{"id":106,"date":"2021-11-23T15:55:48","date_gmt":"2021-11-23T15:55:48","guid":{"rendered":"https:\/\/canadiantaxpodcast.ca\/?p=106"},"modified":"2021-11-23T15:55:50","modified_gmt":"2021-11-23T15:55:50","slug":"canadian-tax-podcast-025-royalties-home-office-and-expense-reimbursements","status":"publish","type":"post","link":"https:\/\/canadiantaxpodcast.ca\/index.php\/2021\/11\/23\/canadian-tax-podcast-025-royalties-home-office-and-expense-reimbursements\/","title":{"rendered":"Canadian Tax Podcast 025: Royalties, Home Office, and Expense reimbursements"},"content":{"rendered":"\n<p>Canadian Tax Podcast for the week of 23 November 2021. This week we cover:<\/p>\n\n\n\n<ul><li>US electric vehicle subsidy;<\/li><li>GST filing extension for the E-Commerce Framework (AKA: Netflix Tax reporting);<\/li><li>2022 TFSA limits announced;<\/li><li>Transferring intangibles from proprietorship to corp;<\/li><li>Home office: part-time vs full-time use of space;<\/li><li>Informal expense reimbursements;<\/li><\/ul>\n\n\n<p><!--more--><\/p>\n\n\n<h2>[INTRO]:<\/h2>\n\n\n\n<p>\u201cThis is the Canadian Tax Podcast, <strong>Episode # 025<\/strong>, hosted by me, Cameron Ware. Good morning\u201d<\/p>\n\n\n\n<h2>[NEWS SECTION]<\/h2>\n\n\n\n<ol type=\"1\"><li>\u201cHappy Tuesday, it is the week of <strong>November 23, 2021.<\/strong> We\u2019ll start with the news.<\/li><\/ol>\n\n\n\n<h2>ITEM [1] \u2013 What Canada could do to combat US EV Tax Credit Article<\/h2>\n\n\n\n<ul><li>We\u2019ve discussed over the last few weeks the new US EV tax credit<\/li><li>CBC covered what Canada might do if they deal were to go through, even though US officials have noted Canada\u2019s displeasure with the proposal<\/li><li>Quick summary: the US is subsidizing up to $12,500 if consumers buy an electric vehicle. The catch is the subsidy only applies to US-made vehicles. This makes Cdn manufacturers grumpy.&nbsp;<\/li><li>One option Cdn govt could use: Cdn mines are a reliable source for the electric batteries. Why does the taxpayer care: Because regardless of the politics involved, tariffs are taxes. Canada applies tariffs somewhere, US does the same, = taxes go up<\/li><li><a href=\"https:\/\/www.cbc.ca\/news\/business\/electric-car-retaliation-column-don-pittis-1.6255204\">https:\/\/www.cbc.ca\/news\/business\/electric-car-retaliation-column-don-pittis-1.6255204<\/a><\/li><\/ul>\n\n\n\n<h2>&nbsp;<\/h2>\n\n\n\n<h2>[ITEM 2] \u2013 Obligations for new Gst\/HST rules<\/h2>\n\n\n\n<ul><li>The CRA announced new rules for GST\/HST for digital economy businesses earlier this year.<\/li><li>These are the rules for \u201cForeign suppliers\u201d of digital goods. AKA the \u201cNetflix tax\u201d.<\/li><li>Supposed to kick in on July 1.<\/li><li>The CRA has deferred the GST return filing requirement for the first calendar year information return.<\/li><li>However, suppliers still need to notify\/register with CRA if the supplier provides specified services. (Storage\/fulfillment warehousing, Digital platform operators)<\/li><li><a href=\"https:\/\/www.canada.ca\/en\/revenue-agency\/services\/tax\/businesses\/topics\/gst-hst-businesses\/digital-economy-gsthst\/notification-information-reporting.html\">https:\/\/www.canada.ca\/en\/revenue-agency\/services\/tax\/businesses\/topics\/gst-hst-businesses\/digital-economy-gsthst\/notification-information-reporting.html<\/a><\/li><\/ul>\n\n\n\n<h2>&nbsp;[ITEM 3] \u2013 TFSA Limit for 2022 ANnounced<\/h2>\n\n\n\n<ul><li>New TFSA limit was announced for 2022<\/li><li>The new limit is $6000, matching previous amounts from 2019-2021<\/li><li>If you\u2019re able, definitely max these each year if you can. Tax-free returns are always a good thing.<\/li><li>All the other usual limits can be found at the link below. RRSP.<\/li><li><a href=\"https:\/\/www.canada.ca\/en\/revenue-agency\/services\/tax\/registered-plans-administrators\/pspa\/mp-rrsp-dpsp-tfsa-limits-ympe.html\">https:\/\/www.canada.ca\/en\/revenue-agency\/services\/tax\/registered-plans-administrators\/pspa\/mp-rrsp-dpsp-tfsa-limits-ympe.html<\/a><\/li><\/ul>\n\n\n\n<p>LISTENER QUESTIONS<\/p>\n\n\n\n<ul><li>Sole proprietor artist wanting to transfer assets<ul><li>[Question]<\/li><\/ul><ul><li>This is like any property transfer. Proprietorship, Sec 85 over to corp.