What Is NETFILE? Should You File Taxes Yourself or Use a Professional Service?

What Is NETFILE?

NETFILE is an electronic tax filing system provided by the Canada Revenue Agency (CRA). It allows individuals to submit their personal income tax returns directly to the CRA through certified tax software. With NETFILE, there's no need to print, mail, or physically deliver documents—everything is securely handled online.

Unlike EFILE, which is intended for tax professionals, NETFILE is designed for individuals to file their own taxes using approved software like TurboTax, Wealthsimple Tax, or UFile. The CRA typically opens the NETFILE system in late February and keeps it available until late November each year.

Key benefits of using NETFILE:

• Fast processing: Tax refunds can be issued within 8–14 days.

• Secure: Your information is encrypted and transmitted directly to the CRA.

• No mailing required: No need to send supporting documents by post.

• Easy access and tracking: You can follow your return through your CRA My Account.

Who Can Use NETFILE?

Not everyone is eligible to use NETFILE. The CRA has certain requirements, including:

• You must be filing a personal income tax return (not for someone who has passed away).

• Your income and residency status must fall within supported categories.

• You must not have complex foreign income or investment structures.

✅ Most reputable tax software will automatically check your eligibility and notify you if NETFILE is not an option for your situation.

Important:
NETFILE is not available for corporations, business tax returns, or individuals with complicated tax situations (such as income from multiple countries or advanced investment portfolios).

Should You File Taxes Yourself Using NETFILE?

NETFILE is a popular choice for students, young professionals, or anyone with a simple tax profile. You may be a good fit for NETFILE if:

• You’re employed full-time or part-time with a standard T4 slip

• You don’t have complex investments or foreign assets

• You only need to report a few forms (e.g., T4, T2202 for tuition, RRSP contributions)

In this case, using software to file your return via NETFILE can save you money on service fees and give you a better understanding of your own tax obligations. Many programs, like TurboTax or Wealthsimple Tax, even offer free versions for simple returns.

However, a few cautions apply:

• You’re fully responsible for any errors or omissions

• You may miss out on deductions or credits if you're not familiar with all the rules

When Should You Use a Professional Tax Service?

Using a tax professional is not just for the wealthy. A professional tax service is recommended when:

• You have multiple income sources (employment, self-employment, investments, etc.)

• You receive forms like T2125, T5013, T5008, or have crypto transactions

• You need to report foreign income or property

• You want to optimize your tax refund through strategies involving RRSPs, TFSAs, medical expenses, or other tax credits

• You have dependents, a spouse, or receive Canada Child Benefit (CCB)

Also, if the CRA sends you a letter asking for additional information, having a tax professional act on your behalf can streamline communication and avoid mistakes.

At TikiTax.ca, our experienced tax advisors can help you:

• File accurately, completely, and strategically

• Avoid small errors that could delay your refund or trigger a CRA review

• Represent you and provide ongoing support if CRA needs clarification

Our service fees are reasonable and transparent, especially tailored for the Vietnamese community in Canada.

Conclusion: Should You File Yourself or Hire a Tax Pro?

Filing your own return using NETFILE is a great option if you understand your finances well and have a straightforward tax situation. It’s fast, cost-effective, and convenient.

However, if your taxes are more complex, or you want to maximize your refund and minimize risk, a professional tax service is the better choice. It saves you time, prevents costly mistakes, and gives you peace of mind.

At TikiTax, we don’t just file your taxes—we help you build smarter financial habits and plan ahead for future tax years.

📌 Let TikiTax guide you through tax season—with accuracy, transparency, and your best interests in mind.