Child Support Guidelines

Regulation

Registration: R-138-98
Source: Unofficial consolidation PDF (justice.gov.nt.ca)
Under: Children's Law Act

This is an unofficial reading copy parsed from the Department of Justice consolidation PDF above — itself an office consolidation, not an official statement of the law. The authoritative text is in the Revised Statutes of the Northwest Territories, 1988 and the annual Statutes volumes.

s.2 amended by R-015-2002,s.2
s.2 amended by R-033-2006,s.2
s.9 amended by R-015-2002,s.3
s.9 amended by R-033-2006,s.3
s.14 amended by R-015-2002,s.4
s.16 amended by R-015-2002,s.5
s.16 amended by R-033-2006,s.4
s.17 amended by R-015-2002,s.6
s.19 amended by R-015-2002,s.7
s.20 amended by R-033-2006,s.5
s.21 amended by R-015-2002,s.8
s.26 amended by R-015-2002,s.9
s.27 repealed by R-033-2006,s.6
s.sched_B amended by R-015-2002, art. 10
s.sched_B amended by R-033-2006, art. 7
s.sched_C amended by R-015-2002,s.11
s.sched_C amended by R-033-2006,s.8. Territorial Printer, Northwest Territories Yellowknife, N.W.T./2006©

Cites

Cited by

None.

Contents

1. 1 2. 2 3. 3 4. 4 5. 5 6. 6 7. 7 8. 8 9. 9 10. 10 11. 11 12. 12 13. 13 14. 14 15. 15 16. 16 17. 17 18. 18 19. 19 20. 20 21. 21 22. 22 23. 23 24. 24 25. 25 26. 26 27. Repealed SCHEDULE SCHEDULE B SCHEDULE C

The Commissioner, on the recommendation of the Minister, under section 85 of the Children’s Law Act, S.N.W.T. 1997, c.14 and every enabling power, makes the Child Support Guidelines.

OBJECTIVES

The objectives of these guidelines are

(a) to establish a fair standard of support for children that ensures that they benefit from the financial means of each parent;

(b) to reduce conflict and tension between parents by making the calculation of support for children more objective;

(c) to improve the efficiency of the legal process by giving courts, parents and other parties to a support application guidance in setting the levels of support for children and encouraging settlement; and

(d) to ensure consistent treatment of parents and children who are in similar circumstances.

INTERPRETATION

(1) In these guidelines,

"Act" means the Children’s Law Act; (Loi)

"applicable table" means the table determined under subsection 4(3); (table applicable)

"Canada Revenue Agency" means the body corporate continued under the name of the Canada Revenue Agency by subsection 4(1) of the Canada Revenue Agency Act (Canada); (Agence du revenu du Canada)

"child support order" means

(a) an order for the support of a child made under subsection 59(1) of the Act,

(b) an interim order made under subsection 59(3) of the Act,

(d) an order referred to in section 63 of the Act, where an application is made to vary such an order under subsection 61(2) of the Act; (ordonnance alimentaire)

"income" means the annual income determined under sections 15 to 20; (revenu)

"parental or separation agreement" means a parental agreement or separation agreement as defined in section 2 of the Family Law Act or an agreement or contract deemed to be a domestic contract under section 13 of the Family Law Act that is similar in nature to a parental agreement or separation agreement; (accord parental ou de séparation)

"table" means a federal child support table set out in Schedule I of the Federal Child Support Guidelines made under the Divorce Act, as adopted by section 3. (table)

(2) Words and expressions that are used in sections 15 to 21 and Schedules B and C and that are not defined in this section have the meanings assigned to them under the Income Tax Act (Canada).

(3) Where, for the purposes of these guidelines, an amount is to be determined on the basis of specified information, the most current information must be used.

(4) These guidelines apply, with such modifications as the circumstances require, to an application for any of the following:

(a) an order for the support of a child under subsection 59(1) of the Act;

(b) an interim order under subsection 59(3) of the Act;

R-015-2002,s.2; R-033-2006,s.2.

Schedule I of the Federal Child Support Guidelines made under the Divorce Act, as that Schedule is amended from time to time, is adopted with the changes set out in Schedule A.

General

(1) Unless these guidelines provide otherwise, the amount of support for a child who is a minor or for children who are minors is

(a) the amount set out in the applicable table, according to the number of minor children to whom the order will relate and the income of the parent from whom support is sought; and

(b) the amount, if any, determined under section 9.

