Getting audited
Thread Starter
|
The Pacifier
Joined: Jan 2003
Posts: 8,245
Likes: 7
From: Cloverdale, BC
Getting audited
Hey everybody. As most of you know, I'm an apprentice Commercial Transport mechanic.
As an apprentice, I'm allowed to write off the tools I buy as long as I use them for work. Anyway, this whole "write off" thing came into effect for the 2002 Tax Season. I wrote off about $700 worth of tools in 2002, and $200 in 2003. For 2004 it'll be probably close to $3000, because I'm going to need a bigger tool box.
When I filed my return, my instructions were to have a "Form T2200" signed by my employer and kept on hand in case of an audit. They never said anything about keeping receipts, but I did anyway.
Well, today, I got a letter informing me they (Revenue Canada) want to "review" my return. I now have to send in the signed T2200, plus all my receipts, plus a list of tools purchased and signed by my employer, my apprenticeship agreement, start and completion date of my apprenticeship, and the calculation I used to come up with my magic number. They also do not want photocopies or charge card statements. They only want originals.
So I start looking around, finding receipts for 2002. I kept them all in one place, but I seem to have lost about half of them when we moved. I'll keep looking none the less.
I can understand the fact that they want to look at my records, and I know I'm supposed to keep my records for 7 years, but to lose some receipts through unforseen circumstances probably won't look too good. My saving grace will have to be the tool list. But if they wanted to audit me for 2002, they should have done it right away, not 2 years later. I mean, what's up with that? I know people who haven't filed a return in 5 years. Why don't they go after them and leave me alone?
Another thing. The receipts I have to send all have to fit into an envelope that just won't fit into it.
Sorry, had to rant.
As an apprentice, I'm allowed to write off the tools I buy as long as I use them for work. Anyway, this whole "write off" thing came into effect for the 2002 Tax Season. I wrote off about $700 worth of tools in 2002, and $200 in 2003. For 2004 it'll be probably close to $3000, because I'm going to need a bigger tool box.
When I filed my return, my instructions were to have a "Form T2200" signed by my employer and kept on hand in case of an audit. They never said anything about keeping receipts, but I did anyway.
Well, today, I got a letter informing me they (Revenue Canada) want to "review" my return. I now have to send in the signed T2200, plus all my receipts, plus a list of tools purchased and signed by my employer, my apprenticeship agreement, start and completion date of my apprenticeship, and the calculation I used to come up with my magic number. They also do not want photocopies or charge card statements. They only want originals.
So I start looking around, finding receipts for 2002. I kept them all in one place, but I seem to have lost about half of them when we moved. I'll keep looking none the less.
I can understand the fact that they want to look at my records, and I know I'm supposed to keep my records for 7 years, but to lose some receipts through unforseen circumstances probably won't look too good. My saving grace will have to be the tool list. But if they wanted to audit me for 2002, they should have done it right away, not 2 years later. I mean, what's up with that? I know people who haven't filed a return in 5 years. Why don't they go after them and leave me alone?
Another thing. The receipts I have to send all have to fit into an envelope that just won't fit into it.
Sorry, had to rant.
Posting Guru
Joined: Apr 2000
Posts: 1,428
Likes: 3
From: Summit, NJ
I guess for me if I am going to claim anything, I'll make sure I have any and all receipts filed away. Otherwise, all my receipts get shredded or tossed. If I kept every receipt I've ever spent money on it would be out of control! I've never been audited.. but I have been corrected once on a return. I made an error in some math and the state ended up oweing me a few bucks.
Thread
Thread Starter
Forum
Replies
Last Post
