I'm working towards the CPL (night rating for now). I talked to my CFI this week about the tax deductions process with Revenue Canada and he basically told me that I may get the credit only from the TRAINING portion of the CPL. That of course includes Dual with an instructor and all Solo work. Meaning if my CPL training is done at 120 hours then the rest is kind of lost...
My concern is to get a CPL you need 200 hrs TT, then why is the build-up time not included on the T11LB tax credit. I still consider that as training since the minimum requirement is 200 hours. If I want to work with only 120 hours for example, it will not grant me anything but the magic number 200 will...(not saying that I would get hired at 200 though!)
Doesn't seem very fair does it? I am currently building solo time for my Commercial and from what I was told by the Chief Flight Instructor at a flight school I was attending for my Private Licence is that your time building is looked at as you flying around for fun so can't claim that time. Now even the Chief Flight Instuctor told me that he didn't agree with that as you obviously need the 200 hour total for your Commercial but sadly that's the way it is. So basically all you can claim in you Commercial from what I am aware is the 35 hours dual and the 30 hours solo. The rest of you time building can't be claimed.
FE_PLT wrote:I'm working towards the CPL (night rating for now). I talked to my CFI this week about the tax deductions process with Revenue Canada and he basically told me that I may get the credit only from the TRAINING portion of the CPL. That of course includes Dual with an instructor and all Solo work. Meaning if my CPL training is done at 120 hours then the rest is kind of lost...
My concern is to get a CPL you need 200 hrs TT, then why is the build-up time not included on the T11LB tax credit. I still consider that as training since the minimum requirement is 200 hours. If I want to work with only 120 hours for example, it will not grant me anything but the magic number 200 will...(not saying that I would get hired at 200 though!)
Thanks.
Build Up Time is exactly what it's called, BUILD UP TIME. Training TIME is what's specified by our Authority, TC, and the commercial training time is 65 hours. That's it ! The PPL Training time is 45 hours.
Your build up time is NOT considered training, even though it should.
sorry if this is off topic, but couldn't you count the night flying towards the commercial time for the tax deductions? my reasoning is that, though it is called a "night rating", you are actually removing the "daylight flying only" restriction to your commercial licence....
Taxes are easy.
I just put all my money in a paper sack and mail it to Ottawa every year, and write
"Please give back what you don't want" in black felt pen on the outside of the sack.
I don't believe you can count MIFR as tax deductions because it is not career oriented. A Commercial license is career oriented and can thus have tax deductions. Or maybe I am confusing the career concept with the Student Loans?
I believe you can deduct taxes from night flying IF IT IS towards your CPL, because it is a requirement for CPL and is part of that 65 hours of CPL Training. Since CPL is tax deductible, so is your night rating.
I am not sure what the case would be if you're a PPL and get a night rating not oriented for your CPL.
E-Flyer wrote:I don't believe you can count MIFR as tax deductions because
Sure you can. Just like writing off your medical every year... no one is going to hire you without a multi-ifr.... the only thing is that you may have to prove that you need this to get a job... which... you can give phone numbers to just about any charter company at random and they will tell the Tax nuts this.
Your night rating is tax deductible, as is any other training. At the end of the day, it's whatever the CFI will sign off on the T11B.
Be prepared to send this form when you do your taxes... NO ONE at the tax and revenue agency knows squat about aviation... we're kind of a niche market, so they have to go by whatever the T11B states... mind you, if you're way higher than the general applicants, get ready for an audit.
E-Flyer wrote:I don't believe you can count MIFR as tax deductions because
Sure you can. Just like writing off your medical every year... no one is going to hire you without a multi-ifr.... the only thing is that you may have to prove that you need this to get a job... which... you can give phone numbers to just about any charter company at random and they will tell the Tax nuts this.
Your night rating is tax deductible, as is any other training. At the end of the day, it's whatever the CFI will sign off on the T11B.
Be prepared to send this form when you do your taxes... NO ONE at the tax and revenue agency knows squat about aviation... we're kind of a niche market, so they have to go by whatever the T11B states... mind you, if you're way higher than the general applicants, get ready for an audit.
I stand corrected then; yes it does makes sense that MIFR is a career oriented item.
I read the first reference, it kind of leads to a "no" for claiming the whole 200 hours, only the 65 training hours may qualify. But on the 2nd reference, the last sentence of the 4th para clearly says "Eligible tuition fees do not include costs or other fees incurred that relate to the use of an aircraft to get flying experience over and above the minimum hours required to obtain your rating or licence.". To me it means that all hours other than training may qualify as long as they are not above 200 hours in the case of CPL requirements. Am I right or not? It is so confusing, I talked to CRA for an hour today about it. The guy said I could claim it. Then my CFI doesn't want to include it on my TL11B because he interprets the other way. Not blaming him but why is this such a freaking nightmare. Why is CRA not for once giving out easy simple instructions on that matter. We are talking about roughly 3600$ on income tax refund in my situation. That's a lot!!!
I would like to know what you guys think...again sorry?
