Frequently Asked Questions (FAQs)

Please ask Unity to confirm the accepted payment methods and the total fee before engaging us. An old reference to another business’s credit-card processing charge did not describe a confirmed Unity policy. Your invoice or engagement terms will identify the applicable service fee.

Eligibility for the GST/HST credit depends on age, residency, family circumstances and income. Filing your return allows the CRA to assess eligibility. Special rules apply before age 19 for people with a spouse or common-law partner or who are parents. Confirm the benefit period and current rules with the CRA.

You do not need to be single, divorced, separated or widowed throughout the year, but only at some time in the year and at that time you had a dependant living with you. You may qualify for an additional credit if any time in the year, you were Single, Divorced, Separated or Widowed. The “amount for an eligible dependent” is reduced by the income of the dependant for which the claim is made.

The student should obtain the current T2202 tuition certificate and complete the applicable tuition schedule. Eligible unused current-year tuition may be transferable to a qualifying parent, grandparent or spouse within the rules and limits. Amounts carried forward from an earlier year cannot simply be transferred. Federal and Quebec tuition-credit rules differ; we review the available slips and the student’s return.

Child-care expenses are generally claimed by the lower-income spouse or common-law partner, but exceptions can apply. Eligibility also depends on the child, the purpose of care, the provider, receipts and annual limits. Provide both spouses’ income information and details of study, illness or separation so we can review the correct claim.

You can claim moving expenses to the extent of your income that you earned after your move. If you moved but could not claim all the moving expenses on the return for that year, you may be able to claim the remaining expenses on your return in a future year. In addition you can carry forward unused Moving Expenses amounts until you have enough income to claim them.

Ordinary elementary or secondary private-school tuition generally does not qualify for the federal tuition tax credit. Certain separately identified eligible services or special circumstances may be treated differently. Provide the school’s receipts and a breakdown of charges so that any allowable component can be reviewed rather than treating the entire bill as deductible.

A simplified meal method may be available for eligible transport employees, but eligibility, travel conditions, daily limits and deductible percentages must be checked. Keep the trip log and employer documentation even when individual meal receipts are not required under that method. The detailed method requires supporting receipts. Rates can differ by tax year and location.

EFILE is a service by CRA for professional EFilers. Efiler must register with CRA and get an agent number. Efiler can update the address and banking information for their clients and can do batch processing of tax returns. NETFILE is a service by CRA for individuals to file their personal tax returns over the internet. The individual must have a Web Access Code (WAC) to netfile their tax return using CRA certified software.

No, the traveling cost from home to work and work to home is considered personal expenses.

You need a signed T2200 from your employer to claim employment expenses. You should keep all the receipts and detailed log sheet of kilometers driven for business and personal.

You will need signed T2200 form, “Declaration of Conditions of Employment” from your employer. There are also additional requirements, based on the types of expenses you incur.

Yes, you may claim additional expenses, which may not be allowed to salaried employees such as property tax and insurance for home office expenses. Employment expenses are limited to commission income plus capital cost allowance and interest on car loan.

A passenger vehicle is an automobile purchased or leased after June 17, 1987. Most cars, station wagons, vans, and some pick-up trucks are passenger vehicles. Passenger vehicles are subject to the limits for capital cost allowance, interest, and leasing costs.

You cannot automatically deduct the full monthly lease payment. The allowable employment-use amount depends on the applicable passenger-vehicle lease limit for the lease start date, the prescribed calculation and the business-use percentage. Keep the lease agreement, expense receipts, mileage log and required employer certification. The old fixed $800 limit should not be used for every lease.

You should take following factors into account.

