GOING PAPERLESS: DIGITAL RECORDKEEPING 2025 — HOW TO DIGITIZE YOUR RECORDS AND STAY CRA COMPLIANT

Digital recordkeeping is now the cornerstone of compliance. CRA and Revenu Québec mandate businesses to maintain digital, retrievable financial records for at least six years. Mackisen CPA Auditors Montreal helps businesses transition to secure, cloud-based systems that simplify tax filing, strengthen compliance, and reduce administrative costs.

Legal and Regulatory Framework

Income Tax Act (Canada) Section 230(1): Requires six-year retention of complete, verifiable records.
CRA Policy IC78-10R5: Approves scanned and digital copies for audit verification.
Taxation Act (Quebec): Mandates electronic recordkeeping for all corporate filings.
PIPEDA: Governs secure management of client data in digital archives.
Financial Administration Act (Quebec): Defines accessibility standards for electronic accounting records.

Key Court Decisions

Les Ailes de la Mode v. Quebec (2019): CRA validated scanned receipts as originals.
Beaudoin v. Canada (2020): Reaffirmed businesses must maintain accessible digital archives.
Caisse Populaire v. The Queen (2021): Required encrypted digital backups for CRA compliance.

Why CRA and Revenu Québec Require Paperless Systems

Digital systems simplify audits and prevent document loss. CRA now prefers indexed, encrypted databases that support instant verification. Mackisen creates secure, compliant digital systems that make tax audits faster and stress-free.

Mackisen’s Strategy

1. Digital Conversion — Scan and archive all accounting documents.

2. Cloud Integration — Store encrypted data in CRA-compliant systems.

3. Compliance Monitoring — Maintain accessibility and retention standards.

4. Audit Preparation — Organize records for easy retrieval.

5. Employee Training — Train staff on CRA-approved record management.

Real Client Experience

A Montreal construction company reduced audit time by 70% after implementing Mackisen’s digital filing system. A Quebec tech firm avoided CRA penalties by switching to secure electronic archives.

Common Questions

Can I dispose of paper files? Yes, after secure digital archiving.
Are digital files legally valid? Yes, if traceable and retrievable.
How long do I keep digital records? Seven years minimum.

Why Mackisen

Mackisen CPA Auditors Montreal digitizes and secures your accounting records, keeping you compliant and efficient. Call Mackisen CPA Auditors Montreal today for your 2025 Digital Compliance Consultation. The first meeting is free and modernizes your accounting workflow.