QuickTax was widely criticized last year for limiting customers to filing only two tax returns per copy. They have fixed this problem for the 2008 tax year by now allowing eight returns per copy. However, the most interesting new QuickTax feature this year is Audit Defence.
If you’re worried about being audited by the Canada Revenue Agency, for an extra $40 you can get “full-service representation by a tax specialist – not just support or tips.” Of course, you pay this up front before you know whether you’ll be audited or not. This is essentially a form of insurance.
This new service has some restrictions. It’s not available to Quebec residents or users of QuickTax Business Incorporated, and it doesn’t cover GST/HST reviews or “detailed financial audits,” whatever that means.
The biggest question mark is whether the service will actually be helpful to taxpayers who get audited. Many of us know at least one person who found out the hard way that extended warranties on consumer electronics are a waste of money because it is so hard to collect on the warranty. It will be interesting to see what customer experience will be like with Audit Defence.