Dear friends,
My wife has got a summary from CRA after she submitted her first tax return. Summary shows all zeros including the final balance...as NIL. But at two place it is written as
350 Total federal non-refundable tax credits...............1670
6150 Total Ontario non-refundable tax credits ..............488
Can someone explain what does it mean. Is she going to get this money anytime sooner !!
Secondly CRA says that GST/HST and trillium will be calculated and intimated to her in July, that also if she deserves it ! Nowhere anything has been said about the child benefits or when they will be calculated !! Thanks
Quote:
Originally posted by Hasni
Dear friends,
My wife has got a summary from CRA after she submitted her first tax return. Summary shows all zeros including the final balance...as NIL. But at two place it is written as
350 Total federal non-refundable tax credits...............1670
6150 Total Ontario non-refundable tax credits ..............488
Can someone explain what does it mean. Is she going to get this money anytime sooner !!
Secondly CRA says that GST/HST and trillium will be calculated and intimated to her in July, that also if she deserves it ! Nowhere anything has been said about the child benefits or when they will be calculated !! Thanks
Line 350 & 6150 are non refundable tax credits, it does not mean that she will get a refund of that amount. Refer to this link for a detailed explanation -> http://www.fcac-acfc.gc.ca/Eng/resources/educationalPrograms/ft-of/Pages/taxes-3-7.aspx
You mentioned that the balance is NIL, which means no owing & no refund.
GST / HST, Trillium and CTB are all paid starting July (until June of the following year).
Did you apply for CTB?
Did you apply for Trillium?
Did you apply for GST?
Keep in mind only one of you can apply for each of the above.
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SS
Reiki Grand Master
Thanks ss, then what do these amount show !!
Yes we had applied for CTB and GST in Aug 2014, but never applied for trillium. How about this year, do we need to apply again or this time it wil;l be calculated based upon submitted tax returns.
Quote:
Originally posted by Hasni
Dear friends,
My wife has got a summary from CRA after she submitted her first tax return. Summary shows all zeros including the final balance...as NIL. But at two place it is written as
350 Total federal non-refundable tax credits...............1670
6150 Total Ontario non-refundable tax credits ..............488
Can someone explain what does it mean. Is she going to get this money anytime sooner !!
Secondly CRA says that GST/HST and trillium will be calculated and intimated to her in July, that also if she deserves it ! Nowhere anything has been said about the child benefits or when they will be calculated !! Thanks
Non-Refundable tax credits just help you to reduce your taxes, you DON'T get that money back as a refund, hence NON refundable.
Suppose you owe $ 1,000 in taxes to the gov...& you have non-refundable tax credits of $ 800 , then you use that to off set the taxes ..so you end up paying only $ 200.
But if you owe $ 0 in taxes to the gov. ..& you have $ 800 of non-refundable tax credits, then you DON'T get $ 800 back as a refund , you get NOTHING !
You have BOTH provincial ( rate depends on which province you live in ) & federal taxes in Canada. In the above case , if you HAD Federal or provincial taxes to pay , you could have used the $ 1,670 & $488 to reduce or offset the taxes owed by you ..but NO you don't get that money back as a refund or anything.
GST/HST , OTB ( Trillium ) benefits always go from July to June. I hope you went for monthly payments for OTB & NOT a lump sum payment..if you went for a lump sum payment you will get it for ALL 12 months in June 2016 !!!..not each month.
They DON'T go from Jan - Dec . So the benefits for the last year say 2014 , will go from July 1, 2015 - June 30 , 2016.
Child benefits are usually processed in 8 to 10 weeks...AFTER you apply for them . Did you apply for them ? You should get some retroactive payments if there is a delay in processing.
Quote:
Originally posted by Hasni
Thanks ss, then what do these amount show !!
Yes we had applied for CTB and GST in Aug 2014, but never applied for trillium. How about this year, do we need to apply again or this time it will be calculated based upon submitted tax returns.
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When you get a chance read through this l..k : http://www.fin.gov.on.ca/en/credit/ Click on each item and explore them.
At the very bottom of this link you will see the FEDERAL highlights also. It will give you a good overview of our tax system.
NJOY.
FH.
Quote:
Originally posted by Hasni
Thanks ss, then what do these amount show !!
Yes we had applied for CTB and GST in Aug 2014, but never applied for trillium. How about this year, do we need to apply again or this time it wil;l be calculated based upon submitted tax returns.
I won't comment on your statement - what do these amount show - since other members have done that.
As regards CTB, GST & Trillium, you have to apply for these every year.
On a side note, did you try asking these questions of your tax consultant. I assume here that you availed the services of one for filing your returns and based on some of your previous post you mentioned that you would be availing the services of a tax consultant this year. If you did so, they should have applied on the benefits on your behalf and informed you of the same.
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SS
Reiki Grand Master
Location: God's own country
Posted on: 23-04-15 09:57:48
Hasni,
There are the amounts that you are eligible to take from the tax that you have paid. However since you have paid no tax to Canada, they canot be cashed out and they will lapse.
The good news, is that you are now eligible for all the benefits that the Canadian govt. gives like CCTB, Universal life, HST credit, national child suppliment, Trillium, etc.. etc.. for a period of one year, till you file the next tax return. Based on your next tax return, it will form the basis of benefits for the year after that.
As people have said, you need to apply for all. When you land in Toronto, they would have given you a form in which you can apply for CCTB/Universal life, HST benefits. If you have not done that, please apply.
What I tell all my clients is to make a list of all the benefits that Canadian and Ontario Govt. gives.
I list a sample (list is not exhaustive. Google by searching for " free benefits offered by Canadian govt for low income people"
1. CCTB
2. Universal life (children less than 6 years only)
3. HST
4. Trillium eligibility
5. National suppliemnt for children of low income earners.
6. Ontario credit for rent for low income earners etc..
Then see what you have to do to apply for these benefits and apply. In Canada, you mostly use the phone to call and follow up with the govt. agencies for these services.
One good thing in Canada is that they will give you credit for any monies not claimed since you landed. No one will spoon feed you. Google and get information and apply. If you need more free money from the Canadian govt. just feel free to ask CD and we will give you all information.
Murali
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I am a Gents and not a Ladies.
