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  • CCTB, taxes and CS

    If my wife is primary caregiver of my two children and appplies for the CCTB, what is conisdered "NET INCOME"? She makes about 24000, net currently, will be eligible for about 4000.00 in EI next summer and will be receiving 1100.00/month for CS.

    Does the CS count towards her net income or not? If so, that makes a huge difference in CCTB payments.

  • #2
    First, there are two types of child benefit: UCCB and CCTB. UCCB is not based on income and every parent who has primary care and control of a child under the age of 6 gets it.

    CCTB is based on income, and an individual with primary care and control of a child will not qualify if his/her income is too high. I'm not sure what the threshold is, but she would qualify with an annual income of 28K. It's also important to note that the threshold is not an "all or nothing"; rather, the CCTB amount received is a sliding scale, which decreases as income increases.

    The amount of CS she receives will have no impact on CCTB eligibility. CCTB is based on an individual's income tax return, which doesn't include CS. However, like any Federal government benefit, if she has re-married or is common law (1 year for Federal benefits), then the new spouse or partner's income will be considered when determining CCTB eligibility.
    Last edited by Teenwolf; 10-10-2012, 05:49 PM.

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    • #3
      Thanks.

      I was able to find most of the answers about who wand how a person qualifies but in an attempt to determine CCTB amount, we were not sure about CS and it's affect. The GOV.CA fellow in the CCTB department that I spoke to tonight was not able to answer the question either. He suggested the TAX section but they were closed before I could talk to them.

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      • #4
        Originally posted by dsrtrat View Post
        Thanks.

        I was able to find most of the answers about who wand how a person qualifies but in an attempt to determine CCTB amount, we were not sure about CS and it's affect. The GOV.CA fellow in the CCTB department that I spoke to tonight was not able to answer the question either. He suggested the TAX section but they were closed before I could talk to them.
        The fellow in the CCTB department did not know if CS payments are factored into CCTB eligibility? It's good to see that the subject matter experts are well-trained.

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        • #5
          CS does not affect CCTB as it is not income. All CCTB looks at is line 236 from the Tax return. If your ex is receiving SS then that is income and is included in that amount.

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          • #6
            She will be receiving CS only, no SS.

            I was shocked when the gov.ca fellow informed me that he did not know the answer to my question.

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            • #7
              Originally posted by dsrtrat View Post

              I was shocked when the gov.ca fellow informed me that he did not know the answer to my question.
              Don't be. Call back, you'll get a different person who may be able to answer. Then call back a few more times and speak to a few other people and you may come away with the correct information. Good luck deciphering which answer is the correct one.

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              • #8
                Originally posted by dsrtrat View Post
                If my wife is primary caregiver of my two children and appplies for the CCTB, what is conisdered "NET INCOME"? She makes about 24000, net currently, will be eligible for about 4000.00 in EI next summer and will be receiving 1100.00/month for CS.

                Does the CS count towards her net income or not? If so, that makes a huge difference in CCTB payments.
                If she is the primary caregiver (majority of access time over 60-40 access split) then what she does with her taxes is of no concern to you or any of her taxes and claims. Unless you have 40% access time with the children then you have no ground to do anything with CRA.

                The real question is why are you concerned with HER taxes?

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                • #9
                  Bulls eye.

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                  • #10
                    The other parties income is still crucial in determining the correct ratio for section 7 expenses even if they are the primary parent.

                    Measure of income is usually line 150, no?

                    Ergo, there are definitely valid reasons to be aware of the primary parent's income, especially when considering high expenses such as child care.

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                    • #11
                      Originally posted by Tayken View Post
                      If she is the primary caregiver (majority of access time over 60-40 access split) then what she does with her taxes is of no concern to you or any of her taxes and claims. Unless you have 40% access time with the children then you have no ground to do anything with CRA.

                      The real question is why are you concerned with HER taxes?
                      Calculation of section 7 expenses should include the CCTB. For two chilren on a low income this can easily exceed $1000 per month, tax free. If the section 7 split is done by comparing total after tax income (which it should be) then this can dramatically alter the proportions paid. If there are substantial daycare and summer camp costs, these will also affect after tax income.

                      It is simply perfectly fair to request full disclosure, and also should be simple to provide. A copy of the full Income Tax Return, not just the Assessment, will provide all relevent information including the amount of CCTB received and the amount of daycare and medical expenses.

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                      • #12
                        Agreed with Mess. CCTB, UCB and other benefits all count towards splitting of expenses.

                        CCTB isn't taxable income, where does it appear in income taxes? I never found it and I have my ex's return.

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                        • #13
                          Originally posted by FightingForFamily View Post
                          CCTB isn't taxable income, where does it appear in income taxes? I never found it and I have my ex's return.
                          You won't find CCTB on the tax return. If you're trying to determine the S7 ratio, then the CCTB recepient has to disclose a statement from CCTB showing how much s/he receives.
                          Last edited by Teenwolf; 10-11-2012, 10:04 AM.

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                          • #14
                            Originally posted by Teenwolf View Post
                            You won't find CCTB on the tax return. If you're trying to determine the S7 ratio, then the CCTB recepient has to disclose a statement from CCTB showing how much s/he receives.
                            I thought so. My ex won't disclose it, but I was able estimate it from CRA web sites and my ex accepted my estimate so we based our split on those numbers...

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                            • #15
                              Originally posted by FightingForFamily View Post
                              The other parties income is still crucial in determining the correct ratio for section 7 expenses even if they are the primary parent.

                              Measure of income is usually line 150, no?

                              Ergo, there are definitely valid reasons to be aware of the primary parent's income, especially when considering high expenses such as child care.
                              Net income (line 150) and not their deductions there after.

                              Comment

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