The following post says his application was "returned" for the same reason, and he had to resubmit it in 60 days.
It seems that "returned" is different from "rejected", is that correct?
"Returned" happens before AOR, while "rejected" happens after AOR.
Applications are first screened for completeness. If the application does not meet the criteria for making a complete application, it is "
returned" and the applicant gets an opportunity to resubmit that application (after it is properly completed) or a new application (the latter can be based on a different date, so a different physical presence calculation).
Applications are not "
rejected" by IRCC if insufficient physical presence is the only grounds for denying the application. These applications are referred to a Citizenship Judge. That process tends to take over a year if not two years. As others have noted, IRCC cannot grant citizenship based on an application made when the applicant did not meet the presence requirement. That includes applications just one day short.
There are situations in which it appears on the face of the application that the physical presence requirement is not met, which will be noted during the completeness screening resulting in the application being returned as incomplete because of insufficient physical presence. This most often arises when the applicant is relying on pre-PR credit for a period of time their GCMS records do not verify they had temporary resident status (complicated subject addressed at length elsewhere, but mostly affects some relying on time here as a visitor or relying on implied status). So what IRCC sees on the very face of the application is a period of time that does not get presence credit, and if after subtracting those days from the calculation that leaves the applicant short, IRCC will return the application as incomplete for insufficient presence . . . and in that scenario the applicant can wait until they do meet the presence requirement to submit a new application.
In contrast, if during the completeness screening GCMS verifies the applicant's status, and the information the applicant has entered into the presence calculation shows the presence requirement has been met, that will pass the completeness screening and result in AOR and processing (much as
@forw.jane has described). Then, as others have also described, it will be much later in the process that IRCC assesses physical presence, including verifying travel history, including comparing the applicant's dates of entry and exit with other information, especially the CBSA travel history for the applicant.
If IRCC has some concern about the accuracy of the applicant's travel history, that will typically be addressed in an interview. In particular, the usual procedure is to interview the applicant about physical presence if IRCC discerns there is a discrepancy between the CBSA history of entries and exits (or other information) and what the applicant has reported in the physical presence calculation, and if the processing agent (or sometimes it is the IRCC officer responsible for the application) identifies reason to question whether the applicant actually met the presence requirement they will inform the applicant and give the applicant an opportunity to withdraw (or make the case they did meet the presence requirement). If just one day short, there is no real choice but to withdraw. If, however, the applicant does not withdraw, IRCC does not just "
reject" or
deny the application, but rather it must refer it to a Citizenship Judge . . . and then maybe it takes another year or more to get a decision from the CJ, and if the application was made one day short the CJ must deny the application.
Note: for most reasons that would justify denying the application (such as misrepresentation or a prohibition, or failing the knowledge of Canada test), an IRCC officer can and will make that decision . . . if for example the applicant fails to adequately demonstrate ability in an official language during an interview, the officer can and generally will deny the application. But unless the applicant withdraws, if IRCC does not verify the applicant meets the physical presence requirement the case is to be referred to a CJ for an evidentiary hearing.