2016-11-16
Child Tax Credits Where Both Making Support Payments
2016 TCC 225 · Tax Court of Canada
Originally published on IncomeTaxAct.ca on 16 November 2016. The law may have changed since; check the current text in the tax wiki.
Provisions
Text
Child Tax Credits Where Both Making Support Payments
Judickas v The Queen, 2016 TCC 225
Where both former spouses make child support payments, then the payor’s eligibility to claim the tax credit for a wholly dependent person and child amount (ITA s 118(1)(b) and (b.1)) is not denied by subsection 118(5).
Where the court order specifically requires both former spouses to make payments to one another, rather than one payment based on a set-off as in Verones v R., 2012 TCC 291, aff’d 2013 FCA 69, the limitation in s 118(5) may be ignored as per s 118(5.1) - Letoria v Canada, 2015 TCC 221, para 9.
Sas Tullo, BSc BEd PC JD LLM PhD (exp) CPA In-Depth Tax 1, 2 &3