Personal Finance

Tax time! I'm a public accountant, so ask me, I'll try to respond frequently

  • Last Updated:
  • Oct 11th, 2019 7:45 pm
Member
Feb 13, 2011
255 posts
28 upvotes
don242 wrote:
Feb 9th, 2019 2:48 pm
You report contributions to a spousal RRSP. It is deducted from your income and uses your contribution space.
Great, thank you very much.
Newbie
Feb 7, 2019
62 posts
19 upvotes
My income level is $40K, but I made $3K from bank interest. I've been told that it's not beneficial for to contribute to RRSP if you are making very less. Is that true? I've been contributing in the last 10 year even though I am earning less than $35K. I don't see my income going up in the near future so am I better off not contributing at all?
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User avatar
Mar 10, 2018
2860 posts
204 upvotes
sushislut604 wrote:
Feb 10th, 2019 8:44 pm
My income level is $40K, but I made $3K from bank interest. I've been told that it's not beneficial for to contribute to RRSP if you are making very less. Is that true? I've been contributing in the last 10 year even though I am earning less than $35K. I don't see my income going up in the near future so am I better off not contributing at all?
man you have some serious dough to have 3K from Interest. Low income always full TFSA first. Then think RRSP.
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Sr. Member
May 28, 2007
797 posts
224 upvotes
callernamet wrote:
Feb 10th, 2019 8:53 pm
man you have some serious dough to have 3K from Interest. Low income always full TFSA first. Then think RRSP.
What about RRSP and then taking the tax refund to go into TFSA.
Deal Addict
User avatar
Feb 1, 2006
2594 posts
655 upvotes
Ontario
Quick question about any taxation implications of converting between different classes of a company's common stock.

For example, Berkshire Hathaway has two classes of common stock: A shares and B shares. A shares can be converted into 1500 B class shares but not vice-versa.

If someone were to convert A shares into B shares would CRA consider this a stock sale and thus a potential capital gain event for income tax purposes?

To be clear, this would be done as a conversion not a stock sale and purchase.

It seems to me that this would not be a taxable event but obviously would require an adjustment to ACB per share to 1/1500 of the previous value.
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Newbie
Aug 9, 2018
2 posts
A bit confused about mileage deduction - I purchased investment property last year, and obviously did not clock my car mileage at the beginning of the last year, nor did I keep track/receipts of oil changes etc.

Can I simply claim my deduction based on CRA rates - eg 100 km@0.50= $50 deduction?
Sr. Member
Nov 12, 2014
769 posts
496 upvotes
Kingston, ON
ohobofo wrote:
Feb 12th, 2019 2:55 pm
A bit confused about mileage deduction - I purchased investment property last year, and obviously did not clock my car mileage at the beginning of the last year, nor did I keep track/receipts of oil changes etc.

Can I simply claim my deduction based on CRA rates - eg 100 km@0.50= $50 deduction?
Nope. Need receipts and a log book.
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User avatar
Mar 10, 2018
2860 posts
204 upvotes
RCML27 wrote:
Feb 12th, 2019 2:13 am
What about RRSP and then taking the tax refund to go into TFSA.
up to you. Normally you will get 25% to 35% as a tax refund. So it wont be large. TFSA you can take out anytime you want without penalty. Thats huge for me.
I dont care about Ethics, morals, rules or laws. I will apologies only when I get caught.
I try not to apologies but sometimes do it. not because its right thing but it benefits me.
Newbie
Jan 28, 2017
53 posts
54 upvotes
Hello,

I own a condo in Toronto, but worked in Northern Ontario on a reserve from September to December 2018, and paid rent on the property I lived in at the time.

1. Can I claim the rent?
2. I was given a relocation allowance, but it was included in my income, so I was taxed on it. Can I claim any moving expenses (flights, etc.)?

I really appreciate the help, as my research hasn't really given me the information on my scenario.
Jr. Member
Jul 26, 2017
198 posts
54 upvotes
Toronto
Hello Question here :

I take care of my grandmother and each month $800 is deposited in my bank account for her groceries , laundry etc.
I don't get any of the money , do i have to report anything?
Member
Nov 9, 2013
468 posts
115 upvotes
Hello,

I am employed earning approx 74k gross per year, taxable income is 64k, family income is another 12k on top of that. I am starting to think about creating a monetized youtube channel, though I know any possible income would be minimal and could take a while to start coming in. If I were to do this, can I immediately begin deducting self-employment expenses like mortgage interest, office space, utilities, (based on % of home size), equipment, software etc. even with little to no income being generated at first? Is there a limit on how long these expenses can be deducted when they are greater than the income being generated?

Also wondering about capital assets. Can they be claimed if purchased in years prior to any income being generated?

Thanks very much!
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User avatar
Dec 14, 2007
3061 posts
1486 upvotes
bestbudz wrote:
Feb 13th, 2019 12:15 pm
Hello Question here :

I take care of my grandmother and each month $800 is deposited in my bank account for her groceries , laundry etc.
I don't get any of the money , do i have to report anything?
I'm no tax expert, but even if she GAVE you the money, gifts are not taxable in Canada. https://www.taxtips.ca/personaltax/gift ... tances.htm
I'd love to write history... in advance.
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Jr. Member
Apr 8, 2010
171 posts
32 upvotes
2017 tax return I had 24k unused federal credits and 15k unused prov credits. I made 40k and got a return of about 4.5k$

This year, I did a mock return and put the same t4 so 40k but I get a return of 300$ and it says I got no fed and prov credits.

Is this normal? How did all my fed and prov credit disappear.
Newbie
Aug 2, 2018
94 posts
71 upvotes
Hi,

Question:

My wife is purchasing a condo for investment with title and mortgage solely under her name only. If I take money from my own line of credit towards downpayment, will the interests be tax deductible from the rent?

Thanks,
Deal Fanatic
User avatar
Nov 19, 2004
8587 posts
1623 upvotes
Cambridge, ON
khalas101 wrote:
Feb 13th, 2019 7:47 pm
2017 tax return I had 24k unused federal credits and 15k unused prov credits. I made 40k and got a return of about 4.5k$

This year, I did a mock return and put the same t4 so 40k but I get a return of 300$ and it says I got no fed and prov credits.

Is this normal? How did all my fed and prov credit disappear.
I am assuming they were tuition credits. Since they were applied last year then they are used and no longer available.

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