Scenario : Individual pays the mortgage for the home owned by his father by depositing mortgage amount every month in his father's account. Tax Implications?

(1) Home Owned by Father Mr.A.Father's Salary is below 10K a year, hence can't afford to pay mortgage any more.

 (2) Mr.A's two single sons Mr. B and Mr.C lives with Mr.A in the same house mentioned in point (1) and helps their father by depositing every month in Mr. A's bank account $1K per month per son, so $2K per month in total. 

(3) No legal agreement - just a family situation. 

Questions :-

(1) Does Mr.A has to show rental income of $2K*12=$24K per annum

(2) Can Mr. B & Mr. C claim on ON-BEN trillium benefit for contribution made to the Mr.A

Response is much appreciated.


Thanks

SR

No answers have been posted

More Actions

People come to ProFile for help and answers—we want to let them know that we're here to listen and share our knowledge. We do that with the style and format of our responses. Here are five guidelines:

  1. Keep it conversational. When answering questions, write like you speak. Imagine you're explaining something to a trusted friend, using simple, everyday language. Avoid jargon and technical terms when possible. When no other word will do, explain technical terms in plain English.
  2. Be clear and state the answer right up front. Ask yourself what specific information the person really needs and then provide it. Stick to the topic and avoid unnecessary details. Break information down into a numbered or bulleted list and highlight the most important details in bold.
  3. Be concise. Aim for no more than two short sentences in a paragraph, and try to keep paragraphs to two lines. A wall of text can look intimidating and many won't read it, so break it up. It's okay to link to other resources for more details, but avoid giving answers that contain little more than a link.
  4. Be a good listener. When people post very general questions, take a second to try to understand what they're really looking for. Then, provide a response that guides them to the best possible outcome.
  5. Be encouraging and positive. Look for ways to eliminate uncertainty by anticipating people's concerns. Make it apparent that we really like helping them achieve positive outcomes.

Select a file to attach: