Acco340Lecture 2-3 - Employment Income

Stating above employment conditions and available if

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 (stating above employment conditions)    and available if requested by CRA                                                                                                           iii) Limitations                                                                                                                             Expenses claimed under ITA 8(1)(f)   can not exceed commission income ,   except       for CCA and /or       interest related to motor vehicles, aircrafts or musical instruments  which can be separately deductible under  ITA 8(1)(j     )     and Other expenses  deductible under  ITA 8(1)(i), both of which     can be applied against employment income  other than commissions . If expenses claimed under ITA 8(1)(f) exceed commission income,   the excess is not deductible          and lost  forever.   Alternatively,  allowable employment related expenses could be deducted under other provisions dealing with  general employment income .  Specifically,
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eg. i)  Travel expenses claimed under ITA 8(1)(h)     ii)  Motor vehicle expenses claimed under ITA 8(1)(h.1)-motor vehicle expenses other than CCA & interest In addition to provisions available to all employees not earning commission income (ie, no limitations):      iii) Motor vehicle expenses that are related to CCA & interest and are claimed under ITA8(1)(j); and                 iv) Other expenses as listed under ITA 8(1)(i)                                                                                                                                                    NOTE:  If a salesperson makes any claim under ITA 8(1)(f), then he cannot also claim any expense   under         the       general   employment   sections   ITA   8(1)(h)   and   ITA   8(1)(h.1).   Consequently,   a  salesperson  can claim expenses under ITA 8(1)(f) up to his commission income, plus expenses  under ITA 8(1)(j) and ITA 8(1)(i) that are not restrict to commission income Note : If total expenses of a salesman claimed under ITA 8(1)(f) are in excess of commission income,(and  therefore the excess is not deductible), then  an analysis has to be made as to whether more deductions will  be available if   ITA 8(1)(f) is not utilized .  ie, but instead claim expenses under the general employment sections  of  ITA 8 (1)(h) and (h.1) for travel & motor vehicle
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