Hi, trying to understand the purpose (advantages and/or disadvantanges if any) of Question IT7 of individual Tax Returns. This question appears to confuse many people and hopefully this will assist to clarify some confusion for others. It would be appreciated if some detailed information regarding same was provided. Below is the query and thank you in advance for your assistance.
If one party has been paying the yearly assessed Child Support amount to the other party, whether via private or auto debit services (managed by Child Support), does Question IT7 require the total yearly assessed amount paid entered. If so, what is the purpose for the question and entering the amount?
If the amount does not have any impact on the tax return what/where is the information used for? ( ie: child support assessment / medicare levi / medicare surcharge / other?)
Thank you