What to do with coins?

[CNP]

I can't believe the premise of the OP.........coin deposit is taxable income

What will you do with your 6/49 winnings?

[Knot Rite]

Originally Posted by Red Bullets

Do like one old gal did... she put all her change over her lifetime into a good sized wooden barrel. Then the barrel of loose change was willed to her grand daughter. I know the granddaughter that received the barrel back in the 70's. Not sure how much money was in it. The barrel was too heavy to move without a dolly. The coins were all from the 1910's to the 1970's. 50 cent pieces, quarters, nickels and dimes. No pennies.

Now that would be a nice find.

Bobby

[Knot Rite]

Originally Posted by CNP

I can't believe the premise of the OP.........coin deposit is taxable income

What will you do with your 6/49 winnings?

Excuse my ignorance on Canadian taxes as I have not been here long.

Bobby

[sikwhiskey]

Do not ever give over bank statements to the CRA. Talk to a tax lawyer first.
I make regular deposits of all kinds of cash, selling of guns, dirtbikes, trailers, cars and trucks, sweat equity is not taxable. 2k in rolled change would go into account and I wouldn't bat an eye.

[troutbug]

Originally Posted by CNP

I can't believe the premise of the OP.........coin deposit is taxable income

What will you do with your 6/49 winnings?

Actually in Alberta you only pay tax on interest earned on winnings, not the winnings itself

[CNP]

Originally Posted by troutbug

Actually in Alberta you only pay tax on interest earned on winnings, not the winnings itself

No. It's Canada wide (not just AB). Defined by CRA.....not the province of AB.

[jednastka]

Unfortunately, many of the advice givers here commenting on CRA have never been audited. The CRA comes in with the attitude that there is something to find. If your record-keeping is not perfect, and I do mean perfect, they will consider the sloppiness as an indication that you have something to hide, and keep digging. Eventually, they will find something, and ding you. The first part is the tax owing that was not paid (calculated at the highest marginal rate you paid in that fiscal year), and then there is the penalty for not paying the tax, which is al most always 100% of the tax bill.

Yes, the chance of getting audited is quite slim, but once it starts, all transactions in the past 10 years are under the microscope.

Unless you have fully documented information, just pay the tax and penalty and move on. The only other option is to retain an accountant to do your taxes. Mine guarantees their work, and will pay any penalty calculated by CRA from their own pocket (you pay the tax owing).

How do I know; been there, done that.

[Bitumen Bullet]

Originally Posted by jednastka

Unfortunately, many of the advice givers here commenting on CRA have never been audited. ......
Yes, the chance of getting audited is quite slim, but once it starts, all transactions in the past 10 years are under the microscope.....

Yep, those who find the fence are the only ones to know they are in a cage.

[Bitumen Bullet]

People's normal and legal transactions get reported all the time, and can start a sequence of events you do not want started. Enforcement agents have a completely different idea of what is reasonable, sometimes even complete capitulation isn't reasonable enough.

As for reporting, the OP's transaction attempt is reportable.
http://www.fintrac.gc.ca/publication...2/2-eng.asp#s6

2. Who Must Report Suspicious Transactions?

If you are one of the following individuals or entities (called reporting entities), or you are an employee of such individual or entity, you must report suspicious transactions to FINTRAC.

2.1 Financial entities

Financial entities are banks....

3. What are Suspicious Transactions?
3.1 Reasonable grounds to suspect. Suspicious transactions are financial transactions that you have reasonable grounds to suspect are related to the commission of a money laundering offence. This includes transactions that you have reasonable grounds to suspect are related to the attempted commission of a money laundering offence.

3.2 Completed or attempted transactions. The requirement for you to report a suspicious transaction applies if you have reasonable grounds to suspect, as explained in subsection 3.1. This applies not only when the financial transaction has been completed, but also when it has been attempted.

6. Identifying Suspicious Transactions There is no monetary threshold for making a report on a suspicious transaction.

7. Examples of Common Indicators

The following are examples of common indicators that may point to a suspicious transaction,
7.1 General

Client is involved in transactions that are suspicious but seems blind to being involved in money laundering activities.

7.4 Cash transactions

Client frequently exchanges small bills for large ones.
Client uses notes in denominations that are unusual for the client, when the norm in that business is different.
Client presents notes that are packed or wrapped in a way that is uncommon for the client.
Client deposits musty or extremely dirty bills.
Client conducts a transaction for an amount that is unusual
Stated occupation of the client is not in keeping with the level or type of activity


Attempting to exchange an unusual number of coins for cash is reportable, even more so when not depositing and paying as suggested.

Also reportable are large deposits of small denominations, small deposits of large denominations, even extra cash payments on loans.

As more than one Canadian enforcement agent has pointed out, Criminals use cash or in this case coins. Which might explain why Canada has a reputation for not pursuing White Collar criminals, the real criminals that cost us more than billions of dollars.

