CRA has annouced the child arts credit. My son went for a few guitar lessons last year. I paid through my credit card.
Questions is can I claim this amount as the service provider is refusing to give tax receipt. Is the provider required by law to provide the tax receipt?
Any inputs from tax experts will help.
Thanks in advance.
You need a tax receipt. If not you need the SIN# of the person.
You could claim the full amount oF 500 bucks on your tax form and get the credit.
Within the next 7 years if you are audited the onus of proof will come upon you.
If I were you I'll claim and get the credit for it as there bigger sharks in the pond for CRA to catch.
If you are just a T4 guy you shouldnot have much scrutiny.
But if you are self employed and claiming every dime as refund the story is very dicey and I'll not claim then.
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Sunny Leone a true Canadian DESI now back in India !.
Thanks.
I called CRA and they said the same - I need tax receipt to claim this amount. The person could not tell me if the business is obligated to provide me with a receipt. Though he did give me another number to call on and check.
Location: God's own country
Posted on: 19-03-12 13:29:42
VM
You are wrong in the above post.
Anything which you claim (like Arts credit), they will give you the credit but then check in the coming months.
Once I claimed for GO passes (having thrown them away), they gave me the credit but then asked me to prove it in the later months.I could not. So they reveresed my credit.
The next year I claimed for the GO passes again, they gave me the credit and then later asked me to prove the claim which I claimed.
The year after that Idid not claim any GO train pass refund but claimed under charitable donanation and I was asked to prove it.
I have been asked to prove my donations from 2007 till 2010. I am going to file my 2011 taxes soon but since I have to do the paper filing, I will be sending the original charitable receipts. Hope it will be the last time, I will ever file returns for Canada as I like my suffering in India.
Moral : Donot claim if you have no receipts to back it up.Canada population is low and the CRA is highly computerized as well as manpowered. They will catch you.
Peace
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I am a Gents and not a Ladies.
Quote:
Originally posted by tamilkuravan
VM
You are wrong in the above post.
Anything which you claim (like Arts credit), they will give you the credit but then check in the coming months.
TK, if you're saying "CRA WILL audit" you're wrong, but if you're saying "CRA MAY audit" you're right.
Quote:
Originally posted by tamilkuravan
Once I claimed for GO passes (having thrown them away), they gave me the credit but then asked me to prove it in the later months.I could not. So they reveresed my credit.
The next year I claimed for the GO passes again, they gave me the credit and then later asked me to prove the claim which I claimed.
When the credit for transit pass was started a few years ago, a lot of people got audited. Since this was a new credit, people thought, let's try, if we get through it's fine, else we'll pay back. Hence, a lot of people got audited.
Quote:
Originally posted by tamilkuravan
The year after that Idid not claim any GO train pass refund but claimed under charitable donanation and I was asked to prove it.
I have been asked to prove my donations from 2007 till 2010.
It's just your sheer luck (or should I say lack of luck, i.e. bad luck) that you got audited every single year for the same thing
Quote:
Originally posted by tamilkuravan
I am going to file my 2011 taxes soon but since I have to do the paper filing, I will be sending the original charitable receipts. Hope it will be the last time, I will ever file returns for Canada as I like my suffering in India.
Ensure that you have copies of the receipts, just in case they get lost in the mail.
If this is your last time filing tax, also ensure that you let CRA know that you have severed ties with Canada, else they'll be on your back again next year
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SS
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