Skeena-Bulkley Valley MP Ellis Ross is continuing to press the Canada Revenue Agency over problems with Haida Gwaii’s Northern Residents Deduction, saying residents whose claims were delayed, reviewed or reassessed because of an issue with CRA’s validation process should not be left to deal with the consequences.
Ross said CRA has acknowledged the issue and made changes to its validation process for the Northern Residents Deduction. But his Oct. 2 statement raises the remaining question of what will happen to residents who were caught by the previous process.
“We welcome the CRA’s acknowledgement of the issue and the changes it has made to its validation process for the Northern Residents Deduction,” Ross said. “At the same time, it is important that consideration be given to residents whose claims were delayed, reviewed or reassessed under the previous process.”
“These residents should not be disadvantaged as a result of an administrative issue with the validation process.”
Haida Gwaii was moved from the prescribed intermediate zone, Zone B, to the prescribed northern zone, Zone A, beginning with the 2025 tax year. The change means qualifying residents can claim the full Northern Residents Deduction rather than the half-rate available in Zone B.
But as residents began filing their 2025 returns, some received review or reassessment notices despite living on Haida Gwaii. Haida Gwaii News previously reported that the problem appeared to be connected to the way CRA’s system recognized individual community addresses. Haida Gwaii itself was listed as Zone A, while communities such as Daajing Giids were not individually listed.
The issue prompted further calls for Ottawa to correct the validation process.
Ross said residents of Haida Gwaii and other remote and northern communities should be able to access federal benefits and tax measures without facing unnecessary barriers because of where they live.
“Residents of Haida Gwaii and other remote and northern communities deserve reliable, accurate and accessible federal services,” Ross said. “The unique circumstances of living in a remote community should never result in a lower standard of service or unnecessary barriers when accessing benefits and tax measures for which residents are eligible.”
He is now encouraging anyone who experienced a delay, review or reassessment connected to the Northern Residents Deduction to contact his office.
“We are here to work through this process with residents,” Ross said.
What remains unclear is whether CRA will proactively review claims affected by the earlier validation problem or whether individual residents will have to seek adjustments or further reviews themselves.
CRA currently lists Haida Gwaii as a Zone A prescribed northern area. Qualifying residents must generally live permanently in a prescribed zone for at least six consecutive months.