Accounting and Taxes Thread

[Shazam]

Originally Posted by DoubleF

What box on the T5 are the ROC being included/excluded?

Yes, if you mess with a slip, there's a high likelihood CRA will do a slip matching investigation. It happens frequently for original vs amended slip differences when filing.

I thought it was always on the investor to track ACB, regardless of what the brokerage provides.

[DoubleF]

Originally Posted by Fuzz

If the CRA screws up and reassess you by adding a slip from the wrong year that you already claimed in the correct year, what's the best way to resolve? I've gone in online and edited my updated return by setting that amount to zero for the slip, in hopes they might read the ####ing year properly, since there is no where to enter words to tell them of their ####up, and they say they've contacted me or my representative for more info. I assume that'll come as letter mail in 6 months...in the meantime they want me to pay it by April 6th, or face penalties.


Can I just ignore it, and they'll sort out the interest charges themselves, or is this gonna be a PITA for months until I talk someone there?

In the past, you could ask an agent nicely over the phone to put a note on the file and request it be fixed. As of last year, CRA basically automatically reassesses and basically you have no choice but to to file objections (takes up to 120+ days for them to figure it out). You could re-file, but if whatever bug is causing the wrong year slip to pop up on that filing is automated, re-file will be a waste of time. There's also the issue where the other person at the CRA is being a dick or an idiot and more than one round of objection is required to sort out the issue correctly.

If you're confident you're right and thus won't owe money after they process the objection/reassessment, you can ignore. That being said, their processes and procedures are kinda dumb, so you might get non-stop calls/letters about the balance going to collections until you get an agent in the collections department to put a note to put in on pause. It's sorta automated and the different departments don't talk to each other (ie: collections won't be notified that you submitted an objection against the balance owing).

Or, you pay the amount and wait for them to refund after they sort it out. It'll get rid of the collections thing, but then you have to leave money idle in the hands of the government.

Originally Posted by Shazam

I thought it was always on the investor to track ACB, regardless of what the brokerage provides.

Yes. You'd be surprised how often T5008 is wrong for ACB even in this day an age. Always scan T5008 for book cost of $0. CRA doesn't go totally crazy about updates to the ACB for slip matching. They do ask questions for other T slip discrepancies (ie: T5 and T3) if there's different numbers in different boxes they aren't expecting.

Significant variations in ACB can be especially true for ESO/RSU for a company that operates in Canada but ESO/RSU shares operate through a foreign stock exchange only and not a Canadian stock exchange.

The concerns is that you're basically being double taxed on the error spread of the underreported ACB (pretax vs post tax funds cross over).

What I think happens for some brokerages is that they omit an inclusion on the T slip for ROC, adjust the book value on the statement, and the ROC is addressed appropriately on the disposition. But the example mentioned is foreign, so I don't know if that is somehow contributing to something weird, especially with this year's brand new slip issuance clusterfuster.

[TorqueDog]

Originally Posted by DoubleF

What box on the T5 are the ROC being included/excluded?

Yes, if you mess with a slip, there's a high likelihood CRA will do a slip matching investigation. It happens frequently for original vs amended slip differences when filing.

I won't know until next tax year, but I wanted to do my due diligence now. I'm only going off of the experiences I've heard and my conversation with Questrade's advisor this morning that they don't account for / report how much of the income was ROC when specifying the foreign income amount on the T5.

In any case, whatever I can't figure out now, Locke gets to figure out next April. Sorry Locke!

[Fuzz]

They sent a digital letter, and opened a place I could submit my documents and request. So that's nice. I've told them an accountant I know thinks they are all a bunch of useless idiots, and I'd like the CRA to prove him wrong by fixing my return. Will let you know how that goes!


I will say, if they are moving towards this sort of self serve online system where I don't have to wait on the phone for 4 hours, that's a nice improvement. It'd be even nicer if they hadn't decided to waste my time on this, though.

[Locke]

Originally Posted by Fuzz

They sent a digital letter, and opened a place I could submit my documents and request. So that's nice. I've told them an accountant I know thinks they are all a bunch of useless idiots, and I'd like the CRA to prove him wrong by fixing my return. Will let you know how that goes!

I will say, if they are moving towards this sort of self serve online system where I don't have to wait on the phone for 4 hours, that's a nice improvement. It'd be even nicer if they hadn't decided to waste my time on this, though.

Cant be me then.

I know they're a bunch of useless idiots.

[Fuzz]

Originally Posted by Locke

Cant be me then.

I know they're a bunch of useless idiots.

We'll see! If they fix mine you'll have to change your tune.

[Locke]

Originally Posted by Fuzz

We'll see! If they fix mine you'll have to change your tune.

I will not.

I will change my tune when they prove themselves not 99% useless.

Sometimes they fix things. The real question should be...'should it have been broken in the first place?'

[Fuzz]

Originally Posted by Locke

I will not.

I will change my tune when they prove themselves not 99% useless.

Sometimes they fix things. The real question should be...'should it have been broken in the first place?'

True enough, I shouldn't get too excited about them fixing their ####up. But at least they've made it easier!

[I-Hate-Hulse]

So.... the deadline relief that CRA issued... was this just for issuers of T3's? Or do us recipients of T3's (from say an ETF) have until May 1 this year to file?

https://www.canada.ca/en/revenue-age...es-online.html

Is this exemption for *any* capital gain or does it have to come via a T3 Box 21?