<\/li><\/ul><ul><li>Watch: Passive income trap.<\/li><\/ul><\/li><li>Home office deduction in studio apartment<ul><li>[Question]<\/li><\/ul><ul><li>If I\u2019m understanding correctly, listener filed one way, wants to change to \u201cDedicated\u201d space.<\/li><\/ul><ul><li>Need T2200 if for employment. Or T2125 if self-employed. Pro-rated on basis of sq\/ft for business vs. sq\/ft for home.<\/li><\/ul><\/li><li>How can business partner deduct expenses if they are paid on one card?<ul><li>[Question]<\/li><\/ul><ul><li>One party is purchasing Facebook and Instagram ads, but the expenses are actually 50\/50.<\/li><\/ul><\/li><\/ul>\n\n\n\n<p>That will wrap things up for today. Like always, if you have any questions, send them to <a href=\"mailto:questions@canadiantaxpodcast.ca\">questions@canadiantaxpodcast.ca<\/a>, or find us on twitter: <a href=\"https:\/\/twitter.com\/cdntaxpodcast\">https:\/\/twitter.com\/cdntaxpodcast<\/a>&nbsp;&nbsp;<\/p>\n\n\n\n<p>This is Canadian Tax Podcast, thanks for listening.&nbsp;<\/p>\n<iframe src=\"https:\/\/player.blubrry.com\/?media_url=https%3A%2F%2Fmedia.blubrry.com%2Fcanadiantaxpodcast%2Fcontent.blubrry.com%2Fcanadiantaxpodcast%2F2021-11-23_CTP025_final.mp3&amp;podcast_link=https%3A%2F%2Fcanadiantaxpodcast.ca%2Findex.php%2F2021%2F11%2F23%2Fcanadian-tax-podcast-025-royalties-home-office-and-expense-reimbursements%2F#mode-Light&border-000000&progress-000000\" scrolling=\"no\" width=\"100%\" height=\"165\" frameborder=\"0\" id=\"blubrryplayer-1\" class=\"blubrryplayer\" title=\"Blubrry Podcast Player\"><\/iframe><p class=\"powerpress_links powerpress_links_mp3\" style=\"margin-bottom: 1px !important;\">Podcast: <a href=\"https:\/\/media.blubrry.com\/canadiantaxpodcast\/content.blubrry.com\/canadiantaxpodcast\/2021-11-23_CTP025_final.mp3\" class=\"powerpress_link_pinw\" target=\"_blank\" title=\"Play in new window\" onclick=\"return powerpress_pinw('https:\/\/canadiantaxpodcast.ca\/?powerpress_pinw=106-podcast');\" rel=\"nofollow\">Play in new window<\/a> | <a href=\"https:\/\/media.blubrry.com\/canadiantaxpodcast\/content.blubrry.com\/canadiantaxpodcast\/2021-11-23_CTP025_final.mp3\" class=\"powerpress_link_d\" title=\"Download\" rel=\"nofollow\" download=\"2021-11-23_CTP025_final.mp3\">Download<\/a><\/p>","protected":false},"excerpt":{"rendered":"<p>Canadian Tax Podcast for the week of 23 November 2021. This week we cover: US electric vehicle subsidy; GST filing extension for the E-Commerce Framework (AKA: Netflix Tax reporting); 2022 TFSA limits announced; Transferring intangibles from proprietorship to corp; Home office: part-time vs full-time use of space; Informal expense reimbursements;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[32,16,6],"tags":[],"_links":{"self":[{"href":"https:\/\/canadiantaxpodcast.ca\/index.php\/wp-json\/wp\/v2\/posts\/106"}],"collection":[{"href":"https:\/\/canadiantaxpodcast.ca\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/canadiantaxpodcast.ca\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/canadiantaxpodcast.ca\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/canadiantaxpodcast.ca\/index.php\/wp-json\/wp\/v2\/comments?post=106"}],"version-history":[{"count":1,"href":"https:\/\/canadiantaxpodcast.ca\/index.php\/wp-json\/wp\/v2\/posts\/106\/revisions"}],"predecessor-version":[{"id":107,"href":"https:\/\/canadiantaxpodcast.ca\/index.php\/wp-json\/wp\/v2\/posts\/106\/revisions\/107"}],"wp:attachment":[{"href":"https:\/\/canadiantaxpodcast.ca\/index.php\/wp-json\/wp\/v2\/media?parent=106"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/canadiantaxpodcast.ca\/index.php\/wp-json\/wp\/v2\/categories?post=106"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/canadiantaxpodcast.ca\/index.php\/wp-json\/wp\/v2\/tags?post=106"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}