Taxability of Phoenix damages: Information for retirees and members who received damages in 2022 or later

Important: the following is for members and retirees who received their Phoenix general damages payment in 2022 or following years.

If you received your Phoenix general damages payment in 2021 please return here for detailed instructions on how to proceed in your circumstances.

How to be reimbursed taxes on Phoenix damages 

Residents outside of Quebec 

If you have not filed an objection with CRA regarding the tax treatment of the damages up to $1,500 for stress, aggravation and pain and suffering related to the many failures encountered by Phoenix, you can still do so by filing an objection as set out below. 

Please follow the following steps as soon as possible – and no later than April 30, 2024 – to preserve your rights:  

Should you wish to challenge the taxation of the remaining $1,000 for the late implementation of the 2014 collective agreement, you should seek independent tax advice to move forward.  

Option 1: If you have subscribed to CRA My Account for Individuals, you can choose to file your objection online. To do so, select the “File a Formal Dispute” option on your personal CRA portal, where you can fill the appropriate information relating to your objection.

Option 2: Alternatively, if you have not subscribed to CRA My Account for Individuals, you may choose to submit your objection by mail or fax. 

Step 1: To do so, fill out a notice of objection.

Step 2: Once the forms are printed and filled, you can choose to mail or fax them to the following address or fax numbers. We recommend you send your materials by registered mail to ensure they are received: 

Appeals Intake Centre 
Chief of Appeals 
Appeals Intake Centre 
1050 Notre Dame Avenue 
Sudbury ON, P3A 5C1 

Fax numbers: 
705-670-6649 or 1-866-443-4955 (NL to ON) 
604-587-2672 or 1-866-489-6832 (MB to BC and Territories) 

Quebec residents: How to file a provincial and federal objection 

Members who are Quebec tax residents must, in addition to their federal objection described above, also file a second objection with Revenu Québec – that is, Quebec members must file two separate objections, one with CRA and one with Revenu Québec.  

If you have not filed an objection with Revenu Québec regarding the tax treatment of the damages you received, PSAC urges you to file an individual objection regarding the taxability of the damages up to $1,500 for stress, aggravation and pain and suffering related to the many failures encountered by Phoenix. Please follow the following steps as soon as possible – and no later than April 30, 2024 – to preserve your rights:  

Should you wish to challenge the taxation of the remaining $1,000 for late implementation of the 2014 collective agreement, you should seek independent tax advice to move forward. 

Unlike CRA, Revenu Québec does not accept online objections. You must choose between mailing or faxing your objection. To do so, you must fill out a notice of objection.  

Once the forms are printed and filled, you can choose to mail or fax them to the following address or fax numbers. We recommend you send your materials by registered mail to ensure they are received: 

Revenu Québec 
3800, rue de Marly 
C. P. 25025, succursale Terminus 
Québec QC   
G1A 0B8 

Fax numbers: 
418-577-5254 or 1-866-374-7286 

Please note that Revenu Québec is not a party to the settlement reached with CRA, and did not commit to offer the same treatment to members who file valid notices of objection regarding the taxation of the Phoenix damages. However, Revenu Québec has decided to apply a similar treatment to other individual cases regarding the taxability of the Phoenix damages.