new volunteer fireman's credit

If a volunteer fireman is issued a T4 with no Box 87, no CPP, no EI and only 10% income tax withheld; is it safe to assume that the, up to $1000 exemption, has already been removed from the amount in Box 14? New rules indicate that the sum of box 14 and box 87 is to be put into line 101 and then line 362 on S1 imputted with the $3000 credit whereas if there is no box 87, only box 14 is to be added to line 101 leading me to believe the exemption must already have been made?

Answer

If there is an amount in box 87 then the credit has already been taken.

Schedule 1: Lines 362 and 395 - Volunteer firefighters' (VFA) and search and rescue volunteers' amount (SRVA)

Entering this Amount
Schedule 1 - Line 362 - Volunteer firefighters' amount

To claim this credit, in Schedule 1 - Line 362, answer "Yes" to "Do you wish to claim this credit?"

Taxpayers who claim an income exemption from a public authority for carrying out volunteer firefighter duties (box 87 on T4 slips) are not eligible for this credit: they must choose either the firefighters' credit or the income exemption. If the taxpayer has an amount in Box 87 and answers "Yes" to Schedule 1 - Line 362, the amount in T4 - Box 87 will be added to the taxpayer's income.

To claim the income exemption instead, answer "No" in Schedule 1 - Line 362.

Was this answer helpful? Yes No

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: