Calling all CP accountants or those with sneaky tax knowledge - Page 2 - Calgarypuck Forums - The Unofficial Calgary Flames Fan Community

amorak · 03-22-2010, 03:01 PM

Has anyone seen the CRA take a stance against / for the number of rooms method of calculating % of space for a home office versus sq. ft?

I know they accept both, but one helps a lot more than another, but I don't have access to any recent CRA decisions ... PMs accepted, if you're charging a fee for this answer

Ducay · 03-22-2010, 03:16 PM

Quote:

Originally Posted by fotze

I still don't know why for simple cases the government doesn't just do your taxes for you, they do them anyway. I know people who have one T4 and that is it and they pay accountants hundreds of dollars. The goverment just does their own calculations anyway.

Who is paying hundreds of dollars for returns if they have a simple, one T4 return?

Plus, the government gets a fair chunk of change from people who don't file and claim their returns. You think they just want to hand out cash to lazy people? Ha!

IliketoPuck · 03-22-2010, 03:24 PM

Well if there is ever a CP den meet again maybe I will buy you a beer and pick your brains Locke. Although I suspect I might leave with a heightened sense of sarcasm and a strong distrust of big brother.

And as far as paying for accountants, I do have an accountant (and appreciate that you do get paid for your knowledge), and he had asked me to come up with some expenses that would be applicable to my situation for write offs, so I was more or less fishing for information on things I might have missed, I do have a decent working knowledge of accounting, so thanks for the input, and the links, I appreciate it.

Jonrox · 03-22-2010, 03:26 PM

I just moved to BC (work transfer) and sold my house in Alberta. I know I can use realtor fees as a deduction for next year - but is the amount capped at all? I'm not complaining, but it seems like a rather large deduction that I'll be able to take. Am I missing something?

Ducay · 03-22-2010, 03:29 PM

Quote:

Originally Posted by Jonrox

I just moved to BC (work transfer) and sold my house in Alberta. I know I can use realtor fees as a deduction for next year - but is the amount capped at all? I'm not complaining, but it seems like a rather large deduction that I'll be able to take. Am I missing something?

Yay ~15% savings off the ridiculous cost of realtors!

http://www.cra-arc.gc.ca/tx/ndvdls/t.../menu-eng.html

Mccree · 03-22-2010, 03:39 PM

Quote:

Originally Posted by Ducay

Yay ~15% savings off the ridiculous cost of realtors!

http://www.cra-arc.gc.ca/tx/ndvdls/t.../menu-eng.html

Not to be picky, but it is a deduction so the savings is at least 25% (15% Fed and 10% AB). More if you are in a higher tax bracket.

amorak · 03-22-2010, 03:42 PM

Quote:

Originally Posted by Ducay

Yay ~15% savings off the ridiculous cost of realtors!

http://www.cra-arc.gc.ca/tx/ndvdls/t.../menu-eng.html

Are you allowed to deduct realtor's fees on a home if you're claiming that home as a primary residence (aka taking the primary residency exception)?

I think not, as that makes no sense (you pay no tax on the profit from the same, so why would you get to deduct the realtor fees), but I am not sure - something to keep in mind.

macker · 03-22-2010, 03:47 PM

Quote:

Originally Posted by Ducay

Who is paying hundreds of dollars for returns if they have a simple, one T4 return?

Plus, the government gets a fair chunk of change from people who don't file and claim their returns. You think they just want to hand out cash to lazy people? Ha!

I think H&R still charges about $95 for a simple T4. It is a waste of money but more importantly time! I think you could go to http://www.studiotax.com/ and have this done for free within 10-15 minutes. If you have a more complicated return it may be worth it to get a second set of eyes to make sure you are getting all of your write off's. Either way it pays to know what you are doing whether you are DIY or not as often you have to coach the filer to include write offs that they pass by. Let them do it and then write off the expense. Looks better to CRA also

Gundo · 03-22-2010, 03:51 PM

Quote:

Originally Posted by Locke

Oh yeah. Thats why I try and keep it vague, it doesnt take much for an answer to change in a hurry.

Also, I get paid for this knowledge so I'm not going to just give it away for free.

Whatever we all know your writing the last 6 hours off as "consulting"

Raekwon · 03-22-2010, 03:54 PM

Question.

My brothers wife does his taxes and my other brothers taxes. Somehow she claims their gas as they live outside of Calgary and drive to work and there is no alternate transportation? Does any of this seem legit?

