CRA Ends Paper Notices in 2026: CRA’s Mandatory Direct Deposit Rule Starts 10 January 2026

A major digital transformation is set to change how Canadians receive tax refunds, benefit payments, and official CRA communications. Starting 10 January 2026, the Canada Revenue Agency (CRA) will officially phase out most paper notices and cheque-based payments, shifting fully to direct deposit and digital communication as the standard nationwide.

This modernization affects millions of taxpayers and benefit recipients, and Canadians must take action now to update their banking information and prepare for the end of traditional mail-based services.

Digital-First Tax and Benefit Delivery Begins Nationwide

As part of the federal government’s service modernization strategy, the CRA is moving to a fully digital-first model. This means that:

• Tax refunds, GST/HST credits, and benefit payments will be issued only by direct deposit.
• Updates, assessments, reminders, and notices will be sent via CRA My Account or authorized digital platforms.

The goal is to improve speed, reduce processing delays, and enhance security for Canadians while lowering administrative costs and supporting environmental goals.

What the End of Paper Notices Means for Canadians

The shift away from paper means that individuals will no longer receive printed CRA letters or cheques by default. Instead, all CRA notices — including benefit updates, account changes, and tax statements — will be sent digitally.

Here’s how the system changes from 10 January 2026:

Category	Old System	New System (From Jan 10, 2026)
Payment Method	Cheque or Direct Deposit	Direct Deposit Only
CRA Notices	Paper Mail	Digital Notifications
Processing Speed	Slower	Faster
Security Level	Moderate	Enhanced

This move is particularly important for those who still rely on paper cheques or physical letters. Without action, these individuals risk missed payments and communication delays.

Direct Deposit Now Mandatory for CRA Payments

The most significant policy change is the mandatory use of direct deposit for nearly all CRA-related payments. This includes:

• Tax refunds
• GST/HST credits
• Canada Child Benefit (CCB)
• Climate Action Incentive Payment (CAIP)
• Old Age Security (OAS) and CPP if administered through CRA platforms

To avoid disruptions, Canadians must ensure their bank account details are accurate in their CRA My Account profile well before the January deadline.

Those who frequently change banks should verify their current account is correctly listed with the CRA to avoid delayed or rejected deposits during the 2026 tax season.

Why the CRA Is Moving Away from Paper

The shift to digital delivery is driven by multiple goals:

• Faster payment and notice delivery
• Reduced fraud and cheque theft
• Improved issue resolution through real-time updates
• Lower printing and mailing costs
• Reduced environmental impact

Paper-based services have long been vulnerable to delays, lost mail, and security risks. The CRA’s updated system aims to deliver more secure, transparent, and real-time service for Canadians.

Canadians Must Prepare for Full Digital CRA Communication

Beyond payments, the CRA is also moving all taxpayer correspondence online. Canadians can now:

• Register for email alerts via CRA My Account.
• Receive instant updates about assessments, account activity, or missing documentation.
• Submit and respond to information requests digitally.
• Access full tax records and benefit histories 24/7 online.

Canadians are encouraged to opt in for email notifications to stay updated on all account activity — helping them respond quickly to changes or CRA requests.

Support for Seniors and Offline Households

While the CRA is moving digital, alternative support channels remain available for individuals who may face barriers:

• Seniors or those without consistent internet access can authorize a representative (family member or accountant) to manage CRA interactions.
• CRA call centres and in-person support will continue to operate for vulnerable Canadians.
• Digital literacy resources will be made available through government and community programs to help people adapt.

The CRA emphasizes that no one will be left behind during the transition, but encourages all Canadians to act early to avoid last-minute issues.

What Canadians Should Do Before January 2026

To avoid payment or notice disruptions, Canadians should:

• Log in to CRA My Account and ensure your profile is active.
• Update your direct deposit information — verify your current bank account is listed.
• Sign up for email notifications so you never miss an update.
• Download the CRA mobile app for on-the-go account access.
• Help elderly or offline relatives register a representative or set up digital access in advance.

These steps ensure a smooth transition to the digital system without interruptions to your payments or notices.

Benefits of the CRA Digital-Only Transition

The CRA’s digital-first policy brings several long-term benefits:

• Faster refunds and benefit payments
• Real-time account notifications and updates
• Lower risk of lost cheques or mail fraud
• Paperless record-keeping for taxes and benefits
• Better control over personal financial data

As Canada enters an era of smart public services, this CRA initiative aligns with the broader movement toward efficient digital governance.

5 Frequently Asked Questions (FAQs)

Q1. What is changing on 10 January 2026 regarding CRA payments?
The CRA will end most paper notices and cheque-based payments, switching fully to direct deposit and digital communication.

Q2. Do I need to apply for direct deposit with CRA if I already get electronic payments?
No. If you’re already set up for direct deposit, no further action is needed. Just ensure your bank account is current.

Q3. What if I don’t have internet or a CRA My Account?
You can authorize a representative (like a family member or accountant) or use CRA phone support to manage your account.

Q4. Will seniors be forced to use online services?
While digital is now standard, the CRA offers support for seniors, including representatives, print-on-demand notices, and phone services.

Q5. How do I sign up for email notifications from CRA?
Log in to CRA My Account, go to “Notification preferences,” and opt in for email alerts to receive real-time updates.