CampCricket
Jr. Member
- Reaction score
- 11
- Points
- 80
I just got a letter from the CRA stating that my Manulife (SISIP) ELB and VAC Veterans Benefits are in question. Their position is that I have misreported this income under line 10400 and that if I do not provide proof of this income, they will move the amount under line 13000 and treat it as self employment or foreign income.
So I call the CRA spoke to an agent that appeared to have little understanding of tax matters and had to put me on hold several times to tell me that I made a mistake on my reporting (even though I used their preferred reporting tool Turbo Tax, and the information came directly from their CRA download site where you can import your tax slips).
I agent even verified me using the same two T4As that are apparently in question / misreported. I directed him to box 127 of the manulife T4A to show that this meant it was classed as wage replacement income. I then directed him to box 107 on my VAC T4A and the corresponding explanation that showed it as "Veterans Benefits", how this was all downloaded from the CRA website - into a tax program that populated the appropriate boxes and has been the case now for almost 10 years. So how in 2020 and 2021, did this process stop working? I then referred this brain child to the EMPL form and showed him that this form was not for self employment earnings and that the entire middle section was for other forms of income from insurance / compensation places. I then told him I was looking at the supporting worksheet for line 13000. No where on that entire worksheet was there a line item to enter income from a T4A Box 127 or 107. Those references only appear under the worksheet for line 10400.
But the agent insisted I had filed wrong / misrepresented myself and unless I provided some other type of proof, CRA was going to reclassify this income. In the simplist of terms - depending on whether its treated as self employment from a canadian source or foreign could mean them demanding at least another $1000 to $8500 in income tax. Then this information will most likely be fed into other OGD databases and could end up in SISIP and VAC halting my benefits for not reporting self employment income in excess of the $20,000 or so I think we are able to earn.... along with CPP disability following suit at this would exceed their 6400 t0 17600 dollar income thresholds.
Anyone else in the same boat? Am I a one of? Or is this another group that CRA has decided to target because they are most likely easy targets due to mental and physical impairments and would have a hard time fighting back (like the way the had gone after low income single mothers in receipt of CCB).
Please let me know as this would give others like myself an opportunity to push back in greater numbers for those that might now be up for a fight with the CRA.
Regards,
CampCricket / Marlene
So I call the CRA spoke to an agent that appeared to have little understanding of tax matters and had to put me on hold several times to tell me that I made a mistake on my reporting (even though I used their preferred reporting tool Turbo Tax, and the information came directly from their CRA download site where you can import your tax slips).
I agent even verified me using the same two T4As that are apparently in question / misreported. I directed him to box 127 of the manulife T4A to show that this meant it was classed as wage replacement income. I then directed him to box 107 on my VAC T4A and the corresponding explanation that showed it as "Veterans Benefits", how this was all downloaded from the CRA website - into a tax program that populated the appropriate boxes and has been the case now for almost 10 years. So how in 2020 and 2021, did this process stop working? I then referred this brain child to the EMPL form and showed him that this form was not for self employment earnings and that the entire middle section was for other forms of income from insurance / compensation places. I then told him I was looking at the supporting worksheet for line 13000. No where on that entire worksheet was there a line item to enter income from a T4A Box 127 or 107. Those references only appear under the worksheet for line 10400.
But the agent insisted I had filed wrong / misrepresented myself and unless I provided some other type of proof, CRA was going to reclassify this income. In the simplist of terms - depending on whether its treated as self employment from a canadian source or foreign could mean them demanding at least another $1000 to $8500 in income tax. Then this information will most likely be fed into other OGD databases and could end up in SISIP and VAC halting my benefits for not reporting self employment income in excess of the $20,000 or so I think we are able to earn.... along with CPP disability following suit at this would exceed their 6400 t0 17600 dollar income thresholds.
Anyone else in the same boat? Am I a one of? Or is this another group that CRA has decided to target because they are most likely easy targets due to mental and physical impairments and would have a hard time fighting back (like the way the had gone after low income single mothers in receipt of CCB).
Please let me know as this would give others like myself an opportunity to push back in greater numbers for those that might now be up for a fight with the CRA.
Regards,
CampCricket / Marlene