The Commerce Journal,Business and Local Businesses
*The Commerce Journal>>>Canada Taxes

Tax return credit, sharing condo need help?


I room with a friend in a condo. Rent is $1600, my parents pay the rent, my roomate pays $400.

So the condo rent agreement is under my parents name.

But my roomate has been filing for tex return credits for his $400, he is a student. However he failed to include receipts, so they're asking for the returns back

The problem is that the landlord does not allow the sublet.
I
Can only the landlord issue a receipt to my roomate for the $400?

It is cost-sharing agreement between me and roommate

You don't mention for which province this is. Rent credits are provincial income tax.

You could make a copy of the rent receipt and write a note on it that $400 is the roommate's share. I don't know if this would be acceptable. I think the best idea is to call the CRA or provincial tax agency. (I live in Quebec, so I'm not sure who you would call about provincial tax questions in other provinces.)

You didn't mention how much you claimed as rent credit on your tax return. If you claimed the whole $1600, there could be a problem.

Bear in mind if anyone provides this gentleman with a receipt, then CRA will be looking at that person's tax return for the corresponding income. Is this a cost sharing arrangement or are your parents subletting?

Tags
  Spain Taxes   Singapore Taxes   Mexico Taxes   Ireland Taxes   India Taxes   Germany Taxes   Canada Taxes   Australia Taxes   Small Business   Renting & Real Estate
Related information
  • Disability Income Tax in Canada?

    The amount from the private disability insurance company will be tax-free. Canada does not tax insurance pay-outs. I cannot comment on your SSDI. You might also want to look into receiving CPP...

  • What is my itemized midedical deduction ( how much)?

    Vet bill NIL for pets. Only allowed if it is an animal trained for coping with an impairment (seeing eye dog, for example) Over the counter medication: NIL Medical Transportion: depends.....

  • Canadian Tax Rate?!?

    That number is still wrong. ...

  • Are disposition costs taxable for capital gains? (Canada)?

    The costs of disposition are included in the calculation of the cost base. POD $10,000 ACB ($5,000 + $1,000) Capital Gain $4,000 Taxable Capital gain: 1/2 x $4,000 = $2,000

    ...
  • Which year was the GST STARTED?

    GST started officially January 1, 1991, but it started applying in the fall of 1990 to contracts like Gym memberships that would last into 1991. I don't remember them actually giving a dead...

  • How much will I have to pay in taxes if I sell stock?

    You will have to pay tax at your regular marginal tax rate on 50% of the gain (Proceeds of sale less cost) Depending on your income level and province of taxation the rates can vary. Assuming y...

  • How much income tax will be taken from my pay-cheque in Toronto Canada ?

    There's a handy tool the CRA has for calculating all of the withholding taxes. ...

  • Can anyone summarize the key differences between the Canadian GA-AP and the Mexican GA AP?

    This is more of an accounting question than a tax question. International GAAP rules are covered in Advanced Accounting courses, but are only a small part of what is covered. The only comment in ...

  •  

    Commerce Categories--Copyright/IP Policy--Contact Webmaster