SIN Number on receipts?

Hi everyone....
Just wanted to pick your brains and see what the concensus is. Do you put your SIN # on your tax receipts that you give to the parents or not?

One instructor in a daycare course I attended said we should not unless Revenue Canada asks.

My previous daycare provider also did not give me her SIN # and said she would provide it directly to CRA if they ever asked.

I have been doing receipts without the SIN # but then CRA did ask one of my daycare parents recently for the SIN #.

What do you do/think? Is it a security issue? Or no big deal?

I am doing my taxes and keeping records/receipts so it isn't that I have anything to hide. Just not sure what is the right protocol

This issue has been brought up on so many forums and threads, CRA should really have it written out somewhere so it is clear. and so many providers have had different experiences based on who they have talked to. Personally, no, I do not provide it and I put on my receipts that it will be provided directly to the CRA upon request. I do not provide it because I do not feel comfortable having my SIN "out there" any more than necessary. If I had a parent being audited I would tell them to have their auditor call me directly. I can then provide them with whatever I need. I also have my name address and phone # on my receipts.

According to CRA website we are 'required' to provide it as per their regulations of what a childcare tax receipt must contain.

However I agree it is a personal identity theft issue and so NO I will not supply my SIN even if asked by CRA because there are other ways for them to 'track my income' if they so desire and I choose to take that venue even if it is 'more time consuming' for them on their end ... I registered a business name and applied for a BIN number that is associated with my personal SIN and THIS is what is placed on my reciepts for clients along with my business website and contact info for my business (aka home) so if CRA wants or needs to be able to track my 'income' back to a SIN they can do the leg work the HARD WAY through that process that is available to me .... I am not going to make it easier for them by putting my personal identity and credit at risk having my SIN flying around to just anyone .... employers and CRA are bound by the Protection of Personal Data and Information Act to keep our information safe and secure from 3rd parties ... a daycare client walking around with a 'receipt' is not.

I had a client get audited last year and come asking for my SIN and I just gave her a copy of my Business License with proof of the BIN on it matching the BIN on the receipt I had given her ... and CRA was fine with that and approved her childcare expenses.

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Originally Posted by mustbenuts

...CRA should really have it written out somewhere so it is clear. ....

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They do ~ it is right on their website what they expect / required for a home childcare receipt to contain

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http://www.cra-arc.gc.ca/tx/bsnss/tp...rcpts-eng.html

Issuing receipts

As someone who runs a home daycare, you will be expected to issue receipts to the parents of the children in your care. You should do this as soon as possible to give them time to file their income tax returns.

Here is a sample receipt form to help you. You can use any format you want, but this sample shows the information we need.

Example
Received from ____________________ ____________________ ______
for caring for ____________________ _______________ (name of child)
the sum of $ ____________________ ____________________ _______
for the period from ____________________ to ____________________
Services provided by ____________________ _________ (please print)
Address ____________________ ____________________ ___________
Daycare provider's Social insurance number ____________________ __________

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... even with the requirement clearly there in writing many of us choose NOT to do because we do not AGREE with having to do it ;)

For me I opted to do the BIN number instead because than I am at least 'attempting' to comply ... a BIN just means more 'work' for them in tracking back the income to my Ontario Business License but it is still 'doable' so I am not being totally defiant or trying to hide income in anyway just being proactive at protecting my identity from being stolen!

Basically the only time CRA even looks at any receipts provided in a return is in a random 'audit' scenario or if you've been red flagged for some reason .... so someone could be in business for 20 years and never have a client be audited or get audited themselves and thereby get away with never having had to do this and someone else can be in business 1 year and have two clients get audited or get audited themselves ... luck of the draw.

Other challenge at not providing any 'tracking' is if clients use an accounting firm as the accounting firm might demand the SIN be on it because well it is more work for THEM as well if their client gets audited and they are having to track down a provider up to 7 years from now to confirm childcare costs are legitimate ... but again I have had clients whose accounting firms were fine with the BIN option as long as there was some 'registered way' for the receipt to be authenticated?

Spixie, I've had a Mom in my daycare for 4 years who WORKS for the small business secion of CRA and she has never once asked me for my SIN or BIN. Just give them your name and address and phone # and put that all on your receipt and relax. However, if the CRA asked me for my SIN I would give it to them, but not to a parent. Not that I don't trust my daycare parents, it's just that I want to be very careful with my private information.

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Originally Posted by Inspired by Reggio

They do ~ it is right on their website what they expect / required for a home childcare receipt to contain

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sorry, what I meant was, there are so many different answers if you call CRA to ask. I know that is on their website and that's why some parents feel we should provide it. However, I have called the CRA to clarify and gotten different info than what is on their site, as well as different info from accountants so it just all seems muddy. From what I understand SIN is not required to file taxes but may be required in an audit, in which case it can be provided directly to the CRA. Having a BIN is a great idea though, it just simplifies it and it's professional.

I thought we can only get the Business number if we plan to claim GST??

Thank you for this as I was getting mine ready (for those who have left my care) and wasn't sure if I should add it - I didn't feel comfortable doing so even thought the CRA site (as shown above) says to do so.

We can certainly get a business number even for a business operating in the HST exempt sector, as daycare is. I have one and that's what I put on receipts.

Mustbenuts ~ I hear ya ... I too called when researching and I was told by the person who answered the phone at CRA that they agreed that it was a risk to put out the SIN and if I did not want to do it to look into getting a Business Identification Number ... which is why I did that which is when I discovered that in Ontario I had to registered for one anyway in order to advertizing my business by a name other than my legal name.

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Originally Posted by Spixie33

I thought we can only get the Business number if we plan to claim GST??

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Nope anyone can get one if you are willing to pay the $60 every 5 years ~ I know friends who have names registered that they do not even do business under they just did not want someone ELSE to be able to use that name!

Also our industry is exempt from charging or collecting GST in fact unless they changed it centres use to be able to get a 'rebate' number and they can tally all their GST they PAY for things like toys and so forth and get some of that back based on their revenue and so forth sadly we do not make enough or spend enough to qualify ... anyway the registration process is a one stop shop though you just have to click NO to all the other business related questions GST, WSIB, employer health tax and so forth that do not apply ... you are just registering your name and getting the BIN that comes with it.

I don't supply my SIN# either and quite frankly, CRA should NOT even be asking a third party to get it. I have all my info on my receipts, they know where to get a hold of me if they need it.