(2) Unless these guidelines provide otherwise, the amount of support for a child who has attained the age of majority or for children who have attained the age of majority is

(a) the amount determined by applying these guidelines as if the child were a minor or the children were minors; or

(b) if the court considers that approach to be inappropriate, the amount that the court considers appropriate, having regard to the condition, means, needs and other circumstances of the child or children and the financial ability of each parent to contribute to the support of the child or children.

(3) The applicable table is,

(a) if the parent from whom support is sought resides in Canada,

(i) the table for the province or territory in which that parent ordinarily resides at the time the application for the child support order, or for an order varying a child support order, is made,

(ii) where the court is satisfied that the province or territory in which that parent ordinarily resides has changed since the time described in subparagraph (i), the table for the province or territory in which that parent ordinarily resides at the time the amount of support is determined, or

(iii) where the court is satisfied that, in the near future after the amount of support is determined, that parent will ordinarily reside in a certain province or territory other than the province or territory in which the parent ordinarily resides at the time of the determination, the table for the other province or territory; and

(b) if the parent from whom support is sought resides outside of Canada, or if the residence of that parent is unknown, the table for the province or territory where the person making the application for the child support order, or for an order varying a child support order, ordinarily resides at the time the application is made.

More Than One Payor

Where, on an application for support by a person other than a parent of the child for whom support is sought, a court orders more than one parent to provide support for the child, the amount of support for the child is, in respect of each parent, the amount determined in accordance with these guidelines.

Incomes Over $150,000

Where the income of the parent from whom support is sought is over $150,000, the amount of support for a child or for children is

(a) the amount determined under section 4; or

(b) if the court considers that amount to be inappropriate,

(i) in respect of the first $150,000 of the parent’s income, the amount set out in the applicable table for the number of minor children to whom the order will relate;

(ii) in respect of the balance of the parent’s income, the amount that the court considers appropriate, having regard to the condition, means, needs and other circumstances of the child or children who are entitled to support and the financial ability of each parent to contribute to the support of the child or children; and

(iii) the amount, if any, determined under section 9.

Person Standing in the Place of a Parent

Where a person from whom support is sought stands in the place of a parent for a child, the amount of support for a child is, in respect of that parent, such amount as the court considers appropriate, having regard to these guidelines and any other parent’s legal duty to support the child.

Medical and Dental Insurance

In making a child support order, where medical or dental insurance coverage for the child is available to a parent who is a party to the application through his or her employer or otherwise at a reasonable rate, the court may order that coverage be acquired or continued.

Special or Extraordinary Expenses

(1) In a child support order the court may, on the application of a parent or another party to the application, provide for an amount to cover all or any portion of the following expenses, taking into account the necessity of the expense in relation to the child’s best interests and the reasonableness of the expense in relation to the means of the parents and those of the child and, if the parents lived together with the child, to the family’s spending pattern before the separation:

(a) child care expenses incurred as a result of the employment, illness, disability or education or training undertaken to gain employment of the person who has lawful custody of the child or with whom the child lives;

(b) that portion of the medical and dental insurance premiums attributable to the child;

(c) health-related expenses that exceed insurance reimbursement by at least $100 annually, including orthodontic treatment, professional counselling provided by a psychologist, social worker, psychiatrist or any other person, physiotherapy, occupational therapy, speech therapy and prescription drugs, hearing aids, glasses and contact lenses;

(d) extraordinary expenses for primary or secondary school education or for any other educational programs that meet the child’s particular needs;

(e) expenses for post-secondary education;

(f) extraordinary expenses for extracurricular activities.

(1.1) For the purposes of paragraphs (1)(d) and (f), the term "extraordinary expenses" means

(a) expenses that exceed those that the spouse requesting an amount for the extraordinary expenses can reasonably cover, taking into account that spouse’s income and the amount that the spouse would receive under the applicable table or, where the court has determined that the table amount is inappropriate, the amount that the court has otherwise determined is appropriate; or

(b) where paragraph (a) is not applicable, expenses that the court considers are extraordinary taking into account

(i) the amount of the expense in relation to the income of the spouse requesting the amount, including the amount that the spouse would receive under the applicable table or, where the court has determined that the table amount is inappropriate, the amount that the court has otherwise determined is appropriate,

(ii) the nature and number of the educational programs and extracurricular activities,

(iii) any special needs and talents of the child or children,

(iv) the overall cost of the programs and activities, and

(v) any other similar factor that the court considers relevant.

(2) The guiding principle in determining the amount of an expense referred to in subsection (1) is that the expense is to be shared by the parents in proportion to their respective incomes after deducting from the expense, the contribution, if any, from the child.

