Going Paperless: Digital Record-Keeping 2025

Paper accounting is becoming obsolete. CRA and Revenu Québec now require all corporations to keep and file digital records. Going paperless ensures compliance, improves efficiency, and protects financial data. Mackisen CPA Auditors Montreal helps businesses convert to secure, encrypted systems that meet every CRA and Revenu Québec digital recordkeeping standard.

Legal and Regulatory Framework

Income Tax Act (Canada) Section 230(1): Requires businesses to retain records for six years, in physical or digital format.
CRA Policy IC78-10R5: Validates scanned and electronic records for audit evidence.
Taxation Act (Quebec) Section 34: Mandates digital filing for payroll and tax returns.
Financial Administration Act (Quebec): Requires electronic documentation of accounting transactions.
PIPEDA: Protects personal and corporate financial data.

Key Court Decisions

Les Ailes de la Mode v. Quebec (2019): Confirmed CRA’s acceptance of scanned receipts.
Beaudoin v. Canada (2020): Required businesses to maintain digital records with redundancy.
Caisse Populaire v. The Queen (2021): Highlighted mandatory encryption for compliance.

Why CRA and Revenu Québec Require Digital Records

Digital archives simplify audits, prevent document loss, and improve transparency. CRA prefers electronic submissions with accessible indexing. Mackisen designs secure, compliant digital systems that make paper obsolete.

Mackisen’s Strategy

1. Digital Conversion — Scan and catalog all historical paper records.

2. Cloud Setup — Store records securely in CRA-approved platforms.

3. Encryption & Backup — Protect all data with multiple backups.

4. Staff Training — Teach record management for compliance.

5. Audit Preparation — Maintain retrievable data for future CRA inspections.

Real Client Experience

A Quebec consulting firm reduced audit prep time by 80% using Mackisen’s digital filing system. A Montreal retailer avoided CRA penalties by digitizing seven years of tax records.

Common Questions

Can CRA reject digital records? No, if accessible and verified.
Can I destroy paper after scanning? Yes, once archived securely.
How long must I keep electronic records? Seven years from the tax year’s end.

Why Mackisen

Mackisen CPA Auditors Montreal make digital compliance simple, secure, and affordable. Call Mackisen CPA Auditors Montreal today for your 2025 Digital Filing Consultation. The first meeting is free and future-proofs your accounting.