Personal Finance

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

  • Last Updated:
  • Dec 13th, 2017 8:37 pm
Member
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Aug 13, 2004
352 posts
19 upvotes
Toronto
Thanks everyone - with your comments I looked into it more and it doesn't really make sense to do what I said -

Contributing to the room leftover in the RRSP appears to only have a tax benefit if there is additional "earned" income (RRIF income is not considered earned)... so only the stuff below would allow the person to use the room and get a tax benefit (....I think at least!)

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Deal Addict
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Apr 20, 2012
1137 posts
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Waterloo, ON
My wife and I filed our returns and I got money put into my account, and she paid what she owed at the bank, but we haven't gotten anything at all in the mail. Shouldn't we be getting something by now?
Member
Jan 19, 2017
484 posts
128 upvotes
Blanche123 wrote:
May 8th, 2017 9:58 am
Do you mean OAS rather than GIS?
OAS is not income tested. Only claw back if your income is too high. GIS is income tested,
Member
User avatar
Aug 13, 2004
352 posts
19 upvotes
Toronto
brobinsoncc wrote:
May 8th, 2017 4:14 pm
My wife and I filed our returns and I got money put into my account, and she paid what she owed at the bank, but we haven't gotten anything at all in the mail. Shouldn't we be getting something by now?
Did you check CRA my account? http://www.cra-arc.gc.ca/myaccount/
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Nov 19, 2004
7220 posts
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Cambridge, ON
rb wrote:
May 8th, 2017 8:36 pm
I have the option to work from home ( salaried employee) what are the tax benefits I can claim ? Thanks OP
Assuming you meet the criteria, you can deduct the part of your costs that relates to your work space, such as the cost of electricity, heating, and maintenance. However, you cannot deduct mortgage interest, property taxes, home insurance, or capital cost allowance.

http://www.cra-arc.gc.ca/tx/ndvdls/tpcs ... c-eng.html
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Jan 28, 2014
2952 posts
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ml88888888 wrote:
May 8th, 2017 5:30 pm
OAS is not income tested. Only claw back if your income is too high. GIS is income tested,
I understand the difference between the OAS and GIS. I just didn't see anything in the OP's post suggesting that he/she was collecting GIS.
Newbie
May 8, 2017
1 posts
Hello. Looking for advice. I got married last July 2016, we both have a home and are being told we both can't have a principal residence. If we were to sell one of the properties, any idea how long we have to sell one of the properties to avoid paying capital gains? If we have already passed the deadline and will have to pay capital gains, what would be your best advice moving forward?
Thanks in advance
Member
Jan 19, 2017
484 posts
128 upvotes
Blanche123 wrote:
May 9th, 2017 10:14 am
I understand the difference between the OAS and GIS. I just didn't see anything in the OP's post suggesting that he/she was collecting GIS.
I was not saying he/she was getting GIS. I should have added the condition so that the whole statement would be 'Your OAS might be reduced if you are getting OAS'. Is the new statement clear enough?
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Nov 19, 2004
7220 posts
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Cambridge, ON
justcause99 wrote:
May 9th, 2017 12:56 pm
Hello. Looking for advice. I got married last July 2016, we both have a home and are being told we both can't have a principal residence. If we were to sell one of the properties, any idea how long we have to sell one of the properties to avoid paying capital gains? If we have already passed the deadline and will have to pay capital gains, what would be your best advice moving forward?
Thanks in advance
Basically have a year. You both cannot have a principal residence so one will be subject to capital gains. If you aren't selling in the next month, I'd get an appraisal done so you have the FMV established and make your life easier down the road when you do sell.
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Aug 5, 2006
2197 posts
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Global Village
Here's a question. Brother and sister scenario where sister has a savings account in her name, qualifies for a rate promo, adds brother to the account so that he can add funds that also qualify for the same savings rate promo. At the end of the year the total T5 slip gets sent to the sister, can she only declare her portion of the interest and her brother his or does she have to declare the total T5 amount because she is the primary account holder?
Sr. Member
Dec 4, 2011
652 posts
98 upvotes
Montreal
I have a feeling the answer is in the thread but can't find it. I am a full time PhD student and I get a bursary (20k) for which I got a T4A slip (line 130). I get all the full time tuition deductions via T2202A, etc.

