2007 Tax Return - Decuctions.?

I'm filing my Canadian Tax Return and I have few questions.

1. I got married in 2007 outside Canada and in 2007 my wife neither lived in Canada nor was a Canadian Resident - do I apply under single or married. My wife came in Canada in 2008.

2. I have my house on mortgage, I've paid over 10,000 interest this year, can I claim that in my return - this home is my resident?

3. Can I claim a portion of Property Taxes as well?

Thanks for your help.

I would file as married, as per CRA "In the Information about you area, check the box that applied to your marital status on December 31, 2007. Check "Married" if you had a spouse or "Living common-law" if you had a common-law partner. You still have a spouse or common-law partner if you were living apart for reasons other than a breakdown in your relationship."

Generally you are allowed a higher deduction if claiming married but that deduction is reduced by the income of the spouse. If your wife did not work or did not earn very much then it is a benefit to you to claim her. If her income is above the threshold then you would be better to file a separate tax return; you in Canada and your wife in the country she lives & works.

Home mortgage payments (interest) are generally not deductible in Canada. Property taxes unless you are making minimal amounts are not deductible but in Ontario could reduce your provincial taxes through a tax credit for low income earners. The exception to the above are those that have home based businesses or if the house is a rental property.

1) While u report as married in 2007, u cannot claim her as a dependant for additional tax credit because she didnt live with u in cda in 2007.

2 & 3) The mortgage interest and prop taxes are only deductible if u used the house to earn rental or business income. If u used a portion of the house for such purpose, a reasonable portion based sq footage may be deductible.