Tax Review - CRA is asking why your parents are your dependents.

[jiejie]

Received a processing review from CRA, requesting an explanation why my parents are claimed as dependents.

Just got off the phone with a CRA agent. He explained that not speaking English/French is not a reason for parents to live with you to be dependents. They want to know what your parents' mental or physical infirmity causes them to live with you as dependents.

Have you been asked such question? What is considered eligible dependents? CRA's website (http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/ddctns/lns300-350/305/q7-eng.html) only sets some conditions about eligible dependents, but it does not include infirmity.

Anyone had similar issues before? How to explain this?

 

[jiejie]

This discussion seems to suggest that parents can be dependents?
http://bbs.comefromchina.com/threads/896902/

CRA
http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/ddctns/lns300-350/305/lgbl-eng.html
You may be able to claim this amount if, at any time in the year, you met all of the following conditions at once:

• You did not have a spouse or common-law partner or, if you did, you were not living with, supporting, or being supported by that person. (So if you lived with a spouse or common-law partner but not being supported by that person - does this mean that if you are financially independent you can still claim parents as dependent?)
• You supported a dependant in 2012. (Of course)
• You lived with the dependant (in most cases in Canada) in a home that you maintained. You cannot claim this amount for a person who was only visiting you. (Of course)

In addition, at the time you met the above conditions, the dependant must also have been either:

• your parent or grandparent by blood, marriage, common-law partnership, or adoption; or
• your child, grandchild, brother, or sister, by blood, marriage, common-law partnership, or adoption and under 18 years of age or has an impairment in physical or mental functions.