OK I'm in trouble - Stup!d DH!!

Quote:

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Originally Posted by Cocoon

.... Since you did not provide receipts to your current clients so far I don't think you should be claiming anything from those expenses.....

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I am anal myself when it comes to 'rules' but I have to disagree with this quote!

Yes she made a mistake of following the advice of a third party rather than researching it herself ~ lots of providers make that same mistake unfortunately getting outdated or misinterpreted advice as a result of looking things up and reading first hand .... but fortunately she has realized it it early on in the game she did not open until the start of 2012 so she does not have to provide receipts until Feb 2013 for this tax year so has lots of time to provide current and future clients receipts for this tax year and every legal right to claim ALL expenses incurred for business during the 2012 tax year ... she would just have to find a way to PROVE those business expenses which would be time consuming but not impossible.

My brother owned a business a few years back and had a 'bad break up' with his ex and in a fit of anger she BURNED all his belongings on him including his business files ~ his Accountant and CRA worked with him to recreate 'reasonable income and expenses' based on other businesses that year and what records he could recreate so he could file his taxes for that year.

I too only give out one receipt in February for the prior years taxes. I do save all my receipts and I do have an accountant. Now I was not full last year I had one full time for the entire year, one part time for the year,one just after school from Jan to June and one full time for aug and b and a from sept to dec and my accountant was able to do it so All that I owed was the value of my cpp. I never even claimed all the supplies that I had purchased cause he said to wait till this year when I might need it more. So I keep a running list of the items like the high chairs, play pens, toys, outdoor toys, ect with the amount that I paid as I bought these things second hand . So hopefully you won't have to pay too much.

Quote:

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Originally Posted by Crayola kiddies

I too only give out one receipt in February for the prior years taxes. I do save all my receipts and I do have an accountant. Now I was not full last year I had one full time for the entire year, one part time for the year,one just after school from Jan to June and one full time for aug and b and a from sept to dec and my accountant was able to do it so All that I owed was the value of my cpp. I never even claimed all the supplies that I had purchased cause he said to wait till this year when I might need it more. So I keep a running list of the items like the high chairs, play pens, toys, outdoor toys, ect with the amount that I paid as I bought these things second hand . So hopefully you won't have to pay too much.

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ok good to know, thanks!