Deemed Taxes QRLSP Info (Qualifying Retroactive Lump-Sum Payments)

Tax Nuetrality for the whole class could have been achieved with 100% fairness to all, if the proposal eliminated the Notional Tax top up, and the GOC agreed to have CRA not impose the Deemed taxes,on our upcomming tax returns, that include retroactive payments. Simple as that! paying the revised portion of those taxes, is more then fair.

Best to call CRA and check this out, its complicated. sorry i cant help much other then that advice.

For those like me who went bankrupt because of the clawback I am concerned that the Refund will be used to pay back the bankruptcy.

In my case I was released from the CF in 2008. I was discharged from bankruptcy early 2010.

Here is a quote
'Generally, income is taxed in year you receive it. However,for "Qualifiying retroactive Lump Sum payments" (QRLSP) as defined by section 110.2 of the Income Tax Act, we reduce your taxable incomefor the year by the part of payment that relates to the eligible tax years for which you filed income tax returns. An eligible tax year is a previous year during which you were a Resisdent of canada, not bankrupt, an not a farmer or fisher who had used this year in an election for income averaging.

So it seems that I am getting retro over the period of my bankruptcy, so will ALL of my retro go to pay this off? If so I am so screwed!!!

I started a VAC pension in 2003 but not released until 2010.

There are many still serving that are still under old plan

DCHD.. I know this is not on topic, but I was wondering... I thought people who were released after 2006 would be on the NVC Earnings Loss Benefit and not SISIP LTD... Just curious how those released after the NVC came into effect would be on LTD unless their disability was not caused by their military service, in which case they wouldn't be getting a PA award???

Zero sum client could very well be half this class action.

In addition what about the people who were released after 2007 to May 2010 they are either breaking even or paying Legal fees out of pocket i myself am paying them 4700.00 out of pocket 900 VAC per month and i got out in Apr 2010. image what some other VETS are paying could be triple of what i will be paying.

why dont people get it wright to the judge asking him to accept the deal bringing up your tax concerned and fill out your RC4288 E (11) form after you get your worksheet and send it in.

our tax rights were not traded away in this deal so we have as much right as anyone elce to fill this form out and send it in.if you dont want to you have that right as well.

propat

you can send letters of Support or Objections to SISIPLTDsettlement@mcinnescooper.com. I believe Miccinescooper will provide those letters to the Judge.

Navrat I dont think this will have any effect on how Vets will act on the proposal. This issue really only effects Zero Sums with long retros and i believe the vast majority of the class is not in this situation.

I don't think individually , we have to do anything , just let the judge approve it, Call of Duty, your tax issues I find very interesting and are deemed taxes fair, no there not, do I like paying taxes no, but that is a CRA issue and nothing we do will change that within our settlement, this if changed has to occur outside our settlement between us and the CRA and would apply o all Canadians .believe me when I say, believe me , we could reject this deal and find ourselves with something far worse or even nothing, it's not worth the risk, over a CRA issue

Can someone post the email address for accepting the proposal. I do not have authorization to post links. Thank you in advance. Sparrow

I too will accept the deal with the intention of applying for Undue Hardship status at CRA individually. Sparrow

I will accept the deal , This is just info some vets can use to help dealing with the upcomming Tax issue.

Chimo

I agree 100 percent , looking at taxes,(which we always had to pay) is short sighted , look at the whole picture,interest is great, bank of Canada is 1 percent folks that's it, so take this deal for what it is, a damn good deal under the circumstances

I must admit one thing here to the class. I have been waiting for this deal since July of 1990. I stand to get alot back in Retro, but in the same breath I do pay alot. My fees are over 110000 alone, and my taxes are over 230000. So I walk away with about half. Is it perfect? No. Is it acceptable? In my case yes. Knowing that there is some relief coming for me, makes me happy with the law firm. Happy with the deal. I am really buggered up and this cash will help me get a hot tub and therapy that VAC will no longer cover as I am NOT GETTING BETTER! If we find something we can do as individuals, then we can pursue that. But I ask my brothers and sisters to please consider that we may lose our offer and get nothing. I am not willing to take that risk. Thanks for listening.
DN Zroback
Broken Ass Sapper
Chimo