I have been using ufile for the last several years and am happy with it. When I did it this year I entered the T4A info and the taxes I owed seemed reasonable at the federal level (about $100, I had some consulting income in 2016, less than 10k). I was bothered that my taxable income for the federal side was 20k higher than the Quebec side but since the amount owing was low I figured it would be ok.

I got my notice of assessment and I owe more than 1k in taxes to federal so they obviously considered my bursary as taxable. After reading their highly confusing entry (http://www.cra-arc.gc.ca/tx/ndvdls/tpcs ... p-eng.html) for students and line 130 (spend all their time talking about part time case with no examples for full time case), I am still unsure. They never explicitly say if you are full time enter 0.

I have come to the conclusion that, since I am full time, I should not put anything on that line even though I got a T4A slip. Not entering an amount from a slip I received goes against everything I have learnt about doing taxes. Revenue Quebec seems to have handled it properly eg. There is a 20k deduction from my income when they calculate taxable​ income.

So would I be correct in amending my 2016 report and putting 0 instead of 20k for line 130?
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Aug 30, 2011
2659 posts
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Ottawa
scoper wrote:
May 9th, 2017 5:48 pm
Here's a question. Brother and sister scenario where sister has a savings account in her name, qualifies for a rate promo, adds brother to the account so that he can add funds that also qualify for the same savings rate promo. At the end of the year the total T5 slip gets sent to the sister, can she only declare her portion of the interest and her brother his or does she have to declare the total T5 amount because she is the primary account holder?
She has to report the income. She should have advised the bank that the income contributed to the investment was split between two people, so that the T5 showed both names. If she only reports half, the CRA will automatically add the rest to her income when they do their T5 matching process. Is it a large amount? Maybe just take it as a learning experience and do it correctly next time.

I realize that there are attribution rules, but can't see a way out of this one for the brother/sister.
Member
Aug 17, 2008
447 posts
171 upvotes
Quebec
jfprieur wrote:
May 9th, 2017 6:07 pm
I have a feeling the answer is in the thread but can't find it. I am a full time PhD student and I get a bursary (20k) for which I got a T4A slip (line 130). I get all the full time tuition deductions via T2202A, etc.

I have been using ufile for the last several years and am happy with it. When I did it this year I entered the T4A info and the taxes I owed seemed reasonable at the federal level (about $100, I had some consulting income in 2016, less than 10k). I was bothered that my taxable income for the federal side was 20k higher than the Quebec side but since the amount owing was low I figured it would be ok.

I got my notice of assessment and I owe more than 1k in taxes to federal so they obviously considered my bursary as taxable. After reading their highly confusing entry (http://www.cra-arc.gc.ca/tx/ndvdls/tpcs ... p-eng.html) for students and line 130 (spend all their time talking about part time case with no examples for full time case), I am still unsure. They never explicitly say if you are full time enter 0.

I have come to the conclusion that, since I am full time, I should not put anything on that line even though I got a T4A slip. Not entering an amount from a slip I received goes against everything I have learnt about doing taxes. Revenue Quebec seems to have handled it properly eg. There is a 20k deduction from my income when they calculate taxable​ income.

So would I be correct in amending my 2016 report and putting 0 instead of 20k for line 130?
yes you should amend. On federal you should have 0 on line 130. On Quebec you will have 20 000 on line 154 and equivalent deduction on line 295.
Sr. Member
Dec 4, 2011
652 posts
98 upvotes
Montreal
Thanks for your quick reply, at least it is easy to do on CRA website!

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