How many miles are you expecting to travel? If you expect to have a lot of mileage then most leasing companies, charge additional fees over certain mileage. This information should be specified in leasing contract. You have to determine how much extra you have to pay over specified mileage. Then it might not be to your advantage to lease a car.
How often do you change a vehicle? Are you the type of person who changes a vehicle after two to three years or do you like to keep the same vehicle for five to ten years. It is better to lease if only keeping the vehicle for a short period of time.
Cash flow? Do you have enough cash to purchase a vehicle. If not, it may be better for you to lease. Since leasing a vehicle is easier for a person with bad credit rating.
Legal Issues: Do you have any court order against you, i.e. owe money to other people or in the course of divorce settlement. If so, then any of your assets may be seized or distributed. Then it might be better for you to lease a vehicle.
Tax Point: From a tax point of view, the difference between buying and leasing is minimal.
You have to look at other factors to determine what is the best decision for you.

You can claim the cost of supplies to repair the rental property. However, you cannot deduct the cost of your own labor. You can claim reasonable expenses incurred to transport tools and material to rental property.

You cannot claim the cost of appliances on the tax return. However you can claim the capital cost allowance on appliances. Capital cost allowance cannot be used to create or increase rental loss.

Renting part of a home can affect the tax treatment depending on the extent of rental use, structural changes, capital cost allowance and other facts. It is not enough simply to avoid claiming depreciation. Keep records of rental use and consult the appropriate professional about any change of use. Unity does not offer property-sale tax services.

Giving property can have tax consequences, including a deemed disposition depending on the asset and circumstances. This needs a transaction-specific review by an appropriate tax or legal professional. Unity does not provide property-transfer or property-sale tax services. Do not treat a gift as automatically tax-free.

Employee stock options can create an employment benefit and may also produce a capital gain or loss when shares are sold. The timing, available deduction and reporting depend on the employer, grant terms and current rules. Provide grant, exercise and sale records and relevant slips. An old reference to the former stock-option tax deferral should not be treated as a current general option.

On filing your previous year Tax Return, you would receive a Notice of Assessment from the Canada Revenue Agency. Your RRSP limit is calculated and shown on it. At the same time, you will have to consider any ‘undeducted amount’ on the same Notice as well as your obligation under Home Buyers’/Life-long Learning Plan(s). If you require any assistance in this connection, please visit any Unity Financial ServicesLocation.

Age and living with you alone do not establish eligibility for the federal Canada caregiver credit. The credit concerns support for a qualifying relative with a mental or physical infirmity. The amount depends on the relationship, income, other claims and circumstances. Keep supporting records; the CRA may request a medical statement. Quebec has separate rules to review.

On filing your previous year Tax Return, you would receive a Notice of Assessment from the Canada Revenue Agency. Your RRSP limit is calculated and shown on it. At the same time, you will have to consider any ‘undeducted amount’ on the same Notice as well as your obligation under Home Buyers’/Life-long Learning Plan(s). If you require any assistance in this connection, please visit any Unity Financial ServicesLocation.

Age and living with you alone do not establish eligibility for the federal Canada caregiver credit. The credit concerns support for a qualifying relative with a mental or physical infirmity. The amount depends on the relationship, income, other claims and circumstances. Keep supporting records; the CRA may request a medical statement. Quebec has separate rules to review.

Eligible unreimbursed medical expenses may be claimed for you, your spouse and qualifying dependants. It is not mandatory that the lower-income spouse always claim them: compare both results and the applicable thresholds. Expenses for an adult dependant are calculated separately under the relevant rules. Keep receipts, prescriptions or certifications where required and details of insurance reimbursements.

Incorporation depends on your profits, cash needs, risk, administrative costs and longer-term plans. A corporation has separate tax filings and record-keeping obligations. Lower corporate tax rates do not automatically mean lower total tax when funds are withdrawn personally, and income-splitting rules can restrict anticipated benefits. Discuss your circumstances before deciding; legal matters should be reviewed with the appropriate professional.

HBP withdrawals generally have a repayment schedule over up to 15 years. The start year depends on the first withdrawal date and any applicable temporary relief. Check your CRA HBP statement for the required annual amount. Designate eligible contributions as repayments; designated repayments are not deductible. A required amount not repaid generally has to be included in income.