof. Mackisen CPA builds that proof before CRA even asks.

Why CRA Triggers Refund Integrity Audits

CRA’s automated systems compare refund patterns across thousands of businesses. A file is flagged when refund claims appear unusual or risky. Common triggers include:

• High refund claims relative to sales.

• Frequent refunds across several filing periods.

• Unregistered or non-compliant suppliers.

• Missing invoices or invalid GST/HST registration numbers.

• Mismatches between GST/HST returns and income statements.

Learning insight: CRA uses data analytics to find exceptions — Mackisen CPA uses documentation to prove exceptions are legitimate.

CRA Refund Integrity Audit Process

1. Refund Hold Notice: CRA notifies you that your refund is under review.

2. Documentation Request: CRA asks for supplier invoices, contracts, and proof of payment.

3. Supplier Verification: CRA cross-checks registration and returns data from your vendors.

4. Commercial Activity Review: CRA verifies that purchases were for taxable business use.

5. Decision: CRA releases, adjusts, or denies the refund based on submitted evidence.

Learning insight: CRA refund audits are less about tax knowledge and more about audit presentation. Mackisen CPA ensures both are handled flawlessly.

Mackisen CPA’s Refund Defense Framework

1. Invoice Validation: Confirm each supplier invoice includes legal requirements under ETA s.169(4).

2. Proof of Payment: Match invoices to corresponding bank statements, e-transfers, or cheques.

3. Commercial Use Verification: Demonstrate each purchase’s link to taxable supplies.

4. Supplier Registration Audit: Verify all vendors are properly registered for GST/HST.

5. CRA Communication and Submission: Manage all audit correspondence until refund release.

Learning insight: Refund integrity is built on three pillars — proof, precision, and presentation. Mackisen CPA provides all three.

Common CRA Audit Findings

• Missing or invalid GST registration numbers on invoices.

• Expenses claimed for personal or mixed-use assets.

• Duplicate refund claims across reporting periods.

• Unpaid invoices used as ITC claims.

• Unregistered or closed suppliers issuing invoices.

Mackisen CPA corrects or supplements missing documentation, ensuring compliance and avoiding long refund delays.

Learning insight: CRA denies refunds because of missing details, not missing integrity. Mackisen CPA fills those gaps.

Financial Impact of Refund Delays

Refund delays can disrupt payroll, supplier payments, and cash flow — especially for manufacturers, exporters, and service companies with recurring refunds. CRA may pay interest on delayed refunds, but only if your file is perfect from the outset.

Learning insight: Refund readiness saves time and interest — Mackisen CPA ensures you’re always audit-ready.

Real Client Success

• A Montréal importer recovered $425,000 in frozen GST refunds within 14 days after Mackisen CPA validated supplier documentation and matched proof of payment.

• A construction firm avoided $92,000 in denied ITCs after we corrected invoice and supplier registration inconsistencies.

• A retailer’s 3-month CRA refund hold was lifted in 10 days when we presented a complete, indexed refund binder.

Learning insight: CRA releases refunds faster when your file looks like a CRA file. Mackisen CPA builds that file for you.

SEO Optimization and Educational Value

Primary Keywords: CRA GST/HST Refund Audit, Mackisen CPA Montreal, CPA Firm Near You, CRA Refund Hold, Input Tax Credit Verification, CRA Refund Integrity Program.
Secondary Keywords: CRA GST refund documentation, GST refund delay Canada, CRA supplier verification, Mackisen CPA tax defense, CRA refund review.

Learning insight: SEO and compliance share one principle — transparency earns trust. Mackisen CPA practices both.

Why Mackisen CPA Montreal

Mackisen CPA Montreal combines over 35 years of indirect-tax, audit, and CRA defense experience. Our bilingual team of CPAs and compliance specialists handles all aspects of refund verification and ITC validation, ensuring rapid refund release and full legal protection.
We work directly with CRA and Revenu Québec auditors to deliver organized, compliant, and persuasive evidence that gets results.

Learning insight: CRA rewards readiness. Mackisen CPA ensures your refund claim is verified, not delayed.

Call to Action

If CRA or Revenu Québec has frozen your GST/HST refund or requested proof of entitlement, contact Mackisen CPA Montreal today.
Phone: 514-276-0808 | Email: info@mackisen.com | Website: mackisen.com

Learning conclusion: CRA Refund Integrity Audits test documentation, not honesty. Mackisen CPA Montreal ensures your records meet every legal standard — turning refund holds into fast approvals and peace of mind.