CAN SOMEONE OUT THERE PLEASE ANSWER THESE 2 QUESTION FOR ME PRETTY PLEASE ... 1- do i caculate taxes before or after the 17.83 lawyer fees ? 2- what % fed tax & prov tax can i expect when i calculate taxes on 250 000... ?

143,732 is your tax on 307,000 assuming that is your taxable income im sure you still have basic personal leagal and other deductions.

propat

Remember it is only the portion above $120,000 that is taxed at the highest amount not the whole thing.

The going back years I really don't know... We will probably claim ours in the one year because my husband has RRSP room for about half of his retro, and we have some unclaimed Charitable Donations from the last few years.

. People are saying that CRA with look at both options and let you know which works best for you.

Go back and read "CallofDuty"s posts about Deemed taxes... He knows much more then I because he has already dealt with this situation.

oh bud that would take me an hour but there is penelties for paying past years and lots soooo you should ask CRA.

propat

maggie regarding your last ...... when i calculate my taxes on 307 000, its at rate 29% fed, 14 % provincial(nb)= 43% thats a given .... i am basicly at the max .... i should not have any concerns about paying more in taxes when tax time comes since i am already top dog bracket...... however do you see a bonus when i re ajust tax years individualy maybey pay little lower bracket ... i was clawed back 2002-12 i can go back to 2002 tax year claim money taken in 2002 lower bracket if thats what happens according to chart........ right now i pay 43% in taxes re assessing each year could bring my tax bracket to 22 %... sorta understand??? if anyone does please leave a comment if agree or not.... if i can re-do my taxes each individual year adding sisip money lost and all other incomes would only put me in 22% fed 8% prov

the leagal fees are applied to everything before tax.

propat

the 2012 numbers are the same.

propat

I only have 2011 numbers at the moment but the NB tax scale is

up to $37,150 - 9.1%
37151-74,300 - 12.1%
74301 - 120,796 - 12.4%
over $120796 - 14.3%

thank you propat and maggie for fast response... propat when i see example on leave no vet .... it looks like taxes only calculate after lawyer fees on first example......... so basicly lawyer fees come off at the end after interest and taxes applied....
maggie i appreciate the detail info you sent me and it has helped me wonders thank you.... i am also from NB regarding provincial taxes it is 14% i think its right.. thank you both

if you are trying to figure out exactly what you will owe, do not forget to add your other sources of taxable income for the year to the retro amount. This includes CPP, CFSA. regular SISIP payments and well as any other employment income.

This could make quite a difference if your regular income is $42,000 your taxes on the retro would start at 22% not 15% for federal tax. And check your provincial tax return for the provincial $brackets and %

Looks like we are all from NB.. How about that...

oh i assumed since you are registered in nb you are in nb but if you are not it will be different.

propat

im getting about 91,772 but thats with no deductions.

it will be less.

propat

No deduction for EI or any other payroll taxes... this isn't considered income from employment.

The federal and provincial tax is on a sliding scale... so your basic income from CPP, CFSA and SISIP for this year has to be taken into account as well. The federal rates are 15% your first $42707.
$42707 until $85414 is taxed at 22%
$85414 to $132406 is 26%
over $132306 is taxed at 29%

The provincial rates vary from province to province but are on the same type of sliding scale.

I am not 100% sure on the deduction for the legal fees, but they were certainly talking about it earlier.

before leagal fees.

propat

i would really appreaciate anyone reading this to take time to answer... cant forget final question ..... is there any other deductions like EI or GST or something i may have to apply ???? or should i just worry about fed tax and prov tax...... once again thank you and airborne!