[DoubleF]

Originally Posted by I-Hate-Hulse

So.... the deadline relief that CRA issued... was this just for issuers of T3's? Or do us recipients of T3's (from say an ETF) have until May 1 this year to file?

https://www.canada.ca/en/revenue-age...es-online.html

Is this exemption for *any* capital gain or does it have to come via a T3 Box 21?

Assume nothing is different. But in the event of an honest error because of this specific issue, odds you can fix before end of May with no penalty is higher.

[Johnny199r]

I only have 1 tax slip available on CRA my account currently whereas in previous years, at the start of March I would have all 8-10 of my slips available in order to complete my tax return.

I don't have any faith they are going to be there in the next month or month after that...

[Locke]

Originally Posted by Johnny199r

I only have 1 tax slip available on CRA my account currently whereas in previous years, at the start of March I would have all 8-10 of my slips available in order to complete my tax return.

I don't have any faith they are going to be there in the next month or month after that...

Dude...its been a nightmare this year.

They tried to get people to become more reliant on the online system rather than the mail, and over years it kind of worked, you have no idea how many clients I've had this year who come in with either incomplete paperwork or actually nothing and just think:

"Locke can grab it from the CRA!"

And it just ain't there.

You dont have it. CRA dont have it and I cant get it.

I can only make bricks with the clay I'm provided.

[Shazam]

Ha, I had that conversation with my accountant last month.

"Aren't my slips online?"

"Not this year."

I really enjoyed how my personal tax return wasn't processed until September. That was awesome.

[Locke]

Originally Posted by Shazam

Ha, I had that conversation with my accountant last month.

"Aren't my slips online?"

"Not this year."

I really enjoyed how my personal tax return wasn't processed until September. That was awesome.

I do always love the argument:

"The Government has all of this information! They should just do my taxes for me!"

Really? I wouldn't trust these clowns to walk my dog much less do my taxes. And the Government doesn't have as much information as some people think they do.

I've also become sort of the defacto local Accountant in this neighbourhood and I've had people come in, many are seniors, and they rely on me for a lot of their filings.

"I havent gotten my CPP or OAS slips yet!"

Yeah. I know. I dont know why, the Government literally makes those slips and they aren't sent out and they're not online. So you're kind of in limbo.

[I-Hate-Hulse]

I've learned the hard way not to trust that "Autofill my Return" function from CRA. I swear it omits slips on purpose so you end up paying penalties and interest when they review it 8 months later.... Instant profit center for the government!

Always double check against what slips you should be expecting.

[fotze2]

Locke, can I just get you to do my taxes remotely and not have to visit to sign? No receipts, just all the same slips CRA has. Wife, myself, kid and dead dad? Pay you remotely and pdf the remains? Unless you have Scotch then I will come in and sign.

[Locke]

Originally Posted by fotze2

Locke, can I just get you to do my taxes remotely and not have to visit to sign? No receipts, just all the same slips CRA has. Wife, myself, kid and dead dad? Pay you remotely and pdf the remains? Unless you have Scotch then I will come in and sign.

First of all...yes you can. I deal with many clients remotely and since I have background info on you I can usually determine what I should be expecting, so that is no problem.

Also...I do indeed have scotch. So there is also that.

How do you think I cope with Tax Season. Also...my office is literally attached to a bar. There is a pet store in between of course but its all one building.

No problem man, just let me know when you're ready.

[calgarygeologist]

Originally Posted by fotze2

Locke, can I just get you to do my taxes remotely and not have to visit to sign? No receipts, just all the same slips CRA has. Wife, myself, kid and dead dad? Pay you remotely and pdf the remains? Unless you have Scotch then I will come in and sign.

Hopefully these are not related?

[Shazam]

Originally Posted by Locke

I do always love the argument:

"The Government has all of this information! They should just do my taxes for me!"

Really? I wouldn't trust these clowns to walk my dog much less do my taxes. And the Government doesn't have as much information as some people think they do.

I've also become sort of the defacto local Accountant in this neighbourhood and I've had people come in, many are seniors, and they rely on me for a lot of their filings.

"I havent gotten my CPP or OAS slips yet!"

Yeah. I know. I dont know why, the Government literally makes those slips and they aren't sent out and they're not online. So you're kind of in limbo.

I just wanted to see some of the slips, since snail mail takes forever so I'd thought I'd take a gander online. I see the CRA has managed to make digital as slow as physical. Impressive.

[Locke]

Originally Posted by Shazam

I just wanted to see some of the slips, since snail mail takes forever so I'd thought I'd take a gander online. I see the CRA has managed to make digital as slow as physical. Impressive.

No.

Its actually slower.

I #### you not. Over the last month I've had tons of clients come in with pension slips, that they got in the mail, in their hands, physical documents, that are not posted on CRA's database.

And whats even better? They're usually CPP and OAS.

THE GOVERNMENT MAKES THESE!!

What are they doing with them?

Its a complete clownshow. Actually...that might be doing a disservice to clowns. I think clowns might be more efficient than that.

They hired what...30,000 new Government employees? What are these people doing?

I had to call CRA over a stupid mistake they made.

First call?

- We're overloaded and not answering new calls.

Second Call?

- You are in line, the wait time is 7 hours.

A stupid mistake. 1 number. And it was THEIR MISTAKE. And it was a dumb mistake. On a slip that THEY MADE!

But I cant file my client's taxes until it's fixed.

I know its an exaggeration but fire them all and start over.