What would you do to get 66 000 000$, (disapointment) !

ya rex the compound nature of the calcs really sticks it to ya dont it.

propat

Unfortunately, the only class members who will not be be negatively affected by the deemed taxes are those either currently in their initial 24 months or released within the last 4 years. Even the 24 month guys will get heavily penalized if their money was back five, ten or more years ago. This puts me right at the cusp, since my SISIP ended just over 5 years ago, on the 4 of January 2008, so I'm not sure which, if any will benefit me more than the other.

I agree Maggie this TOP UP has really taken any action, we could have taken away , as GOC will say we have been compensated. I feel now that this is a waste of my time, and dont wanna relive the anger of this unjust taxation again, so I'll use lube this time, because this time I'll see it comming when I am bent over by the CRA. Our Lawyers have used us long retros, as cash cows, and then fed us to the wolves.

you may be right maggie but i dont think so not the way it is written anyway.i think its definatly worth a shot as we have given away our rights to sue the goc again over the clawback however we have not traded away our rights to seek fair treatment by the CRA.

allways question athority

propat

For most people it is actually better that they withhold 30%... but like propat said it is really irrelevant to the discussion. The amount you will owe is what is important, and each person has to do everything they can to lessen that.

Propat... I really, truly wish you well on your journey to fight the tax penalties... unfortunately I think the GOC covered their butt with the 3.25% top-up.... It doesn't do us long term zero-sum people much good,but will cover the extra for a lot of 2 year or non zero-sum people, and it gives the CRA and out to say it was dealt with in negotiations like it should have been.

Propat, I think what we are saying s if you have deductions , the deemed tax issue might not be a factor for some of us.

wholy crap it doesnt matter if they are 1% ore 100% it will not make a lick of differance come tax time.

propat

I asked Peter I ave talked to him and asked him and he told me flat out , sisip does all the calculations then shoots the money to the law firm , then they mail it to us. Also he said in this order, sisip will first take off legal fees ,whatever thy are, then 20 percent withholding tax. Please call the law firm to confirm

Thats been my Point Maggie ITs really unfair that the GOC caused this Tax problem, it has not afforded some Vets the fairness of the QRLSP calculation. it delayed the case causing 6 more years of Deemed taxes on those retro payments. The GOC has put some in a position to claim all in the current year, Now all you can do is tax plan like you, by using RRSP room , lawyer fee deduction and what ever else you can find to lessen a Bad situation.

call lets get back on track we are going to do something about the deemed tax right???

propat

Yes the DTC will cover past years if you have it, and it has not been completely used to cover your past income. SISIP withholds 20% on your current cheques as that is standard for them , but when you receive your retro payments, CRA rules then apply, and with QRLSPs any income over 15,000.00 is subject to 30% withholding tax. Navrat if you dont agree ask Peter.

COD... if the QRLSP calculation is not in your favor.. .they won't use it!!!!

With the RRSP, Charitable and lawyer's fees it is better for us to claim in all in one year.... WE CAN DO THAT... it is our choice!!!

Correct, Maggie, you swing that calculator like a sword of truth. Thanks for cutting thru the fear imposed by the deemed tax demons! Remember, don't stop believing !

well boys witholding tax dont mean squat so dont bother to argue over that becouse its not your ACTUAL TAX RATE.you will know that come tax time.what i do know is moast of the long tearm guys will either go from the lowest tax rate to the highest tax rate ore take an even bigger hit by dealing with the deemed tax.so you will still get bent over the table but you will have a choice to take the big one ore the bigger one.

allways question athority

propat

People are going to pay more taxes than if they had received the money when it was owed, no question... but if you use a tax calculator when you get your retro and enter it all in one year, you will know the worst... if QLSRP calc help you great, if they don't you won't be charged more. If you don't have deductions to help you make sure you bank the difference in what you owe and what they withhold!!! The 3.25% top-up will prevent any further tax relief, I believe.