23 Oct 2012

Weird Canadian Tax write-offs #2

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Did you know?

After successfully writing off his gambling losses in 2002 and in 2003, Giuseppe Tarascio’s luck ran out when the Canada Revenue Agency (CRA) decided to disallow his losses and associated expenses. The CRA claimed that Tarascio had no “systematic method” for gambling and didn’t spend time honing his gambling skills. Furthermore, the test of whether or not gambling losses qualify as a tax deduction depends on whether it’s a personal or business activity. To date, the Tax Court of Canada views gambling as mainly a personal activity.