My question involves child support in the State of: British Columbia, Canada
I'm wondering if anyone might know how to handle Section 7.3 of the support guidelines? I understand it to be that tax credits and benefits should be deducted from what the NCP contributes to extraordinary expenses? I already pay my ex more than the guideline, am heavily involved in my children's lives, do not ask for her to contribute to my Section 7 expenses, and she's taking me to court to pay Section 7 expenses she's never requested reimbursment or provided receipts for. And she earns double my income!
I've had enough and doing some research now. On her tax return (2009, just for an example) she deducts 10,320 for eligible dependants, 4,178 for 2 children born later than 1992, and 2,931 in medical expenses (not sure how much of this is related to the children). The total of her non refundable tax credits is multiplied by 15% to get to her deductable amount (I'm not sure why? Is only 15% of NRTC's deductable?). So my question is, should I be reducing my contribution to Section 7 expenses to offset the tax relief she receives? How would this calculation work?
She also receives the Child Tax Benefit, on this 2009 return it shows the 2010 estimated benefit to be $675. This is cash into her pocket right? Am I allowed to deduct from my Section 7 contribution?
I would so appreciate any help on this, I know it's very complex but I'm hoping someone knows what I'm talking about! Help!!
Thank you :-)