Gundo · 03-22-2010, 03:56 PM

Quote:

Originally Posted by fotze

I still don't know why for simple cases the government doesn't just do your taxes for you, they do them anyway. I know people who have one T4 and that is it and they pay accountants hundreds of dollars. The goverment just does their own calculations anyway.

Some old guy I worked with who hated the government, hmm perhaps thats to vague. This crusty old f&^%er named Mitch I used to work with said hes just tossed his T4s in an envelope with the free tax forms tossed a stamp on it without filling anything out and they have just been doing them for him and he gets his money back if he is owed any since its illegal for the government not to pay you.

Locke · 03-22-2010, 03:56 PM

Quote:

Originally Posted by Jonrox

I just moved to BC (work transfer) and sold my house in Alberta. I know I can use realtor fees as a deduction for next year - but is the amount capped at all? I'm not complaining, but it seems like a rather large deduction that I'll be able to take. Am I missing something?

This is a little much to get into without some details.

The answer is yes, no and maybe.

Gundo · 03-22-2010, 03:59 PM

Quote:

Originally Posted by Raekwon

Question.

My brothers wife does his taxes and my other brothers taxes. Somehow she claims their gas as they live outside of Calgary and drive to work and there is no alternate transportation? Does any of this seem legit?

A tax for called a T122 I believe you can get your employer to sign off on it . Its more or less states you used you personal vechical/cell phone for work purposes and have not been paid any form of travel/gas money. Im sure there is more ins and outs about it but I got my old boss to sign one when I was directional drilling all over Alberta and I was able to write off about $4500 in gas, lease payments, maintenance, mileage and insurance for a about 6 months worth of work.

amorak · 03-22-2010, 04:02 PM

Quote:

Originally Posted by Locke

This is a little much to get into without some details.

The answer is yes, no and maybe.

Man alive, I missed the work transfer and moving out of the city... I am glad I'm not an accountant...

Locke · 03-22-2010, 04:12 PM

Quote:

Originally Posted by Raekwon

Question.

My brothers wife does his taxes and my other brothers taxes. Somehow she claims their gas as they live outside of Calgary and drive to work and there is no alternate transportation? Does any of this seem legit?

It depends.

Quote:

Originally Posted by Gundo

Whatever we all know your writing the last 6 hours off as "consulting"

Haha, yeah too bad writing hours off has absolutely no financial benefit for me whatsoever.

Quote:

Originally Posted by amorak

Man alive, I missed the work transfer and moving out of the city... I am glad I'm not an accountant...

Man, there are days....

MoneyGuy · 03-22-2010, 04:42 PM

Quote:

Originally Posted by Raekwon

Question.

My brothers wife does his taxes and my other brothers taxes. Somehow she claims their gas as they live outside of Calgary and drive to work and there is no alternate transportation? Does any of this seem legit?

No. I'll defer to the accountants, who are being very vague (which I don't really understand; I provide financial advice on a couple of sites). However, I can't see any way that this would be deductible unless there was some kind of "arrangement" with the employer, but then I wonder if it would hold up in an audit. I'm self employed and I can't write this off.

Jonrox · 03-22-2010, 04:45 PM

Quote:

Originally Posted by Locke

This is a little much to get into without some details.

The answer is yes, no and maybe.

I figured it was more complicated than it was explained to me. I'll keep track of everything related to the move and leave it up to somebody else to figure out.

Locke · 03-23-2010, 08:54 AM

Quote:

Originally Posted by MoneyGuy

No. I'll defer to the accountants, who are being very vague (which I don't really understand; I provide financial advice on a couple of sites). However, I can't see any way that this would be deductible unless there was some kind of "arrangement" with the employer, but then I wonder if it would hold up in an audit. I'm self employed and I can't write this off.

I'm being vague because specific information will change the answer. I know nothing about these people or their situations. I could come up with a hundred different little pieces of information that most people wouldnt even consider that would instantly change the answer from 'yes' to 'no' or vice versa.

So, basically, I'm doing the best I can without committing to an answer that I cant possibly be sure of.

You Need a Thneed · 03-23-2010, 09:49 AM

My personal advice (I'm not an accountant)

Write off everything and anything. Send it in. If the government questions you, say you didn't know that you couldn't claim that.

It's easier to ask for forgiveness than permission.

Locke · 03-23-2010, 10:04 AM

Quote:

Originally Posted by You Need a Thneed

My personal advice (I'm not an accountant)

Write off everything and anything. Send it in. If the government questions you, say you didn't know that you couldn't claim that.

It's easier to ask for forgiveness than permission.