No support from husban

[kelly001]

I have a question, my husband and i separated 2 years ago. He left me with the mortgage to pay, all the property taxes, all the bills as well as being responsible for my daughter who is in college so i had to pay her tuition and books. He hasnt worked for two years and is doing drugs.

In order to survive and be able to pay my bills last year, i had to cash in alot of rrsp money to survive and make ends meet and to pay my property taxes which i got behind in. Now i have to claim all that rrsp money on my taxes.

I guess there is nothing i can do or say to revenue canada that will help my case. My income is going to be up around 65 thousand with the amount of rrsps i cashed, i only make around 35 k per year. I am going to be hit so hard with income tax and i am so worried.

I have sold the house, and i kept the money, it was mortgage very high as we had invested in a restaurant. He is keeping the bar and i am keeping the proceeds from the sale of the house. He got the better end of the deal there.
I am probably grasping at straws.

[ikikass70]

Try Private Messaging Dadtotheend. He's a tax accountant and might be able to provide you with a little guidance.

[dadtotheend]

The amount of tax you will owe when you file will depend on how much tax they withheld from the RRSP withdrawals. For each individual withdrawal up to $5,000 the bank will hold back 10%, for amounts between $5,001 and $15,000 it's 20%, and for amounts greater than $15,000 it's 30%. It will also depend on how much tax was withheld from your income at work. The more tax that was withheld at source, the better. If they withheld 30%, then you will probably get a refund. But if they withheld something less, I'm guessing you will owe.

How did you take the money out? Was it a series of smaller withdrawals where only 10% was withheld? If they only withheld 10% on all the withdrawals, you are going to owe. At the most I would guess around $6,000, but that is pure conjecture without knowing the other significant facts.

Your daughter will be able to transfer up to $5,000 to you in tuition credits from your her schooling which will help.

Whatever you do, don't file it late or you will be charged penalties and interest on any amount owing. Even if you can't pay it, file it by April 30, as that will eliminate the penalty. You will still be charged interest.

The CRA will not be able to offer any relief from this amount. It is what it is unfortunately.

[kelly001]

I took the money in increments, the largest amount being 13000 to pay my property taxes which i had to pay before i could sell my house. My T4RSP says i withdrew 35000(Box 22) and the income tax was 7982.13. (Box 30)

I currently receive no child support or spousal support from my ex husband. I dont care about spousal support, but the fact that he hasnt helped me with my daughter makes me very angry. Especially with her in college, i have had to cash in rrsps to pay her tuition, i pay her car insurance, her phone and pay for her groceries and keep a roof over her head. She works part time while going to school, so she pays her own gas, clothing and she helps me with her books. There is no recourse for me to go after him for child support, as he is not working and when he does, it is for cash and he is in alot of financial trouble anyway.

I will claim my daughters tuition, her books and isnt there an education amount as well? Also, i am enrolled part time in college, i am taking accounting courses to upgrade myself, may i claim that as well, I am only a part time student, but i should be able to claim the tuition fees, books and education credit as well, no?

Again, thank you for your previous response.

[dadtotheend]

With the $5,000 tuition end education transfer from your daughter and your own tuition, you should be fine, as in not owing much, if any. It also depends on how much tax was withheld from your work income.

Use your last pay stub from 2008 to get a feel as to what your T4 is going to look like, if you haven't received it already.

The tuition slips are available on the colleges' websites. See if they posted them yet.

Then you should be in a position to get the tax return roughed up, and you can stop wondering.