2015 tax returns (2016 tax-filing season)

[tjthemanto]

Since the liberals are now in power does that mean that the 2015 taxation year will be eliminating the income slipping (we are not seniors) or will they be starting that in 2016's tax year.

Thanks @theexxx

I think the budget in maybe March,2016 or so, they will make some changes. Some of them could be even retroactive for the year 2015 (very unlikely though )& rest going forward 2016 onwards.

[scbpooh]

I have some serious questions about doing our taxes this year and I'd rather not post here. If anyone is a major pro at explaining tax things in English please pm me if u can help. Not understanding what I'm reading online

[theexxx]

Hello Jasperandchar,

I'm not sure what you mean by "Income slipping", i'm going to assume that you mean 'Income splitting" lol. Unless you are a senior, have a Corporation or in very few other cases, there is no income splitting. The Family Tax Cut that they promoted as Income Splitting really is not and I wish they wouldn't advertise it like that because it caused a lot of confusion and worry for people.

I hear there will be an new tax bracket for Federal taxes for the 2016 filing year but haven't seen the details yet. Alberta will no longer have a flat 10% provincial tax but will instead have tax brackets like the Federal tax, can't really comment on other provinces changes. The Child's Fitness Tax Credit is now a Refundable Tax credit, the max basic claim went up last year to $1000 (plus additional $500 for child with disability).

There are more here: http://www.cra-arc.gc.ca/nwsrm/txtps...51222-eng.html

Kelly

Since the liberals are now in power does that mean that the 2015 taxation year will be eliminating the income slipping (we are not seniors) or will they be starting that in 2016's tax year.

Thanks @theexxx

[Ciel]

Family Tax Cut is Schedule 1A in the Forms booklet.

Schedule 7 seems to have two confusing statements about HBP and LLP in relation to RRSP and PRPP. HBP and LLP are RRSP only options. Yet somehow CRA proofreaders mention HBP and LLP repayments under the PRPP? Really want to confuse people with that bit, CRA?

[tjthemanto]

I have some serious questions about doing our taxes this year and I'd rather not post here. If anyone is a major pro at explaining tax things in English please pm me if u can help. Not understanding what I'm reading online

Contact poster theexxx from above.

Or you can use some of the free tax software like 2-3 of them and compare the results. If they are exactly the same with each software you are probably doing the right thing.

I think you can even use the paid ones like Quick Tax and UFile just for calculations and unless you file the return, you don't have to pay I think only when you go to actually Efile the return it asks for your Credit Card and payment .

In the past I have filed returns manually by pen and paper and then just used Quick tax to double check my calculations with a fake name and SIN ..he he..without actually filing with Quick tax

[Ciel]

Page 1 of the paper return has a field in which you can enter your e-mail address so CRA only sends you e-mail rather than actual mail for your statements. Read the tax return guide-by doing so, you agree to no longer get mail from CRA.
Wonder if CRA updated their MyAccount registration process for the digital age-to start a new account for individuals, one had to wait for a mailed letter with an access code to arrive about 2-3 weeks after registering online.

[tjthemanto]

Page 1 of the paper return has a field in which you can enter your e-mail address so CRA only sends you e-mail rather than actual mail for your statements. Read the tax return guide-by doing so, you agree to no longer get mail from CRA.
Wonder if CRA updated their MyAccount registration process for the digital age-to start a new account for individuals, one had to wait for a mailed letter with an access code to arrive about 2-3 weeks after registering online.

This is going to be a scammer's & fraudsters delight. Right now CRA says they NEVER send you any email as its not a secure form of connection. But once they start sending emails, lot of senior & non tech savvy customer's might be defrauded with authentic looking CRA emails from scam artist.

Now you can just delete any email regarding CRA without even opening as they never send you any email. But in future people will at least click on it, to make sure its not from CRA or from CRA, increasing the chances of fraud

[theexxx]

Hi Guys,

The CRA email program is not emailing your actual tax information, they simply email you a "notification" that you have mail on your "My Account". If you have NOT set up "My Account" on the CRA website ( http://www.cra-arc.gc.ca/myaccount/ ) then DO NOT indicate that you want emails from the CRA when you fiel your tax return. Otherwise if you give them your email address they will not send you anymore snail mail but simply post all notices to your "My Account", but if you haven't signed up for it, you won't be able to access the notices, including your Notice Of Assessment.

I highly recommend to all my clients to get signed up on the "My Account" with the CRA. It is very similar to online banking, PLUS as the CRA posts more and more slips on their site (they started using Auto-Fill this year), there is less and less chance of missing any slips (meaning less penalties!!) Once you register and answer some identification questions (have your previous years tax returns handy) then you will be mailed a password via snail mail. Once you get it go back onto the CRA website, My Account and enter the password and Voila, you're set. Call them if you have any problems 1-800-959-8281.

Kelly

[Frugalbigmama]

Hello Jasperandchar,

I'm not sure what you mean by "Income slipping", i'm going to assume that you mean 'Income splitting" lol. Unless you are a senior, have a Corporation or in very few other cases, there is no income splitting. The Family Tax Cut that they promoted as Income Splitting really is not and I wish they wouldn't advertise it like that because it caused a lot of confusion and worry for people.

