[urtaxwiz2]

Have a client with Wage Loss from Great West Life. Box 28 as per norm. Client says that the income should be tax exempt as they had worked on the reserve and the income used to pay the premiums was exempt. I do not have an argument with that as it would be consistent with the treatment of EI and CPP benefits. However I indicated that GWL needs to amend the T4A. Client has the notion that there is a "First Nations Schedule" that can go with the tax return indicating the exempt status of the T4A?

Anyone familiar with this scenario?

Thanks

[Sasha1]

Line 232 deduction for the exempt portion - possibly all - if all original income was exempt.

[Joe]

urtaxwiz2, on Apr 27 2007, 04:42 PM, said:

Have a client with Wage Loss from Great West Life. Box 28 as per norm. Client says that the income should be tax exempt as they had worked on the reserve and the income used to pay the premiums was exempt. I do not have an argument with that as it would be consistent with the treatment of EI and CPP benefits. However I indicated that GWL needs to amend the T4A. Client has the notion that there is a "First Nations Schedule" that can go with the tax return indicating the exempt status of the T4A?
Anyone familiar with this scenario?
Thanks

If it is status indian exempt, it would not be in Box 28
It would be noted in footnotes, and Box 38 would have Code 14


So, you get to include Box 28 in his income as per norm - You report exactly what it says on the T4A - thats the amounts on the prescribed form

- Or he can get GWL to fax you (direct) an "amended" T4A ... .

At least, thats what I would do - I'm strictly a "documentation" type of guy ...
.

[ChrisG]

If the employee paid the entire insurance premium then the income should be exempt and the insurer erred in issuing a T4A. But somehow I don't think this the case and it would be interesting to review the original terms of employment and the employer/employee obligations respecting the plan

[urtaxwiz2]

I have been referred to publication RC 4157 pages 15 - 16. The error (if any) is with Great West Life. The client has been provided with the instruction manual for completing T4A's and sent over the GWL for the amended slip.

Thanks.

[James1]

Joe, on Apr 27 2007, 06:02 PM, said:

At least, thats what I would do - I'm strictly a "documentation" type of guy ....

Really.......... to tell you the truth..... I never noticed.... ;)

James

[Joe]

James1, on Apr 28 2007, 06:58 AM, said:

Really.......... to tell you the truth..... I never noticed.... ;)
James

ROTFL !
.