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 holds or delays your refund to verify that you are truly entitled to it. Unlike a full audit, this is a targeted investigation focused on documentation, invoice validity, and supplier compliance.
Mackisen CPA Montreal helps businesses prove entitlement quickly by preparing airtight refund files, ensuring every Input Tax Credit (ITC) or Input Tax Refund (ITR) is backed by complete, compliant evidence — preventing costly delays or denials.

Legal Foundation

Law: Excise Tax Act (ETA) s. 169 (ITC entitlement), s. 231.1 (CRA inspection powers), s. 299 (refund verification).
Jurisprudence: Northwest Company Inc. v. Canada (2011 TCC) — CRA can reject ITCs if invoices lack proper business information, even if tax was paid.

Learning insight: CRA’s default position is “prove it or lose it.” Your refund isn’t denied because it’s wrong — it’s denied because it’s unproven.

Why CRA Triggers a Refund Integrity Audit

Refund integrity audits are usually triggered by automated risk filters within CRA’s GST/HST processing system. Common triggers include:

• Large or recurring refund claims compared to revenue size.

• Frequent adjustments or amended returns.

• New registrants with high ITCs and low sales.

• Supplier names that appear on CRA’s non-compliant list.

• Mismatches between your GST return and income statement.

Learning insight: CRA systems flag refunds statistically — not personally. Mackisen CPA turns statistics into substantiated facts.

What Mackisen CPA’s Refund Defense Includes

1. Invoice Compliance Review: Verify each supplier invoice meets CRA’s required elements — name, registration number, description, and amount of tax.

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

3. Supplier Verification: Confirm GST/HST registration of vendors through CRA’s database.

4. Purchase Purpose Assessment: Show each expense was incurred for commercial activity under ETA s. 169(1).

5. CRA Correspondence Management: Handle all document submissions, explanations, and follow-ups until refund release.

Learning insight: Refund defense is not about paperwork — it’s about precision. Mackisen CPA builds your compliance story line by line.

CRA’s Audit Process for Refund Integrity Cases

1. Refund Hold Notification: CRA sends a notice that your return is under review.

2. Document Request: CRA requests invoices, contracts, or proof of payment.

3. Review of Commercial Activity: CRA tests if your purchases relate to taxable supplies.

4. Field Verification: In complex cases, CRA visits your business location.

5. Decision and Refund Release: Once documentation is verified, funds are released with or without adjustments.

Learning insight: CRA doesn’t delay refunds for punishment — it delays them for proof. Mackisen CPA delivers that proof.

Common Reasons CRA Withholds GST/HST Refunds

• Missing or invalid GST registration numbers.

• Expenses unrelated to commercial activities.

• Non-resident supplier issues.

• Duplicate ITC claims.

• Unverifiable subcontractor invoices.

Mackisen CPA identifies and resolves these issues proactively — ensuring your refund moves forward.

Learning insight: Refund integrity isn’t about defending the amount — it’s about defending the evidence.

The Financial Impact of a Refund Hold

Refund delays can cripple small-business cash flow. A $50,000 refund held for 90 days can cost thousands in interest and operational strain.
Mackisen CPA prioritizes refund acceleration through documentation accuracy and continuous communication with CRA officers.

Learning insight: The speed of a refund depends on the speed of your proof.

SEO Optimization and Learning Value

Primary Keywords: CRA GST/HST Refund Audit, Mackisen CPA Montreal, CPA Firm Near You, GST Refund Delay, Input Tax Credit Verification, CRA Refund Hold.
Secondary Keywords: CRA GST/HST documentation, refund integrity Canada, Mackisen CPA tax defense, CRA audit response Montreal, Revenu Québec refund verification.

Learning insight: Search engines value authority; CRA values documentation. Mackisen CPA provides both — credibility that ranks and records that prove.

Real Client Success

• A Montréal manufacturer recovered a $380,000 GST/HST refund after Mackisen CPA rebuilt proof of ITCs on imported machinery.

• A start-up consulting firm’s refund was released in 11 days after our team verified supplier registrations and added missing receipts.

• A retail client avoided reassessment when we demonstrated all invoices were linked to taxable supplies.

Learning insight: Refunds move faster when evidence moves first. Mackisen CPA ensures your file tells the story CRA expects to hear.

Why Mackisen CPA Montreal

Mackisen CPA Montreal specializes in complex CRA and Revenu Québec refund audits. With over 35 years of combined CPA and audit-law experience, we understand how CRA’s refund integrity program operates — and how to respond decisively.
Our bilingual team prepares complete digital audit binders, communicates directly with CRA and ARQ officers, and ensures your funds are released without unnecessary penalties or holds.

Learning insight: CRA reviews your refund to confirm compliance — Mackisen CPA prepares it to confirm competence.