B.C. couple stunned with $8,900 tax bill

Local family had to prove children exist, audited for in-home nannies

Rishi and Amy Sharma in Gordon Head were shocked earlier this year when they received an adjusted tax bill for the 2016 tax year from Canada Revenue Agency that said they owed $8,943 and change.

The main problem was that CRA dismissed the Sharmas’ childcare claims of more than $18,000, among other factors.

“Amy has two jobs, we try to ensure everything is by the book,” said Rishi, a government manager. “When we get a bill for $8000, I’m like, ‘Holy shoot, you kidding me?’”

What really set the Sharmas over the top was the eight-month, back-and-forth rigmarole to try and prove their tax claims, Rishi said.

First, the couple had to prove their children existed. “Children who have had SIN numbers since birth,” Amy said.

“The process was ridiculous,” she added. “You call the number at the bottom of the letter, they answer, ‘sorry, we don’t deal with this.’ You’re constantly bounced from one place to another.”

Eventually, CRA confirmed the Sharmas have children. But CRA still didn’t accept the childcare expenses, Rishi said.

“But you can’t call anyone to get a straight answer, or just some help,” Rishi added.

The childcare expenses came down to the use of in-house nannies that CRA needed better proof of.

READ ALSO: Canadians tuning out real CRA agents because of CRA phone scammers

It was understandable, but took a long time and could have been easily explained, Rishi said.

“We hire locally, they’re usually students who come and go, and they travel. So it was cumbersome. One was traveling in Australia and New Zealand, one was in Vancouver, we don’t keep in contact with the nannies after they’re gone.”

Each one submitted a signed letter that they’d received the claimed money for child care.

As of last week, the tax bill had been reduced from $8,300 to a little more than $3,000 with the Sharmas’ accountant telling them the rest of the bill should also be reduced, Rishi said.

At one point, Rishi was so frustrated with the process he called the office of the signatory whose name is on the letters they keep getting, Bob Hamilton, commissioner of the CRA.

Someone in his office answered but said, “‘Sorry, we don’t deal with that, why are you calling us, this is the wrong department.’” Rishi said. “I said, because ‘his name is on the letter.’ So something is completely screwed up here, it’s 2018. Why is this so difficult.”

All the while, however, interest was accumulating.

“It’s very scary, very stressful, and very frustrating,” Rishi said. “All this information is due in a little amount of time, the letter is very threatening, it says we face penalties and interest.

“We need to fix the system so we can have more of a conversation with someone. Someone we can say, ‘We’re sorry, just explain what we need to do, so we can do it.’ This has taken eight months and we do end up with an accounting bill.”

reporter@saanichnews.com


Like us on Facebook and follow us on Twitter

Just Posted

Theresetta students prepare for Christmas

Community invited to attend annual concert

Donalda’s Curtis Cassidy win’s $26,230 at NFR

Big Valley’s Zeke Thurston bucked off

World Champion Saddle Bronc rider, Zeke Thurston of Big Valley consistent at NFR

Donalda’s Curtis Cassidy third overall and wins $15,653

Local cowboys Zeke Thurston and Curtis Cassidy have solid night at NFR

Big Valley’s Thurston has wild ride. Donalda’s Cassidy ranked number one steer wrestler in world

Bailout or buy out? You decide, says MP Sorenson

Liberals breaking yet another election promise

WATCH: CP Holiday Train rolls into Lacombe

Kelly Prescott performed for hundreds of Central Albertans

Christine Sinclair named Canadian Women’s player of the year again

This is the 14th time Sinclair has been named player of the year

No flood of extremist returnees to Canada expected, federal report says

The report says some 190 people with connections to Canada are suspected of terrorist activity abroad

Canadian physicist who won Nobel Prize touts science for the sake of science

Donna Strickland, 59, said securing the field’s highest honour has given her a significant new platform

Climate change, receding glaciers increase landslide risk on B.C.’s Mount Meager

Climate change is causing glaciers atop Mount Meager, in British Columbia, to shrink increasing the chances of landslides and even a new eruption, says one expert.

UK’s May lobbies EU leaders in fight to save Brexit deal

Top European Union officials ruled out Tuesday any renegotiation of the divorce agreement with Britain.

Former Canadian diplomat detained in China amid rising tensions: reports

A former Canadian diplomat has been arrested in China, according to media reports and the international think tank he works for.

Most Read