Stand Up and Be Counted

Joecanadian, thanks and as i said, don't take every word verbatim. I was just using raw data such as Obama for an example and did not 100% verify the actual details as i just wanted to point out a consistentcy with most of the wealthy and that is they or their people learn quickly how to navigate and take advantage of the tax laws available, whether here in Canada or other parts.

redfisher you are wrong. You can invest and buy shares in IBM etc and any profit you make is NOT taken by SISIP. Read what I wrote again....the vet does not show a profit the first year and he is not employed but has simply invested his funds as if he was investing in RRSPs. When the asset is finally sold it can be reported as a capitol gain etc, depending on the best situation for the individual. Again, a 1/2 hour consult with a tax expert will really benefit a lot of people but I am quickly realizing I am beating my head against a wall. There is a tax company here called Tax On Wheels. ALL the staff are former CCRA people that served 20 plus years and upon taking their pensions they opened a tax firm. The majority shareholder is a former CCRA auditor with 24 years experience and i have been in his office when he simply picked up the phone and called the current auditor for clarification on my options.

Big Rex, I know a lot of us are just needing to pay off bills. It is a suggestion for those that can and want to turn their settlement into a steady stream instead of a trickle. Again, we are all in different situations and a lot of us have that defeatist mentality after such a long struggle. If one person on here takes my advice and maybe ends up in a better position then that would be fantastic.

No worries Rex, but my POV wouldn't change, I'm a different person now and look at life Ina different perspective. No worries stay classy!

Will's ridge, your comment on VetB using his retro money to buy rental property and make 1200 a month has a flaw. If I am not mistaken SISIP would deam this as income and deduct this amount from your SISIP cheque. Perhaps even taking you off their disability forever because you are making an income. Correct me if I am wrong in this way of thinking.

Supreme, I did not mean it as an insult, as I know of the battles you had to get SISIP. I was simply saying that, since you are not part of the class, and you have obviously resigned yourself to that fact, it is easier for you to look at the brighter side of things. I truly wish you had been successful in your fight to get the SISIP LTD that you were owed, but if you had, your POV would likely be drastically different.

Sometimes it's a matter of doing the right thing, and this was not the right thing

Yes the GOC should pay costs. I agree also. Anything can be asked for...but whether you get it is a different story.

I can understand where Big Rex is coming from, it's just when you start to figure out the settlement for tax purposes, you actually don't really need what is in the actual settlement. Everyone should know what the gross amount of vac clawbacks or pretty close , so all you do is add each month you were clawbacked. This will give you the gross amount, interest don't worry about for now, it adds up but also pumps up your tax bill. Take your gross and use one of the income tax charts for your province on line, I like ufile, When you actually do this and see the amount of tax it will take your breath away. Big Rex calculations are 100 percent correct, so lets hope the legal fees are lower and there is something for tax relief, because this is real money and losing half sucks, So when Big Rex says in all purposes the Goverment got away with no damages and legal fees paid there is truth to this, Should not the GOC paid these, of course, is it the legal teams fault, no, you can't get blood from a stone

Wills, I like your thinking, I am getting me an accountant!

bigrex wrote:Supreme, it is easy to be on the outside looking in and say that it will be a good deal. But when you are on the inside and having seen how the Government has reacted to losing similar sized class actions against them, including during this current governments reign, we cannot help but feel like we're getting screwed regardless of how good Dennis says it is. In the tainted blood and residential school actions, the government agreed to pay the legal fees and any awards granted were comprised solely of government money, since there was no retro active payments involved in those awards. So if the settlement does not involve tax free damages to compensate us for the hardships that they knowingly caused the class members and paying at least a portion of the legal fees that they forced us to incur, then IMHO, it isn't a good deal. It's not like they stopped the clawback of their own volition and we simply went to court to get back pay. They would have continued to deduct the PA pensions until every last class member had died, even if they knew it was illegal. If I was a drug dealer, I could grow thousands of marijuana plants in my backyard, even though it is illegal, and I would keep growing them if nobody stopped me. but if they did, i couldn't get away with just saying "oops, my bad. I won't grow those any more" and simply walk away. I would be punished. jail time, I could lose my house and money in my accounts, under this governments "Proceeds from Crime" legislation. Just because they are the Government should not place them above the laws of this Country or absolve them from legal and moral obligations that any other corporate organization in Canada would be held accountable for.

looking from the outside in? So because I also got screwed by the GOC and not a member of the class action I'm an outsider looking in? If that isn't a shot I don't know what is. My medical when I was released my med docs weren't forwarded because I was shuffled through the door and didn't even know there was a sisip. I had two small children with $10,000 and couldn't find work because I limped and know one wanted to hire a person with back and knee issues. I lost everything and the GOC didn't help me Rex. I got screwed...many do. So looking from the outside in isn't warranted. I got dead end jobs making minimum wage three jobs in fact just to support my family. Pumping gas with pain daily, the GOC has made me suffer...but I have earned my spot on earth and wouldn't consider myself an outsider looking in.

Excellent point!

There's another major difference between Harper and Obama. Harper would never hire a Veteran to be that close to him, especially if they didn't retire as a senior Officer.

Also a majority of us are only hoping to get enough just to pay off some bills that have piled up since our release.

That secretary was Warren Buffets not Obama. Obama receptionist makes 34000.00 she is former Sgt in the Army! But I enjoyed the read Will!

Navrat, can't declare ourselves as non-residents but I was doing more thinking about how to properly articulate my earlier points on taxes and HST. I am going to put this out as an example:
VETERAN A
Receives 250,000 after legal fees, interest etc.
Owes 30% taxes or 75,000
Walks away with 175,000 and a bad taste in mouth

VETERAN B
Receives 250,000 after legal fees, interest etc.
Owes 30% taxes or 75,000
Would walk away with 175,000 but decides to check out options that may fit his or her personal situation.
Tax Specialist advises following:
-Purchase rental property for 250,000 including legal fees, taxes etc.
-rent property for 1200 per month
-at year end he has a debit of 250,000 combined with a profit of 14,400 (minus expenses) for a loss of 235,600. Also gets to claim associated legal fees and HST from the SISIP lawsuit as he now has HST number for the rental property
-property is held under veterans own name and he or she enters -235,600 on income tax under other sources/deductions
-CCRA lets him go back 3 years or forward 5 years to recoup taxes on this loss. Now, instead of paying 75,000 in taxes he gets to keep the whole 75,000 plus gets additional funds back.
-The following year he transfers the rental property to wife, husband, son, daughter, incorporated company???
-Subsequent years the property brings in approx 9 or 10,000 profit minus expenses and profit now claimed by wife, husband, son, daughter, incorporated company etc. Veteran is not earning funds so SISIP can't do fuck all.
-tax hit happens when property is sold so he or his family gets to defer the tax hit for years and then accountant can mitigate tax loss depending on how property is disposed of..

Please do not take what is written above verbatim. Point is we all have different issues, liabilities, debts etc. The rich people pay very little tax (Mitt Romney is a billionaire in States and only paid 13% taxes and Obama was embarrassed when he was told he paid less percentage tax than his secretary.) Tax specialists can look at our individual cases, wants, needs, etc and may very well LEGALLY set up our finances and use our settlements to full advantage. This is what the rich do on a daily basis. It does not necessarily have to be property but can be other methods of investments.
My advice is seek out these specialists, especially if you are owed a large amount as I am. Again I say....TAX EVASION IS ILLEGAL BUT TAX AVOIDANCE IS LEGAL. CHECK IT OUT FULLY.