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  • Tax credit amounts

    Anybody know of a site or calculation to determine amounts of tax credit for activities? It says the amount is calculated based on amounts after bursaries, scholarships etc AND tax benefits. But I can only find the Ontario page that shows the calculation (i.e. max $535 = $53.50) but I think there might be one for federal. You can claim it for both. Please and thanks!!!


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  • #2
    Originally posted by rockscan View Post
    Anybody know of a site or calculation to determine amounts of tax credit for activities? It says the amount is calculated based on amounts after bursaries, scholarships etc AND tax benefits. But I can only find the Ontario page that shows the calculation (i.e. max $535 = $53.50) but I think there might be one for federal. You can claim it for both. Please and thanks!!!


    Sent from my iPhone using Tapatalk
    You'll have to clarify what credits you are talking about. There are many.

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    • #3
      For arts programs. In order to calculate the amount to split, what would be the tax credit she would get for using it on her taxes. Is it 15% or is it like ontario where they calculate 10% as the tax benefit?


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      • #4
        Originally posted by rockscan View Post
        For arts programs. In order to calculate the amount to split, what would be the tax credit she would get for using it on her taxes. Is it 15% or is it like ontario where they calculate 10% as the tax benefit?


        Sent from my iPhone using Tapatalk
        Many credits are associated with income, so the amount of credit fluctuates from person to person.

        Non refundable tax credits are direct deductions from income. So, if someone is claiming the $535, and their income is $10000 = they now pay tax on 9465. Obviously this has minimal effect on high incomes.

        Some credits (ie CTC, GST, Trillium) are based on household income. So if the ex is remarried, there may be no credit available.

        My ex's lawyer insisted on going through my entire tax return to recoup "all that government money" that I've received for S7 expenses. The total was $9. Hardly worth the $300 an hour that the lawyer charged him to find this information.

        If you're dealing with someone who has a good income or partner with a good income, I'd just forget about it. Cost/benefit tells me that it's just not worth the aggravation in trying to figure all that out.

        If the income is low, and they aren't married, it may be worth your effort. If there are other children, besides your own, the entire credit will be lumped together on the return.

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        • #5
          Originally posted by rockscan View Post
          For arts programs. In order to calculate the amount to split, what would be the tax credit she would get for using it on her taxes. Is it 15% or is it like ontario where they calculate 10% as the tax benefit?


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          Line 370 - Children's arts amount

          http://www.fin.gov.on.ca/en/Credit/catc/index.html

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          • #6
            He has to go back and recalculate based on income. They went by line 150 and he made more money and is paying back support based on actual income. Hes expecting she'll come back and say she wants the extra $ for s7 (which will probably only be like $100-$150) but the fact is, he overpaid for things that are covered in cs (grad dress, dance tickets, contact lens solution and he let her take a bursary off her portion of s7 expense) so if its a case of "sticking to the rules" hes going to do just that.

            It sounds petty and ridiculous but when it comes to money, its out of control. She makes significantly more and makes comments about all "her" money awarded to him in the equalization settlement.

            I want to help him figure out the actual calculation amount. I have tax software and can do a little calculation that way to see the difference in submitting and not submitting.

            I honestly dont know how you guys do this. I give you kudos for keeping your heads in all this and dealing with the emotional aspect of it all.

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            • #7
              Originally posted by rockscan View Post
              He has to go back and recalculate based on income. They went by line 150 and he made more money and is paying back support based on actual income. Hes expecting she'll come back and say she wants the extra $ for s7 (which will probably only be like $100-$150) but the fact is, he overpaid for things that are covered in cs (grad dress, dance tickets, contact lens solution and he let her take a bursary off her portion of s7 expense) so if its a case of "sticking to the rules" hes going to do just that.

              It sounds petty and ridiculous but when it comes to money, its out of control. She makes significantly more and makes comments about all "her" money awarded to him in the equalization settlement.

              I want to help him figure out the actual calculation amount. I have tax software and can do a little calculation that way to see the difference in submitting and not submitting.

              I honestly dont know how you guys do this. I give you kudos for keeping your heads in all this and dealing with the emotional aspect of it all.
              If you are not in a SHARED 50/50 agreement then I don't believe you can even claims this. Others might have a better answer.

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              • #8
                Its not 50-50. She can claim the tax benefits on her return because the child is a dependent on it. At least thats what ive read online. Am i wrong?

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                • #9
                  I found this online:

                  The credit can be split between both parents if the eligible fee is claimed only once...If parents cannot agree cra will arbitrarily decide.

                  Because her income is higher and her portion of the expense greater, its in her best interest to use the whole credit and not split.

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                  • #10
                    Originally posted by rockscan View Post
                    Its not 50-50. She can claim the tax benefits on her return because the child is a dependent on it. At least thats what ive read online. Am i wrong?
                    She's custodial parent - she claims the dependent credit.

                    In order to calculate what you're trying to do, my ex's lawyer requested my entire tax return - not just the NOA. It's then clear as day how much benefit was received for each item.

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                    • #11
                      Ya she can barely scan and email her four pages. He'll request it to catch up.

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                      • #12
                        The judge ordered that I provide it. It "appeared" to be a pretty common request from the reactions involved. I think my ex's lawyer used it as a stall tactic - because after going through the return to find the credits, they refused to pay any of the expenses that the credits were for.
                        My concern would be that you're going to go through all of this and then you'll get a "I don't believe you" from her, making the whole thing a circular battle of wills.

                        Adjust the CS, wait for her to bring up the S7, and then politely reply that "her entire tax return would be needed to correctly adjust S7 expenses) and wait for her to give it to you. Just a suggestion.

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                        • #13
                          Thats a good suggestion. I'll have him do that. Thanks!

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                          • #14
                            I feel like an idiot for even bringing this up, but ...

                            Last year and the year before, my ex and I *both* claimed the children's arts amount and the children's fitness amount for D8 on our returns (i.e. he claimed $500 for arts and so did I; he claimed $500 for fitness and so did I). We both have receipts to support the claims.

                            CRA didn't question it (or didn't question me, at least - don't know if they questioned him).

                            I thought the credits were claimed per tax-paying parent, not per child. Did we screw up? Should only one of us have claimed those credits?

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                            • #15
                              Originally posted by stripes View Post
                              I feel like an idiot for even bringing this up, but ...

                              Last year and the year before, my ex and I *both* claimed the children's arts amount and the children's fitness amount for D8 on our returns (i.e. he claimed $500 for arts and so did I; he claimed $500 for fitness and so did I). We both have receipts to support the claims.

                              CRA didn't question it (or didn't question me, at least - don't know if they questioned him).

                              I thought the credits were claimed per tax-paying parent, not per child. Did we screw up? Should only one of us have claimed those credits?
                              The credits can be claimed by the paying parent, up to a max of $500 and $535 (arts) per child. So, yes, you both screwed up. LOL.

                              So, you spend $500 on skating lessons, you're ex pays $300 and you pay $200. You can both claim the amounts you paid, but even though neither claim reach $500 on your individual returns, you have both claimed the maximum amount available to you.

                              All tax credits associated with children are per child, doesn't matter the number of households involved.

                              Federal tax credits (GST, CTC) are calculated per household - not the combined income of the parents - but per household. The provincial supplement to the CTC and the other provincial credits (like Trillium) are also calculated per household.
                              Last edited by MS Mom; 03-19-2014, 07:02 PM.

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