CRA Annual Report to Parliament 2011-2012 (PDF - Agence du ...

summary information as of March 31, 2012 on the assessments the CRA conducted including progress, results, and related
action plans. Some financial highlights pertinent to understanding the CRA's unique control environment are also provided.
1.1 Authority, mandate, and program activities
The CRA’s mandate is based on a framework of complex laws enacted by Parliament and by provincial and territorial
legislatures. To fulfill its mandate, the CRA administers a range of taxes, benefits, and related programs aimed at ensuring that
taxpayers meet their obligations and receive their entitlements, and at protecting Canada’s tax base. For more detailed
information on the CRA’s authority, mandate, and activities, refer to the Annual Report to Parliament on the CRA website at
http://www.cra-arc.gc.ca/gncy/nnnl/menu-eng.html or to the Report on Plans and Priorities on the CRA website at http://
www.cra-arc.gc.ca/gncy/prfrmnc_rprts/menu-eng.html.
1.2 Financial highlights
The CRA’s key results for fiscal year 2011-2012 are as follows:
Canada Revenue Agency activities
Total expenses of $4,758 million, 74% of which is personnel expenses.
Total assets of $601 million and liabilities of $1,146 million. Capital assets comprise 67% of the CRA’s total assets.
Employee severance benefits comprise about 64% of total liabilities and accounts payable, and accrued liabilities
comprise about 13%.
Administered activities
Total administered revenues of about $331 billion, composed of $198 billion in revenue administered under tax and
other related federal legislation on behalf of the Government of Canada, $94 billion in revenue administered on behalf of
provincial, territorial, and First Nations governments under various Memoranda of Understanding and similar
arrangements, and $39 billion in revenue administered on behalf of the Canada Pension Plan.
Total payments of about $20.8 billion in benefits and credits administered under benefit programs and services on
behalf of the Government of Canada and provincial and territorial governments.
The CRA’s information technology (IT) capacity is also critical to its ability to deliver services to Canadians. This is a sizeable
task which requires the involvement of two data centres which process up to 4 million transactions per hour, 7 mainframe
computers, about 1,700 servers, and maintaining over 495 applications across a distributed computing environment
covering more than 400 locations. Effective November 15, 2011, IT infrastructures services related to email, data centres and
network services are provided through Shared Services Canada in partnership with the CRA.
The CRA’s Finance and Administration Branch supports the delivery of CRA programs and services by providing sound advice,
products, and services related to a number of key functions including financial administration, resource management,
security, internal affairs, and administration. It also helps ensure compliance and accountability with related legislation,
policies, and directives. Finance and Administration Branch activities are performed by a team of almost 2,500 employees,
about 35% of whom are located in Headquarters and 65% in the regions. This team is integral to the effectiveness of the CRA’s
system of control over financial reporting, which encompasses two sets of financial statements: one for agency activities and
one for administered activities. Also of importance to financial reporting, in particular to administered activities, are many of
the procedures carried out as part of regional or Headquarters operations, such as collection, data entry, and processing of
income tax returns, as well as support and development of a majority of the system applications the CRA uses. This makes the
CRA’s task of scoping, documenting, and assessing the related controls uniquely challenging.
CANADA REVENUE AGENCY
131
ANNUAL REPORT
2011-2012