(3) In determining the amount of an expense referred to in subsection (1), the court must take into account any subsidies, benefits or income tax deductions or credits relating to the expense, and any eligibility to claim a subsidy, benefit or income tax deduction or credit relating to the expense.

(4) An expense referred to in subsection (1) may be estimated. R-015-2002,s.3; R-033-2006,s.3.

Split Custody

10.

Where each parent has custody of one or more children for whom the parents are both legally responsible, the amount of support for a child or children is the difference between the amount that each parent would otherwise pay if support were sought from each of the parents.

Shared Custody

11.

Where a parent exercises an entitlement to access to, or has physical custody of, a child for not less than 40% of the time over the course of a year, the amount of support for the child must be determined by taking into account

(a) the amounts set out in the applicable tables for each of the parents who exercises such access or custody;

(b) the increased costs of shared custody arrangements; and

Undue Hardship

12.

(1) A court may, on application, award an amount of support that is different from the amount determined under any of sections 4 to 7, 10 or 11 where the court finds that a parent of the child in respect of whom the application is made, or the child in respect of whom the application is made, would otherwise suffer undue hardship.

(2) Circumstances that may cause a parent or child to suffer undue hardship include the following:

(a) the parent has responsibility for an unusually high level of debts reasonably incurred

(i) to support the parents and their children before the separation, if the parents lived together with the child, or

(ii) to earn a living;

(b) the parent has unusually high expenses in relation to exercising access to a child for whom the parents are both legally responsible;

(d) the parent has a legal duty to support a child, other than a child for whom the parents are both legally responsible, who is

(i) a minor, or

(ii) the age of majority or over, but who is unable, by reason of illness, disability, pursuit of reasonable education or other cause, to withdraw from a parent’s charge;

(e) the parent has a legal duty to support any person who is unable to obtain the necessaries of life due to an illness or disability.

(3) Notwithstanding a determination of undue hardship under subsection (1), an application under that subsection must be denied by the court if it is of the opinion that the household of the parent or child in respect of whom undue hardship is claimed would, after determining the amount of support under any of sections 4 to 7, 10 or 11, have a higher standard of living than the household of the other person with whom the standard of living is compared.

(4) In comparing standards of living for the purpose of subsection (3), the court may use the comparison of household standards of living test set out in Schedule B.

(5) Where the court awards a different amount of support under subsection (1), it may specify, in the child support order, a reasonable time for the satisfaction of any obligation arising from circumstances that have caused or are causing undue hardship and the amount of support payable at the end of that time.

(6) A court shall provide written reasons for its decision where the court makes a child support order in a different amount under subsection (1).

INFORMATION TO BE SPECIFIED IN ORDER

13.

A child support order must include the following information:

(a) the name and birth date of each child to whom the order relates;

(b) the income of any parent whose income is used to determine the amount of support;

(d) the amount determined under paragraph 4(2)(b), if any, for a child who has attained the age of majority;

(e) the particulars of any expense referred to in subsection 9(1), the child to whom the expense relates and the amount of the expense or, where that amount cannot be determined, the proportion to be paid in relation to the expense;

(f) the date on which the lump sum or first payment is payable and the day of the month or other time period on which all subsequent payments are to be made.

VARIATION OF CHILD

SUPPORT ORDERS

14.

For the purposes of subsection 61(2) of the Act, any one of the following constitutes a change in circumstances that gives rise to the making of a variation order in respect of a child support order:

(a) where the amount of child support sought to be varied includes a determination made in accordance with the applicable table, any change in circumstances that would result in a different child support order or provision of the child support order;

(b) where the amount of child support sought to be varied does not include a determination made in accordance with an applicable table, any change in the condition, means, needs or other circumstances of a parent or of any child who is entitled to support;

INCOME

Determination of Annual Income

15.

(1) Subject to subsection (2), a parent’s annual income must be determined by the court in accordance with sections 16 to 20.

(2) Where all the parties to an application agree in writing on the annual income of a parent, the court may consider that amount to be the parent’s income for the purposes of these guidelines if the court thinks that the amount is reasonable having regard to the income information provided under section 21.

Calculation of Annual Income

16.

Subject to sections 17 to 20, a parent’s annual income is determined using the sources of income set out under the heading "Total Income" in the T1 General form issued by the Canada Revenue Agency and is adjusted in accordance with Schedule C. R-015-2002,s.5; R-033-2006,s.4.

Pattern of Income

17.

(1) If the court is of the opinion that the determination of a parent’s annual income under section 16 would not be the fairest determination of that income, the court may have regard to the parent’s income over the last three years and determine an amount that is fair and reasonable in light of any pattern of income, fluctuation in income or receipt of a non- recurring amount during those years.

