Line 150 on Tax Assessments...

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DadinLaw

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I'm looking at my ex's tax assessment for past years, and I don't understand why disclosed commision from real estate earnings are not included?
 
Real estate commssion (minus expenses) is taxable income, so it should be included. Are you sure that you're reading it correctly? Notices of assessment don't reveal a lot of detail; might be best to ask her for a copy of her tax returns for the years in question.
 
That's great, my ex writes off all her earnings with expenses. So there is no earnings to add to her other income. This is yet another loop hole in the system!
 
Basically self employed. The thing with this is that she may be able to make use of TAX loopholes to reduce her income, however in family court this may not fly.

I vaguely recall "billm" having some posts on this topic (from the opposite end of the spectrum).

You'll need her full tax return so you can see the income and claimed expenses. There may be some things she is writing off that she shouldn't be, which would cause her income to be "grossed up" accordingly. You are the only one who knows whether this is worthwhile in pursuing or not.
 
Thanks for the reply, I know this is how my ex has always filed her taxes to avoid taxes. She does not disclose any income on her 13.1 and I just want a fair true portrait of her income to work out my share of section 7 expenses. I will try this at our next meeting at the court.


NBDad said:
Basically self employed. The thing with this is that she may be able to make use of TAX loopholes to reduce her income, however in family court this may not fly.

I vaguely recall "billm" having some posts on this topic (from the opposite end of the spectrum).

You'll need her full tax return so you can see the income and claimed expenses. There may be some things she is writing off that she shouldn't be, which would cause her income to be "grossed up" accordingly. You are the only one who knows whether this is worthwhile in pursuing or not.
Click to expand...
 
I am self employed and for CS income I only have about 8% of my gross receipts deducted for expenses.

Basically I use my gross receipts (which is 100% of my income), subtract my expenses (which are all 100% pure business), and then add back 75% (with gross up!!) of any business expense that has a personal benefit such as cell phone or home office.

My ex doesn't know how good she has it.

The idea is that the CS tables were created with a T4 income in mind so when you are self employed you have to calculate an income that is equivalent to a T4 income.

In short, what may work for CRA, is not necessarily good for CS calculation.
 
This makes sense, but full disclosure is required even to move forward. So that's going to be the goal, to get full disclosre and argue these points. Thanks for the insight, hope it works this way with calculating proportion of section s.7 expenses.

billm said:
I am self employed and for CS income I only have about 8% of my gross receipts deducted for expenses.

Basically I use my gross receipts (which is 100% of my income), subtract my expenses (which are all 100% pure business), and then add back 75% (with gross up!!) of any business expense that has a personal benefit such as cell phone or home office.

My ex doesn't know how good she has it.

The idea is that the CS tables were created with a T4 income in mind so when you are self employed you have to calculate an income that is equivalent to a T4 income.

In short, what may work for CRA, is not necessarily good for CS calculation.
Click to expand...
 
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