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If You Use TurboTax and Are Eligible for the CWB (Canada Workers Benefit) Double Check This...

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If You Use TurboTax and Are Eligible for the CWB (Canada Workers Benefit) Double Check This...

I'm not sure if this is the right place to post this, but here goes. If you're eligible for the CWB, file jointly or with a dependant and use TurboTax, maybe it's worth it to double-check this on TurboTax for yourself:

I do a joint return for hubby and I. We're eligible for what was the Working Income Tax Benefit (WITB), now revamped as the Canada Workers Benefit (CWB).

I admit I rely on TurboTax perhaps too much to correctly fill in fields based on prior years. But my gut feeling was that there was something wrong with the balances I was seeing for each of us as I've been doing the 2019 return. They just seemed way, way different than in prior years without much explanation. I went over to Schedule 6, which is the CWB now. And I saw that there was some information stating that only one of us was eligible for the CWB. I knew the benefit was revamped, but this made no sense to me and to change it was a major override where I couldn't Netfile. Long story short, TurboTax didn't "X" a few questions on the 2019 Personal Information - Worksheet for each of us. Leaving those particular questions blank influenced the eligibility of both of us for the CWB. Once I put in the "X"s correctly on those Worksheet, the balances changed dramatically, as both of us were eligible again.
If I had more time, I would have written a shorter post
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And I saw that there was some information stating that only one of us was eligible for the CWB.
That is correct.
Step 2 – Calculating your basic CWB
If you had an eligible spouse, only one of you can claim the basic CWB.
Quoted from Schedule 6. PDF link: https://www.canada.ca/content/dam/cra-a ... s6-19e.pdf
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Yes, I know that about the claiming. What I was talking about was the eligibility. Prior to fixing it on the specific Worksheet as noted on my post, it only had one of us as being eligible when we both were in fact eligible. Only one of us claimed it once I fixed that eligibility thing and it completely changed the balance figures.
If I had more time, I would have written a shorter post
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TheHans wrote: Yes, I know that about the claiming. What I was talking about was the eligibility. Prior to fixing it on the specific Worksheet as noted on my post, it only had one of us as being eligible when we both were in fact eligible. Only one of us claimed it once I fixed that eligibility thing and it completely changed the balance figures.
Maybe It is just the incorrect description. it should have said only one person in the family can receive it, but the calculation is based on the whole family(i.e. based on the # of eligible persons and total income).
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ml88888888 wrote: Maybe It is just the incorrect description. it should have said only one person in the family can receive it, but the calculation is based on the whole family(i.e. based on the # of eligible persons and total income).
It wasn't that as it's clear that only one person can receive it. But it didn't recognize both hubby and I as being eligible to receive it. Only one of us.

Do you use TurboTax yourself? When you come across fields that needs an "X" for either a "Yes" or a "No," sometimes if the field has neither and stays unticked, it can prevent something else from generating altogether. A question isn't answered, so something else stays in limbo until that question's answered. That's what happened here. There were a couple of questions on the "2019 Personal Information - Worksheet" that related in some ways to this Schedule 6. One asked about dependents another couple of questions asked about married status. One of the married status questions in particular had "Yes" and "No" boxes that were unticked. As soon as I ticked "Yes," it properly generated the benefit just like that. It was simply ticking one box on a different form that gave both of us the eligibility.

I think this happened because the benefit itself changed somewhat between prior tax years and 2019. It always generated correctly in prior years. I'm guessing (possibly) this particular question on the "Worksheet" might've been a new one. That's why I mentioned it in the first place, because the information isn't transferring properly the way it did in the past.
If I had more time, I would have written a shorter post
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TheHans wrote: It wasn't that as it's clear that only one person can receive it. But it didn't recognize both hubby and I as being eligible to receive it. Only one of us.

Do you use TurboTax yourself? When you come across fields that needs an "X" for either a "Yes" or a "No," sometimes if the field has neither and stays unticked, it can prevent something else from generating altogether. A question isn't answered, so something else stays in limbo until that question's answered. That's what happened here. There were a couple of questions on the "2019 Personal Information - Worksheet" that related in some ways to this Schedule 6. One asked about dependents another couple of questions asked about married status. One of the married status questions in particular had "Yes" and "No" boxes that were unticked. As soon as I ticked "Yes," it properly generated the benefit just like that. It was simply ticking one box on a different form that gave both of us the eligibility.

I think this happened because the benefit itself changed somewhat between prior tax years and 2019. It always generated correctly in prior years. I'm guessing (possibly) this particular question on the "Worksheet" might've been a new one. That's why I mentioned it in the first place, because the information isn't transferring properly the way it did in the past.
I use studiotax. You have to tick the questions about eligible spouse and dependents.
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ml88888888 wrote: I use studiotax. You have to tick the questions about eligible spouse and dependents.
Yes, same here. But I did it years and years ago and it just rolls over and autocompletes year after year. But this year, it didn't. And that caused the issue of the credit not generating properly.
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I have a similar problem with the CWB incorrectly calculating in turbotax.

In this case, it is giving our family the CWB but I don't think we qualify. One spouse earns around 10k and the other a high income but turbotax is saying the lower income person qualifies. Reading over the CRA qualification, our family appears to have too high an income and I don't want to be reassessed by the CRA and pay penalties afterward.

Anyone else having this problem with Turbotax?
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starbuckscoffee wrote: I have a similar problem with the CWB incorrectly calculating in turbotax.

In this case, it is giving our family the CWB but I don't think we qualify. One spouse earns around 10k and the other a high income but turbotax is saying the lower income person qualifies. Reading over the CRA qualification, our family appears to have too high an income and I don't want to be reassessed by the CRA and pay penalties afterward.

Anyone else having this problem with Turbotax?
what is the income for the other spouse? any kids? disability?
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ml88888888 wrote: what is the income for the other spouse? any kids? disability?
income is much more than the max income at which the benefit is clawed back, 1 kid, no disability.

Anyways, I've found my workaround. I checked the box to apply the CWB to the higher income spouse and now I get what I want which is no payment. If I checked the box to apply to the low income spouse, I would get the CWB. Looking at the schedule 6 calculation sheet, there is a checkbox called "Do you have an eligible spouse " and it is unchecked which I believe is causing the problem by not including the entire family income in the calculation. This is a glitchy piece of software. I've found other items that did not seem correct and had to override things to make it work.
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starbuckscoffee wrote: income is much more than the max income at which the benefit is clawed back, 1 kid, no disability.

Anyways, I've found my workaround. I checked the box to apply the CWB to the higher income spouse and now I get what I want which is no payment. If I checked the box to apply to the low income spouse, I would get the CWB. Looking at the schedule 6 calculation sheet, there is a checkbox called "Do you have an eligible spouse " and it is unchecked which I believe is causing the problem by not including the entire family income in the calculation. This is a glitchy piece of software. I've found other items that did not seem correct and had to override things to make it work.
I wouldn't call it a glitch because the software doesn't know if the spouse is qualified spouse or not. So you have to select the option. Just because you & spouse file as married couple, may be your spouse is not considered qualified spouse.

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