[aulrich]

If you have not rolled them yet, look for anything 1967 and older. They range from 50-92% silver --Opps re read I would not want to un roll for the off chance

[amosfella]

Originally Posted by jednastka

Unfortunately, many of the advice givers here commenting on CRA have never been audited. The CRA comes in with the attitude that there is something to find. If your record-keeping is not perfect, and I do mean perfect, they will consider the sloppiness as an indication that you have something to hide, and keep digging. Eventually, they will find something, and ding you. The first part is the tax owing that was not paid (calculated at the highest marginal rate you paid in that fiscal year), and then there is the penalty for not paying the tax, which is al most always 100% of the tax bill.

Yes, the chance of getting audited is quite slim, but once it starts, all transactions in the past 10 years are under the microscope.

Unless you have fully documented information, just pay the tax and penalty and move on. The only other option is to retain an accountant to do your taxes. Mine guarantees their work, and will pay any penalty calculated by CRA from their own pocket (you pay the tax owing).

How do I know; been there, done that.

And if they don't find anything, they'll just make something up... I made around around $18K in 2008. Because my income changed drastically (I quit my job to help at home due to my dad being injured, farm and all) and they said that my income should be somewhere in the neighborhood of $100K. They assessed me on that number, and added penalties of 50%.

That's started an almost decade long war with them. Technically it's still unsettled.

[amosfella]

Further to my above post.

To do that audit, they were asking completely unreasonable questions that in realty are all but impossible to answer. How does one prove a negative???

That's started an almost decade long war with them. Technically it's still unsettled.

So, I've had my bank accounts seized, harassed by collection agents twice a week on the phone, had the collection agent calling everyone on my friends list on facebook and myspace to ask them to get me to call him to settle the issue so that he doesn't have to take me to court, etc., etc., etc...

And he'd waste hours of my time on the phone... He'd ask me when I was going to make a payment, and I'd tell him that I'd tell him that he had to provide me with certain information before I'd even consider it. And we'd go round and round that question and answer till he'd threaten to double the amount that I had to pay. And I'd question his authority to do that, and he'd get in a huff, and yell that he was going to put a lien on my car and on a tractor that he saw in a facebook post (Neither of which are mine. I just have use of them). I'd tell him to go do that so I the real owners could sue him personally for damages.

Then he'd go off about finding where I lived. My asking him if he wanted that info to come over for a romantic evening of gay sex really got him going... He couldn't find where I lived, so he was going to issue a search warrant for my parents' house to get the information... (I found out later, that he was probably trying to get the information to see if he could get an information seizure warrant).

Then there was other stuff he was trying to trick me with. Trying to get me all riled up to ask questions like, "Where do you do you banking?" So, I'd ask him what he wanted that information for... He'd say that it was to make things easier. I'd ask easier how?? He'd say so that it was easier to bring me into a state of compliance... I'd ask him what exactly that meant. He'd say the Income Tax Act. Then we'd start all over again about the information I required to even consider complying with the Act. That would make him mad, and he'd start up again with doubling what I 'owed' them...

Then CRA started to go after me about failure to file... Like I'm giving them more information when they took what I gave them last time and fabricated a case out of it. I've known a few guys with accounts in collections like that. They file, there's another audit, and another large account for collections. 3 guys I know have had that happen to them so far. One guy never learns and just filed again. What's happening? Another audit....

As for just paying them. Don't even bother suggesting that. With what I make these days, it'd take 5 years to pay the original assessment if I only worked, and didn't eat, drink, have power, heat, clothes, etc. For me, I'm now in a position that fighting is preferable to anything else. I can't afford court. I might be able to afford bankruptcy to get a clean slate... However, in looking at my files from CRA ATIP, I've been labled a 'tax protestor' due to questioning the assessment in appeals at CRA. No lawyer would help me because of that label. So, they're trying to corner me and a lot of others so they can't get any help. Sad thing is, I'm not the only one with a story like that.

So, for those of you who po po the OP's caution with those psychopathic, masochistic cowards with guns, think twice.

[Knot Rite]

Originally Posted by sikwhiskey

Do not ever give over bank statements to the CRA. Talk to a tax lawyer first.
I make regular deposits of all kinds of cash, selling of guns, dirtbikes, trailers, cars and trucks, sweat equity is not taxable. 2k in rolled change would go into account and I wouldn't bat an eye.

Interesting, I.m just held accountable on both side of the border.
I got the coin issue resolved and some things are just left better unsaid.
Appreciate the feedback and options. thanks.

Bobby

[ETOWNCANUCK]

A one time deposit
Big deal
I deposit hundreds of dollars a month called rent into mine and never worry about the taxman.

[Springerman]

Originally Posted by bat119

deposit to your account

income tax will not "audit" you for your coin collection

x`s two !! Just deposit IT , cra won`t bother you, if they did just tell them you deposited your coin savings.

That is unless you have constant large cash deposits.

[Sundancefisher]

Originally Posted by bat119

Deposit to your account

Income tax will not "audit" you for your coin collection

X2. Take a photo of all your rolled coins. You will likely never need to show it.