Did you receive any news?? I short of $7000 in 2017 and $1,200 in 2016 however I did not claim my tips during that time because i thought it was very small until it effects my application now. Could i increase it to meet their requirements?
Financial Assessment Failed for Parent Sponsorship
- Thread starter Y_darknow
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You knew the income levels in December and you applied knowinf you didn't meet the requirements. 6 months later you remember you didn't claim your tips and your know how much tip money you made in 2016 and 2017? If you were working in the restaurant industry for other years you should be declaring all those years too.
You mean It could not help?? I did not know we could claim tips as income. I did not claim it. I can give a specific number as calculated daily and monthly. However, I think CIC will accept my reassessment income as CRA accepted. Do you think so?
So you have already filed tax for those years. You are going to file an Adjustment Request for your previous years to include cash tips in your income.
It will take some time for CRA to accept your adjustment and there is a chance that they will audit all years of your income. Just in case you missed something else in other years. Good luck.
Not sure if they will come up with a final NOA when CIC/IRCC wants to assess your income.
Hopefully, those are real income and not created because they may request proof if they decided to audit your account. And be prepared to file your future tax returns with TIPS included as well.
It’s a well known fact in the restaurant industry , that any income received as tips MUST be declared . This would be either controlled or uncontrolled tips. It is income to be declared
If you’ve been working in the industry for years , then you want to do a T1 adjustment for not only the LICO years , but ANY years you worked that you did not declare . In effect you evaded paying taxes on that income . Why do you think there is a line 104? Income received , not reported on a T-Slip ? To report such income
https://www.canada.ca/en/revenue-agency/services/tax/canada-pension-plan-cpp-employment-insurance-ei-rulings/cpp-ei-explained/tips-gratuities.html
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I contacted a tax claimer and accountant, both said yes, its possible to claim tips for prior years. However, I have only 60 days to submit application, I think it would be very tight if it could not be done by June 10,2019. Moreover, It may negatively result in an investigation for a period of 8 years since I came to Canada, this may pass the deadline.
It’s mandatory to claim your tips , anything less is tax evasion, not “ it’s possible “, it’s the law, and your accountant should be advising you of this .
Here , it’s not hard and you don’t require an accountant
Fill in this form
https://www.canada.ca/en/revenue-agency/services/forms-publications/forms/t1-adj.html
For each year , send in details regarding the new amounts , since it appears you have the information. Send it too any tax centre
If that’s too complicated, send in a letter to the tax centre with the income to be added
Here , it’s not hard and you don’t require an accountant
Fill in this form
https://www.canada.ca/en/revenue-agency/services/forms-publications/forms/t1-adj.html
For each year , send in details regarding the new amounts , since it appears you have the information. Send it too any tax centre
If that’s too complicated, send in a letter to the tax centre with the income to be added
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Agree. You better do Adjustment Request for all 8 years and plan to pay back tax that you owe as a result. Good Luck!
Plus interest and any associated penalties if the CRA determines this was willful . Not knowing the rules regarding the declaration of income is not a reason. The CRA has numerous ways you and or your accountant are able to reach them if you questions. Telephone , online thru my account , or by mail
$7000 in tips that you haven’t declared is a significant amount based on your income. Not sure how CRA is going to verify your past tips amount unless you have good records. If you have worked in a similar job for many years you are opening a pandora’s box. Not only will you have to pay more taxes, all the benefits you received will likely be clawed back and you will have to pay that back plus penalties on top of that. Not sure how CIC views these sudden updates in NOA to qualify for PGP because your results may not be available before the PGP decisions are made.