Personal Finance

HST & Ontario Trillium Benefit - Am I cheating the system ?

  • Last Updated:
  • Nov 9th, 2017 2:24 pm
[OP]
Banned
Oct 31, 2017
49 posts
12 upvotes

HST & Ontario Trillium Benefit - Am I cheating the system ?

I am currently living abroad. Mostly chilling & sight seeing. I am NOT working abroad or earning ANY income abroad.

I left Canada on Feb 1 , 2017 . So almost 9 months I am out of the country. I am not planning to come back till Januray, 2018. So pretty much the whole 2017, except for Jan 2017 I am out of the country.

So pretty much the whole of 2017, I am out of Canada. I have NO income in Canada either, but I have a house, a bank account, Drivers License, Credit cards and health card in Canada.

So when I file my Canadian taxes for 2017, will I be eligible for the monthly Ontario Trillium Benefit and quarterly HST benefit, since my income in Canada and abroad will be NIL.

Should I claim that and am I still eligible for it ? Even though I was & will be out of the country for 11 months in 2017.

Do you have to be physically present in Canada in 2017 to collect the OTB monthly payments and HST qtryl payments in 2018, which are based on your 2017 income ?

I do have significant ties to Canada like a house, bank account, etc although almost the whole year, I was out.
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25 replies
[OP]
Banned
Oct 31, 2017
49 posts
12 upvotes
Even in Jan 2017, I did not work as I was busy preparing for this trip. Its kind of a Sabbatical and Sight seeing trip. Also I wanted a break from the Winter & Cold & snow in Canada.

So the whole 2017 my income will be NADA ! And 11 months, I will be physically out of Canada, except for Jan 2017, when the whole month I was in Canada.
Down Votes are always welcome. They mean as much to me as FB likes..LOL
[OP]
Banned
Oct 31, 2017
49 posts
12 upvotes
@Momof3cuties what is your opinion on that ?

Am I cheating the system if I claim OTB and quarterly HST credits , when I file my taxes ?
Down Votes are always welcome. They mean as much to me as FB likes..LOL
Deal Addict
User avatar
Dec 13, 2016
1004 posts
768 upvotes
You are still a resident for tax purposes, so you are not cheating anything. You are even confirming you will be back in 2018, so really nothing to worry about.
[OP]
Banned
Oct 31, 2017
49 posts
12 upvotes
BiegeToyota wrote:
Nov 2nd, 2017 7:14 am
You are still a resident for tax purposes, so you are not cheating anything. You are even confirming you will be back in 2018, so really nothing to worry about.
Cool :)
Down Votes are always welcome. They mean as much to me as FB likes..LOL
Member
Mar 14, 2010
233 posts
92 upvotes
Toronto
Warning to the OP: If OHIP discovers you are out of the country for nine months, your coverage will be suspended and you will not be eligible to reapply for two years.
Penalty Box
User avatar
Aug 23, 2006
2943 posts
186 upvotes
amitpandit wrote:
Nov 2nd, 2017 2:51 am
I am currently living abroad. Mostly chilling & sight seeing. I am NOT working abroad or earning ANY income abroad.

I left Canada on Feb 1 , 2017 . So almost 9 months I am out of the country. I am not planning to come back till Januray, 2018. So pretty much the whole 2017, except for Jan 2017 I am out of the country.

So pretty much the whole of 2017, I am out of Canada. I have NO income in Canada either, but I have a house, a bank account, Drivers License, Credit cards and health card in Canada.

So when I file my Canadian taxes for 2017, will I be eligible for the monthly Ontario Trillium Benefit and quarterly HST benefit, since my income in Canada and abroad will be NIL.

Should I claim that and am I still eligible for it ? Even though I was & will be out of the country for 11 months in 2017.

Do you have to be physically present in Canada in 2017 to collect the OTB monthly payments and HST qtryl payments in 2018, which are based on your 2017 income ?

I do have significant ties to Canada like a house, bank account, etc although almost the whole year, I was out.
wow.
“There are some things money can’t buy, and for everything else there’s MasterCard. Well, get out your checkbooks ladies and gentlemen, because it seems like the entire liberal cabinet can be bought. TRUDEAU: I CAN’T BE BOUGHT...LMAO. Because its 2017
Member
Nov 6, 2015
459 posts
144 upvotes
Guelph, ON
I really don't know off hand, but I think as long as you are honest and fill out the forms exactly as they say in the instructions you shouldn't end up claiming for something that is ineligible to you. I know there are certain sections where the instructions will include something about "have you resided in Canada within the last 12 months" etc., so just follow those instructions to the letter and you should be OK.

Also if you use software for doing your taxes I'm pretty sure there are certain sections where you indicate where you live, for how long, etc., and if you fill those in accurately the software should fill in the boxes correctly.
Sr. Member
Mar 1, 2016
713 posts
222 upvotes
pickles02 wrote:
Nov 2nd, 2017 1:10 pm
Warning to the OP: If OHIP discovers you are out of the country for nine months, your coverage will be suspended and you will not be eligible to reapply for two years.
this is incorrect, assuming OP is a resident. First OP should have applied for an exemption and continued coverage while gone (you are allowed to a 2 year lifetime exemption, which can also be split into 2 times one year).


If OP didn't apply, OP lost coverage sometimes around September (hopefully has comprehensive expat coverage). Once returning go to Service Ontario, with proof of return flight and ontario address issued AFTER date of return, coverage will start 90 day following return date. OP should get private insurance during 90 days
Deal Addict
Sep 7, 2004
1217 posts
226 upvotes
Toronto
The trillium benefit and HST rebate is based on your income not on your means or your assets. If you did not make income to the point where you are cut off from these benefits then there is no legal reason why you shouldn't claim these benefits as technically you qualify.

There is a difference between ethics and legalities. You can be unethical but still comply with the laws (like our finance minister) and vice versa you can be ethical and still do something illegal. That is not to say you applying for the benefits is unethical.

In this case you are (in my opinion based on my admittedly very limited knowledge on the matter) operating within the law and policies governing the program. Apply for it and worst case is you get declined.
Jr. Member
User avatar
Sep 3, 2012
184 posts
18 upvotes
Toronto
pickles02 wrote:
Nov 2nd, 2017 1:10 pm
Warning to the OP: If OHIP discovers you are out of the country for nine months, your coverage will be suspended and you will not be eligible to reapply for two years.
I wonder how OHIP can find out.

Are records shared the same way as people collecting employment insurance and leaving the country?
Sr. Member
Mar 1, 2016
713 posts
222 upvotes
ofertasgo wrote:
Nov 7th, 2017 12:14 am
I wonder how OHIP can find out.

Are records shared the same way as people collecting employment insurance and leaving the country?
not that i have experienced. They likely would if you are making a claim for on out-of-country health event as they might ask for proof of departure date . The issue is underwriting after the fact.
Deal Addict
User avatar
Dec 13, 2016
1004 posts
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ofertasgo wrote:
Nov 7th, 2017 12:14 am
I wonder how OHIP can find out.

Are records shared the same way as people collecting employment insurance and leaving the country?
That post was nonsense.
Deal Addict
User avatar
Sep 1, 2013
1396 posts
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New Tecumseth, ON
sandeeS wrote:
Nov 2nd, 2017 2:32 pm
wow.
?
Just because you can doesn't mean you should.

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