|
T1
401 Bankruptcy
  Self-employed income in pre-bankruptcy generates an incorrect carryforward in post-bankruptcy |
| Program(s) affected: |
T1 |
 |
Document created: |
02 25, 2013 |
| Tax year(s): |
2012 |
Document last modified: |
|
| Version(s): |
16.01, 16.10 |
Problem status: |
Fixed in v16.11 |
|
My client went bankrupt, and when I review the carryforwards of pre-bankruptcy amounts to post-bankruptcy, the amount carried forward under the keyword
PreBank-Fed for QPP (or CPP) pensionable employment earnings is not consistent with the employment earnings during the pre-bankruptcy. Why is that?
The program carries forward the CPP/QPP net pensionable self-employed earnings during pre-bankruptcy to two locations instead of one in the
post-bankruptcy. As a workaround, please substitute the carryforward amount in the keyword PreBank-Fed , for option "CPP - Pensionable employment earnings"*
with the appropriate amount (for instance, if the taxpayer had no pensionable employment income in the pre-bankruptcy, then the amount will be $ 0).
* For Quebec residents, the option would read "QPP - Pensionable employment earnings".
|