Insights
Nov 24, 2025
Mackisen
CRA GST/HST Refund Integrity Audit — Montreal CPA Firm Near You: Prove Refund Entitlement
A CRA GST/HST Refund Integrity Audit can feel like a freeze on your cash flow. Businesses that file regular GST/HST refund claims—especially exporters, manufacturers, and real-estate developers—often trigger CRA’s automated “Refund Integrity” program. Until the refund is verified, your money doesn’t move. Mackisen CPA Montreal ensures that your refund claim is approved quickly by providing the CRA with clear, defensible documentation that proves every credit is legitimate.
Legal Foundation
Law: Excise Tax Act (ETA) s. 299 — empowers CRA to withhold refunds until entitlement is proven; s. 169 — defines documentation requirements for input tax credits (ITCs); s. 286 — outlines record-keeping obligations.
Jurisprudence: The Northwest Company Inc. v. Canada (2011 TCC) — CRA can deny or delay ITCs and refunds if the taxpayer cannot produce proper invoices or proof of payment.
Why CRA Freezes GST/HST Refunds
CRA’s automated system compares every refund claim against a national database of suppliers, invoices, and prior filings. If a refund exceeds industry averages or includes high-risk suppliers, the system flags it for manual audit. These audits are not accusations of wrongdoing—they are documentary verification exercises.
Learning insight: CRA’s default assumption is “prove it.” If your paperwork does not prove it, your refund will not move.
Common refund-hold triggers include:
Claiming a large refund after several small remittances.
Using new or non-registered suppliers.
Claiming ITCs on invoices paid in cash or by transfer to personal accounts.
Missing supplier GST/HST registration numbers.
Inconsistent filing patterns or back-dated claims.
Mackisen CPA Montreal anticipates these red flags before CRA does—ensuring your refund is released fast and without penalty.
What Mackisen CPA’s Refund Integrity Audit Includes
Supplier Validation: We verify each supplier’s CRA registration status and GST number under s. 241 of the ETA.
Invoice Proof: We ensure every claim includes the correct legal name, address, and tax registration information.
Payment Reconciliation: We match bank records to invoice totals to prove payment and eligibility.
ITC Eligibility Testing: We confirm that every claimed expense was used exclusively in commercial activity.
Export-Proof Verification: For zero-rated supplies, we file customs export reports and shipping documents.
Refund Request Management: We communicate directly with CRA’s Refund Integrity Centre to accelerate processing.
Learning insight: CRA auditors spend 80% of their time chasing missing documents—not verifying valid ones. Mackisen CPA ensures your submission starts with perfection, not confusion.
The Financial and Operational Impact
When CRA holds a refund, it affects liquidity, payroll, supplier payments, and growth. Refunds can range from $10,000 to $1,000,000 for high-input sectors such as construction or manufacturing. A two-month hold can cascade into financing costs and lost opportunities.
Example:
A Montréal importer had a $175,000 refund delayed for 7 months due to missing GST numbers on supplier invoices. After Mackisen CPA reconstructed the entire supply chain and filed a corrective package, CRA released the refund in 14 days—plus $2,400 in interest.
Learning insight: In indirect-tax compliance, speed is the difference between liquidity and liability.
How Mackisen CPA Defends and Accelerates Refund Claims
Documentation Audit: We conduct a complete review of invoices, payments, and ITC claims.
CRA Representation: We respond to refund-integrity queries on your behalf, using professional CPA correspondence.
Technical Ruling Support: We reference relevant CRA GST/HST memoranda to prove eligibility.
Refund Recovery Optimization: We identify credits missed in prior periods to offset future tax liabilities.
Post-Audit Protection: We establish systems that prevent future refund freezes by aligning accounting software, supplier validation, and document retention policies.
Learning insight: CRA doesn’t pay based on need—it pays based on proof. The Mackisen CPA system builds the proof before CRA asks.
Real-World Red Flags Resolved by Mackisen CPA
Unregistered supplier issuing invoices with missing GST numbers.
Invoices containing typographical errors in names or amounts.
Missing proof of export for zero-rated sales.
Over-claimed ITCs on mixed-use assets (vehicles, equipment).
Duplicate invoices across reporting periods.
Our bilingual audit specialists verify every element, ensuring CRA cannot deny refunds for technical reasons.
SEO Optimization and Educational Value
Primary Keywords: CRA GST/HST Refund Audit, GST Refund Integrity Program Canada, Mackisen CPA Montreal, CPA Firm Near You, CRA Refund Hold, GST Input Tax Credit Review.
Secondary Keywords: CRA GST refund delay, Mackisen audit support, Revenu Québec GST refund, CRA indirect tax defense, CRA invoice proof compliance.
Learning insight: A refund audit is not a problem—it’s a process. When handled by a CPA, that process becomes predictable, professional, and profitable.
Real Client Success
A retail distributor recovered $84,000 in GST refunds held for six months due to a supplier-registration mismatch.
A construction company avoided a $52,000 disallowance after Mackisen CPA documented partial commercial use of equipment.
An exporter secured full approval and refund release within 10 days after submitting our CPA-prepared reconciliation package.
Why Mackisen CPA Montreal
With over 35 years of combined experience in GST/HST compliance, Mackisen CPA Montreal is the firm that CRA auditors respect and businesses trust. We specialize in high-volume refund verification, ITC documentation, and place-of-supply compliance. Our direct communication with CRA Refund Integrity Centres in Ottawa, Montréal, and Shawinigan ensures faster responses and reduced delays.
Learning insight: A CRA refund audit tests not your honesty, but your organization. Mackisen CPA Montreal ensures your file is organized to pass the first time.
