Information & Ethics Committee on Dec. 12th, 2024

[Peter Davis]

We will keep their information as per statutory requirements, which I believe is the tax year and six years in addition to that, so seven years. I'm not aware of any other retention that we do beyond that, but I will confirm that and follow up with the committee in writing.

[René Villemure, Bloc, Trois-Rivières, QC]

At the end of the retention period, how do you keep data on tax returns?

[Peter Davis]

We undergo a very comprehensive process to ensure that all personal information, once it's no longer required to be retained, is completely destroyed. It's very comprehensive.

[René Villemure, Bloc, Trois-Rivières, QC]

Can you tell us in concrete terms how you do that?

[Peter Davis]

I probably cannot provide much more information on that, given our data security and privacy policy, I'm afraid. I will check with our office to see if there are any more details that we may be able to provide, and I will follow up in writing on that.

[René Villemure, Bloc, Trois-Rivières, QC]

Okay.

Thank you very much.

[The Chair, Conservative, John Brassard]

Thank you, Mr. Villemure.

Just to be clear, Mr. Davis, the clerk has been noting the answers where you will be following up in writing. She's going to follow up with you to ensure that the information does come to the committee. That is a reasonable compromise that the committee can deal with when it comes to providing sensitive information in confidence to the committee, as well.

Next, we have Mr. Green, for six minutes.

[Matthew Green, NDP, Hamilton Centre, ON]

Thank you, Mr. Chair.

Mr. Davis, you referenced in your opening remarks that H&R Block has never sent any client's personal data, including pixels, to companies such as Google and Meta. You referenced, of course, that this is H&R Block Canada.

Can you describe, for the purpose of this committee, who actually owns the proprietary data H&R Block has—the Canadian subsidiary or the American parent company?

[Peter Davis]

When you say “proprietary data”, what do you mean, exactly?

[Matthew Green, NDP, Hamilton Centre, ON]

That's the personal information of your clients, sir. You mentioned that some of it goes down to the States. Could we not venture, as it is a subsidiary of H&R Block Incorporated, in Missouri, that all of the information would be owned by the parent company as well?

[Peter Davis]

We don't own the information Canadians provide us. That is between H&R Block Canada and our clients.

I want to be careful how I answer your question, though, because I don't know all the ins and outs regarding the legalities of who would ultimately be the holder of that information. If you don't—

[Matthew Green, NDP, Hamilton Centre, ON]

Mr. Davis, I have limited time. I'll take my time back.

You specifically referenced that H&R Block Canada has never sent clients' personal data, including pixels, to companies such as Google and Meta. Yet, in July 2023, a United States Senate investigation determined that H&R Block most likely disclosed consumers' return information to Meta in violation of sections 6713 and 7216 by embedding Meta's pixel within the H&R Block mobile and website tools that consumers can use to prepare their personal tax returns.

Sir, are you familiar with the current class action lawsuit being filed against H&R Block in the United States?

[Peter Davis]

We take the security of our clients' personal information—

[Matthew Green, NDP, Hamilton Centre, ON]

I just asked whether you're aware of it.

[Peter Davis]

I am aware of it, yes.

[Matthew Green, NDP, Hamilton Centre, ON]

Okay.

You're aware that the lawsuit comes under their RICO laws, or the Racketeer Influenced and Corrupt Organizations Act, against the tax preparation company—your parent company—and Meta. This is a practice that was established by your parent corporation. Yet, it's your testimony here, with assurance, that H&R Block Canada has never sent them any client's personal information.

Can you make that assurance on the record here today, in this committee, that the same can be said for your parent company in the States?

[Peter Davis]

I'm here in my capacity as a representative of H&R Block Canada to talk about our Canadian clients and taxpayers. I can say with certainty that their data is not shared with companies like Google and Meta.

[Matthew Green, NDP, Hamilton Centre, ON]

You mean, by H&R Block Canada.

[Peter Davis]

That's correct.

[Matthew Green, NDP, Hamilton Centre, ON]

That wasn't my question.

My question is, can you make that same assurance to us on behalf of your parent company, which is currently under investigation for the very same practices you're being accused of here in Canada?

[Peter Davis]

When it comes to the data of our Canadian clients, neither H&R Block Canada nor H&R Block is disclosing that data to companies like Google and Meta.

[Matthew Green, NDP, Hamilton Centre, ON]

That only happened in the United States of America.

[Peter Davis]

I can't speak to where it may have happened. I'm here in my capacity as a representative of H&R Block Canada.

What I can say with certainty is that our Canadian clients' data was not involved in any sharing whatsoever with companies like Google and Meta, whether through H&R Block Canada or H&R Block.

[Matthew Green, NDP, Hamilton Centre, ON]

However, you are familiar with a Senate hearing determining this in the United States.

[Peter Davis]

Yes.