Super visa - Low Income Cut Off

[HarinLeo]

Hello Guys,

I need your advice that a Friend of mine is in the process of applying for a super visa for his parents. He is family of 4 in Canada and including his parents total number is 6. I can see his LICO is $70 K for a family size 6. My question is that He filed his income $20K in his personal income but his business made 80K. So Can he show his business income as his proof income ? Kindly advice me.
Thank You

 

[scylla]

Hello Guys,

I need your advice that a Friend of mine is in the process of applying for a super visa for his parents. He is family of 4 in Canada and including his parents total number is 6. I can see his LICO is $70 K for a family size 6. My question is that He filed his income $20K in his personal income but his business made 80K. So Can he show his business income as his proof income ? Kindly advice me.
Thank You

No. Only income he declared in his personal income tax return. Business income cannot be counted.

He doesn't meet LICO if he only declared $20k in his personal income tax return.

 

[CanGoldDigger]

No. Only income he declared in his personal income tax return. Business income cannot be counted.

He doesn't meet LICO if he only declared $20k in his personal income tax return.

Sorry. So my business income is not considered as my personal income?

 

[scylla]

Sorry. So my business income is not considered as my personal income?

For the purposes of LICO, only income declared in your personal tax return is counted. If you have a business and file a separate return for that business, the income declared in that tax return is not considered.

 

[CanGoldDigger]

For the purposes of LICO, only income declared in your personal tax return is counted. If you have a business and file a separate return for that business, the income declared in that tax return is not considered.

Very interesting. Thank you. Is there any source I can read more about it?

 

[scylla]

Very interesting. Thank you. Is there any source I can read more about it?

It's somewhere on the IRCC site. I don't know where off the top of my head.

 

[canuck78]

Also just common sense. Technically business income is meant to be used in the business and not for personal use. People minimize their tax burden by paying themselves the lowest salary possible and keeping the money in their business but that does lead to some consequences like not meeting LICO.

 

[CanGoldDigger]

Also just common sense. Technically business income is meant to be used in the business and not for personal use. People minimize their tax burden by paying themselves the lowest salary possible and keeping the money in their business but that does lead to some consequences like not meeting LICO.

Yep, makes some sense but weird anyway. I consider the income of my business as my personal income. I am not talking about revenue, but net income. To keep it in my business or spend it whatever way I want is already another issue.

 

[canuck78]

Yep, makes some sense but weird anyway. I consider the income of my business as my personal income. I am not talking about revenue, but net income. To keep it in my business or spend it whatever way I want is already another issue.

Accountants and CRA would disagree with you.

 

[scylla]

Yep, makes some sense but weird anyway. I consider the income of my business as my personal income. I am not talking about revenue, but net income. To keep it in my business or spend it whatever way I want is already another issue.

IRCC and CRA only classify it as personal income if it is declared in your personal income tax return and is taxed as personal income.

 

[HarinLeo]

Thank you guys for your clarifications.