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Canada Confirms Loss Of Data On 28,000 Taxpayers

by Mary Swire, Tax-News.com, Hong Kong

07 February 2017

The Canada Revenue Agency (CRA) has confirmed that a DVD containing encrypted taxpayer information has been lost by a courier service.

The CRA said that the DVD, sent by a registered courier service and destined for the Government of Yukon, contained the tax information of approximately 28,000 taxpayers who were residents of the Yukon Territory in the 2014 tax filing year. It added that the courier service has launched a search to locate the missing DVD, and that the Office of the Privacy Commissioner of Canada has been informed of the incident.

According to the CRA, there is no indication that the data has been accessed or used. It stressed that there are strong security measures in place and that there is a very low risk that taxpayers' information would be compromised. The encryption module used on the DVD has been approved by the Communications Security Establishment, it said.

The CRA noted that the use of encrypted CDs and DVDs is a common practice when it comes to exchanging information for tax purposes, and that there are stringent requirements for how storage devices and hard copies are handled. It said that an initial internal investigation indicates that CRA personnel complied with government and CRA policies.

The CRA said that although the risk to affected taxpayers is thought to be very low, it will formally notify those concerned. It has set up an information telephone line.

TAGS: individuals | tax | tax authority | Canada | individual income tax | Communications

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