I hear there will be an new tax bracket for Federal taxes for the 2016 filing year but haven't seen the details yet. Alberta will no longer have a flat 10% provincial tax but will instead have tax brackets like the Federal tax, can't really comment on other provinces changes. The Child's Fitness Tax Credit is now a Refundable Tax credit, the max basic claim went up last year to $1000 (plus additional $500 for child with disability).

There are more here: http://www.cra-arc.gc.ca/nwsrm/txtps...51222-eng.html

Kelly

Can you please explain the change in the child fitness tax credit? (I am in Ontario) It is different for 2015 then in years past?

[theexxx]

Hello Bigmama,

There are different types of tax credits, the main ones being refundable and non-refundable.

The Non-refundable tax credits are recorded on the Schedule 1. You add up all the deductions you can claim (Basic amount, Eligible dependent, Canada Employment amount, Children's arts amount, etc) and you get to use 15% of them as Non-Refundable tax credits on the next page when you calculate your Federal tax owing. The Children's Fitness amount used to be listed here along with the Children's Arts amount. Now, if you have more Non-Refundable tax credits than you have tax owing then, unfortunately, you can't use the excess. They simply reduce your tax owing to Zero and the rest of them are wasted. It's like no overage on coupons

Refundable Tax credits on the other hand ARE refundable and are listed on page 4 of the T1. So even if you owe no tax you can get a refund (overage). If your employer has withheld too much tax, you have a CPP overpayment, you are entitled to the Working Income tax benefit, you have receipts that you can claim on the Children's Fitness amount, max claim $150 (15% of receipt totals up to $1000), then Voila! You get a refund

In the past both the Children's Arts amount and Fitness amount were Non-Refundable (no overage LOL!!!).

I hope that helps.

Kelly

[jasperandchar]

Hello Jasperandchar,

I'm not sure what you mean by "Income slipping", i'm going to assume that you mean 'Income splitting" lol. Unless you are a senior, have a Corporation or in very few other cases, there is no income splitting. The Family Tax Cut that they promoted as Income Splitting really is not and I wish they wouldn't advertise it like that because it caused a lot of confusion and worry for people.

I hear there will be an new tax bracket for Federal taxes for the 2016 filing year but haven't seen the details yet. Alberta will no longer have a flat 10% provincial tax but will instead have tax brackets like the Federal tax, can't really comment on other provinces changes. The Child's Fitness Tax Credit is now a Refundable Tax credit, the max basic claim went up last year to $1000 (plus additional $500 for child with disability).

There are more here: http://www.cra-arc.gc.ca/nwsrm/txtps...51222-eng.html

Kelly

Hi Kelly,

In the past years I was able to put some of my income to my spouse (income splitting), that is why I was asking about "income splitting" for 2015 and if this will still be allowed. I am on a medical retirement from the public service and dh receives WSIB benefits. As you are aware WSIB benefits are not taxable.

Was just wondering that will still be allowed filing 2015 taxes, THANKS

[Shwa Girl]

Picked up my paper guide/forms/envelope at the postal counter at Shoppers this morning! Tempted to get a Year of the Monkey stamp to put on the envelope.

Ordered some guides and forms for relatives. These arrived today. So CRA will send them by mail, to homes.

[theexxx]

Hello Jasper,

I'm afraid I am not familiar with Ontario's provincial programs and how they function. I do taxes in Alberta.

Kelly

Hi Kelly,

In the past years I was able to put some of my income to my spouse (income splitting), that is why I was asking about "income splitting" for 2015 and if this will still be allowed. I am on a medical retirement from the public service and dh receives WSIB benefits. As you are aware WSIB benefits are not taxable.

Was just wondering that will still be allowed filing 2015 taxes, THANKS

[tjthemanto]

This coming Monday , Feb. 15 - the CRA will open its website for NET FILING / E FILING.

So in case you have all your tax slips handy, you are good to go. In about 8-10 days you will get your refund by Direct Deposit, if there are NO issues with your return

Luckily all my slips have arrived. Some of them can even be found online in the CRA, My Account ( not all, but some ), so check there in case you didn't get yours in the mail.

I think CRA & the tax software guys seem to have also started some auto fill for the various slips.

[Ciel]

I was in My Account yesterday and noticed the CRA has a notice that the system is getting some upgrades and one or more functions might be unavailable. Something will be going with My Account tomorrow, so heads up!

System maintenance

As a result of systems maintenance, some My Account services will be temporarily unavailable starting 6 a.m. on Saturday, February 6, 2016 (Eastern time). Services not listed below remain operational.
Services that will not be available:

• Starting February 6 at 6 a.m.
  
  • Change my return
  
  
• Starting February 12 at 8 p.m.
  
  • All of My Account
  
  

All services will resume at 6 a.m. on February 15, 2016.

BTW, my paper return is not showing up as received on their end-week 1.