Review of child and family benefits and credits

Child and Family Benefits

Child and Family Benefits

 Review of child and family benefits and credits

What the Canada Revenue Agency is looking for?

The Canada Revenue Agency (CRA) continuously conducts reviews and audits of child tax benefits and other family benefits. The process usually starts off with a questionnaire or a phone call. Taxpayers get confused and don’t really know which documents the CRA is looking for. This results in Universal Child Care Benefits (UCCB) and Canada Child Tax Benefit (CCTB) payments being stopped or delayed.

To support your residential address you will be required to provide the following documents:

 

Part 1: Information about your residential address


Property Owner:

If you are the owner of your residence, a copy of your property tax bill for each year under review. The property tax bill should include all your personal details such as your full name, address of the property, and the year of the bill.

In addition you will be required to provide one of the following documents:

  • Mortgage papers
  • insurance policies
  • household bills (gas, electricity, cable, or telephone)
  • Drivers license and vehicle registration
  • Registered Retirements Savings Plan or Pension Plan documents showing your address

 Tenant:

If you are a tenant, a copy of your rental/lease agreement or letter fro the landlord. Documentation must cover the entire period under review. The letter from the landlord should include the following details:

  • The date the rent was paid
  • The address of the property you rented
  • The name of the person or business who received the payments
  • the signature of the landlord

In addition you will be required to provide one of the following documents:

  • Mortgage papers
  • insurance policies
  • household bills (gas, electricity, cable, or telephone)
  • Drivers license and vehicle registration
  • Registered Retirements Savings Plan or Pension Plan documents showing your address

Part 2: Information about your residency status


You will be required to provide any two of the following documents to support that the child was living with you and you were the primary caregiver for the entire time under review.

Any two of the following documents:

  • A copy of the child’s school registration/enrollment document or information/emergency contact sheet. It must be signed and certified by the school to be a true copy.
  • A letter from the daycare or school authority which includes the following information from their files:
    • Name and home address of the parent/guardian for each child
    • attendance records of the child
    • name and contact number of the person completing the letter
  • Copies of the Report cards for each year under review. The report card can only be used if it states the home address, attendance record and parent’s/guardian name
  • A letter from your family doctor or dentist confirming how long the child has been under the doctor or dentist’s care and indicating the home address and parent or guardian information as indicated on their files, for the period under review. The letter must be on letterhead and must be singe by the doctor or dentist.

In the event the CRA has disallowed your claim please contact our office for assistance. We can professional handle your CRA audit or review. Our tax accounting firm can professionally prepare and submit all documents and make sure everything gets resolved in a timely manor. Contact our accounting firm for all your personal, corporate, and small business needs. .

CRA Audit of Moving Expenses

 

CRA Audits Moving Expenses

CRA Audits Moving Expenses

CRA audit of moving expenses

The Canada Revenue Agency (CRA) allows taxpayers to deduct moving expenses if they move closer to work or school. To qualify, the new residence should be at least 40 kilometers closer to work or school (measured by the shortest usual public route).

In the case of Trudy Hauser (Taxpayer) vs. Her Majesty The Queen (The Crown), the CRA audited the moving expenses of the taxpayer.  The main argument became how each of the parties were measuring the distance between the old home and the new place of work. The Crown had measured the distance using an urban route, which was the shortest distance. The Taxpayer had measured the distance using a rural route, which was the fastest route. The Taxpayer had indicated that the urban route was inefficient because of the construction on the route.

Despite the Taxpayers testimony and evidence The Tax Court sided with the Canada Revenue Agency and concluded that the urban route is the most appropriate route to measure the distance between the new place of work and the old home.

Read more about Trudy Hauser  case – CRA Audit of Moving Expenses below:

Download (PDF, Unknown)

Audit & Appeal

Our team is dedicated to assist you in all your CRA appeals. We make sure that your company’s tax audit is handled smoothly and efficiently. We can assist you with the tax audit process starting from the information gathering stage to negotiation with the tax authorities. We can also help in negotiating payments and even apply for interest or penalty relief.