I just ran into some problems with CRA regarding the CCB payment. Here are some timeline facts:
1. After a court battle, the Mother was granted sole custody of the child, with a two-year transition period to 50-50 shared custody, which started Jan-2016
2. The mother had been receiving the Canada Child Benefit (CCB), and I assume that she didn’t notify the CRA about the custody change and continued to receive CCB until this day.
3. I sent the CCB application in early 2022, because I realized that I was also entitled to half of CCB payment based on my Tax returns starting Jan 2016 when the child started living with my 50% of time (I admit that I was late in doing this)
4. CRA asked for all the support documents (Court Judgment, School Letter / Report Card, Letters from Family Doctor / Dentist, showing two home addresses etc.)
5. After I sent in all these papers, establishing that the Child indeed started to live with us 50-50, they just sent me a letter, stating that Retroactive payment is only for 3 years.
6. I think I read on this Forum quite a while ago on a similar case where one parent was late in applying for CCB while the other parent was not being truthful with CRA, and in that case the retroactive period is 10 years.
7. So I did some www search, and found this 2016 government Budget, which clearly indicates that the Retroactive is 10 years. (link below)
8. I called CRA, they told me that they are aware of this 10 year rule. But there is another rule (I asked them to send me the link, but they say that they use it internally and can’t send me), which says if Retroactive payment on my side impacts another person for more than 3 years, it seemed that they can only go back 3 years.
9. So this basically confirmed that the Mother failed to notify CRA of the custody change, and she received double CCB payment for which she was not entitled to, for more than six years.
10. To me, this is not fair to me, is not fair to the Child, even is not fair to the government (since my CCB amount would be a lot less than the Mother over-received based on our incomes).
I wonder if any other member on this Forum has faced similar situations with CRA on this CCB Retroactive payment? And how the settlements ended up?
Thank you very much
https://www.budget.gc.ca/2016/docs/tm-mf/si-rs-en.html
Retroactive Payments
Currently, an individual can apply to receive retroactive payments of the CCTB and UCCB as far back as when the programs were introduced, provided they would have been eligible to receive the benefits at the time.
In contrast, a taxpayer who has not claimed, on a previous tax return, tax credits or benefits to which they would otherwise have been entitled (such as the goods and services tax credit, working income tax benefit or disability tax credit) may request a tax reassessment in respect of a taxation year up to 10 calendar years after the end of that taxation year, in order to receive retroactive payment of these amounts.
To be consistent with the time limit on retroactive claims of other tax amounts, Budget 2016 proposes to allow a taxpayer to request a retroactive payment of the Canada Child Benefit, CCTB or UCCB in respect of a month on or before the day that is 10 years after the beginning of that month, effective for requests made after June 2016.
1. After a court battle, the Mother was granted sole custody of the child, with a two-year transition period to 50-50 shared custody, which started Jan-2016
2. The mother had been receiving the Canada Child Benefit (CCB), and I assume that she didn’t notify the CRA about the custody change and continued to receive CCB until this day.
3. I sent the CCB application in early 2022, because I realized that I was also entitled to half of CCB payment based on my Tax returns starting Jan 2016 when the child started living with my 50% of time (I admit that I was late in doing this)
4. CRA asked for all the support documents (Court Judgment, School Letter / Report Card, Letters from Family Doctor / Dentist, showing two home addresses etc.)
5. After I sent in all these papers, establishing that the Child indeed started to live with us 50-50, they just sent me a letter, stating that Retroactive payment is only for 3 years.
6. I think I read on this Forum quite a while ago on a similar case where one parent was late in applying for CCB while the other parent was not being truthful with CRA, and in that case the retroactive period is 10 years.
7. So I did some www search, and found this 2016 government Budget, which clearly indicates that the Retroactive is 10 years. (link below)
8. I called CRA, they told me that they are aware of this 10 year rule. But there is another rule (I asked them to send me the link, but they say that they use it internally and can’t send me), which says if Retroactive payment on my side impacts another person for more than 3 years, it seemed that they can only go back 3 years.
9. So this basically confirmed that the Mother failed to notify CRA of the custody change, and she received double CCB payment for which she was not entitled to, for more than six years.
10. To me, this is not fair to me, is not fair to the Child, even is not fair to the government (since my CCB amount would be a lot less than the Mother over-received based on our incomes).
I wonder if any other member on this Forum has faced similar situations with CRA on this CCB Retroactive payment? And how the settlements ended up?
Thank you very much
https://www.budget.gc.ca/2016/docs/tm-mf/si-rs-en.html
Retroactive Payments
Currently, an individual can apply to receive retroactive payments of the CCTB and UCCB as far back as when the programs were introduced, provided they would have been eligible to receive the benefits at the time.
In contrast, a taxpayer who has not claimed, on a previous tax return, tax credits or benefits to which they would otherwise have been entitled (such as the goods and services tax credit, working income tax benefit or disability tax credit) may request a tax reassessment in respect of a taxation year up to 10 calendar years after the end of that taxation year, in order to receive retroactive payment of these amounts.
To be consistent with the time limit on retroactive claims of other tax amounts, Budget 2016 proposes to allow a taxpayer to request a retroactive payment of the Canada Child Benefit, CCTB or UCCB in respect of a month on or before the day that is 10 years after the beginning of that month, effective for requests made after June 2016.
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