Canadian Tax Question

Figgy

I've got a shit ton of saved up federal and provincial tax credits (Over $50,000).

Right now, I'm only serving tables, so I don't pay taxes. My fiancee, on the other hand, gets veritably cornholed in taxes on her pay checks.

Can I transfer my tax credits to my fiancee for the 2009 tax year? If not, could we just file for common law and then transfer? We've been living together for over two years now.

Also, how would having a common law wife affect me in other ways? OSAP repayments?

Gilbert0

I am not an accountant but last year my gf and I started filing common law. From my understanding with it, is that you are filing for the "household" rather than each person. So I believe that your credits should still be transferable to her (or at least partially). My gf is in grad school and I work full time so I got to use all her tuition credits which was awesome.

As well, since you are now filing common law, you get addition deductions for having dependents.

No clue how it will effect OSAP repayments (probably not at all unless you tell the loan people). As for other effects, I tick off a different box when filling out documents (common-law not single) but there has been no other change.

I use ufile for taxes so I'm trusting the computer to do all the calculations for us so if you have questions on specifics, I can't give them to you.

Figgy

Is there anything else to file when you "become commonlaw," other than simply filing it as such on your taxes?

Dorkman

I'm only serving tables

This raised a flag. How are you working yet not paying taxes.

Figgy

Dorkman wrote: »

I'm only serving tables

This raised a flag. How are you working yet not paying taxes.

Because servers make below minimum wage, so deductions end up being a dollar or two per paycheck.

Of course, come tax time they want money, but that just takes a tiny nibble out of my gargantuan tax credits.

Phisti

Your tips are also taxable income. Auditors love to tear waiters a new one so be weary of the tax man, they aren't so gullible to believe that you are so bad at your job that you get no tips.

Figgy

Yes. I am aware of this.

Once again, come tax time I do not end up paying anything because of saved up tax credits.

Gilbert0

Figgy wrote: »

Is there anything else to file when you "become commonlaw," other than simply filing it as such on your taxes?

If there is, I haven't done it and have had no problems. My work knows so she's covered by healthcare / benefits so maybe look into for each other. Besides that, no difference that I know of.

Oh your quarterly GST check might change amounts / no longer come. That's the only thing that I know of.


EDIT - If you use tax software, you should be able to do it all a couple times before submitting it. See which way saves you both the most $$. Do it once seperatly and then once together.