(2) Where a parent has incurred a non-recurring capital or business investment loss, the court may, if it is of the opinion that the determination of the parent’s annual income under section 16 would not provide the fairest determination of the annual income, choose not to apply sections 6 and 7 of Schedule C, and adjust the amount of the loss, including related expenses and carrying charges and interest expenses, to arrive at such amount as the court considers appropriate. R-015-2002,s.6.

Shareholder, Director or Officer

18.

(1) Where a parent is a shareholder, director or officer of a corporation and the court is of the opinion that the amount of the parent’s annual income as determined under section 16 does not fairly reflect all the money available to the parent for the payment of support under the Act, the court may consider the situations described in section 17 and determine the parent’s annual income to include

(a) all or part of the pre-tax income of the corporation, and of any corporation that is related to that corporation, for the most recent taxation year; or

(b) an amount commensurate with the services that the parent provides to the corporation, provided that the amount does not exceed the corporation’s pre-tax income.

(2) In determining the pre-tax income of a corporation for the purposes of subsection (1), all amounts paid by the corporation as salaries, wages or management fees, or other payments or benefits, to or on behalf of persons with whom the corporation does not deal at arm’s length must be added to the pre-tax income, unless the parent establishes that the payments were reasonable in the circumstances.

Imputing Income

19.

(1) The court may impute such amount of income to a parent as it considers appropriate in the circumstances, which circumstances include the following:

(a) the parent is intentionally under-employed or unemployed, other than where the under-employment or unemployment is required by the needs of a child for whom the parents are both responsible or any minor child or by the reasonable educational or health needs of the parent;

(b) the parent is exempt from paying federal or provincial income tax;

(c) the parent lives in a country that has effective rates of income tax that are significantly lower than those in Canada;

(d) it appears that income has been diverted which would affect the level of support to be determined under these guidelines;

(e) the parent’s property is not reasonably utilized to generate income;

(f) the parent has failed to provide income information when under a legal obligation to do so;

(g) the parent unreasonably deducts expenses from income;

(h) the parent derives a significant portion of income from dividends, capital gains or other sources that are taxed at a lower rate than employment or business income or that are exempt from tax;

(i) the parent is a beneficiary under a trust and is or will be in receipt of income or other benefits from the trust.

(2) For the purpose of paragraph (1)(g), the reasonableness of an expense deduction is not solely governed by whether the deduction is permitted under the Income Tax Act (Canada). R-015-2002,s.7.

Non-resident

20.

(1) Subject to subsection (2), where a spouse is a non-resident of Canada, the spouse’s annual income is determined as though the spouse were a resident of Canada.

(2) Where a spouse is a non-resident of Canada and resides in a country that has effective rates of income tax that are significantly higher than those applicable in the province in which the other spouse ordinarily resides, the spouse’s annual income is the amount that the court determines to be appropriate taking those rates into consideration. R-033-2006,s.5.

INCOME INFORMATION

Obligation to Provide

Information Respecting Income

21.

(1) A person who is applying for a child support order must include the following with the application where information about that person’s income is necessary to determine the amount of the order:

(a) a copy of every personal income tax return filed by the person for each of the three most recent taxation years;

(b) a copy of every notice of assessment and re-assessment issued to the person for each of the three most recent taxation years;

(c) where the person is an employee, the most recent statement of earnings indicating the total earnings paid in the year to date, including overtime or, where such a statement is not provided by the employer, a letter from the person’s employer setting out that information including the person’s rate of annual salary or remuneration;

(d) where the person is self-employed, for the three most recent taxation years,

(i) the financial statements of the person’s business or professional practice, other than a partnership, and

(ii) a statement showing a breakdown of all salaries, wages, management fees or other payments or benefits paid to, or on behalf of, persons or corporations with whom the person does not deal at arm’s length;

(e) where the person is a partner in a partnership, confirmation of the person’s income and draw from, and capital in, the partnership for its three most recent taxation years;

(f) where the person controls a corporation, for its three most recent taxation years,

(i) the financial statements of the corporation and its subsidiaries, and

(ii) a statement showing a breakdown of all salaries, wages, management fees or other payments or benefits paid to, or on behalf of, persons or corporations with whom the corporation, and every related corporation, does not deal at arm’s length;

(g) where the person is a beneficiary under a trust, a copy of the trust settlement agreement and copies of the trust’s three most recent financial statements;

(h) in addition to any income information that must be included under paragraphs (c) to (g), where the parent receives income from employment insurance, social assistance, a pension, workers’ compensation, disability payments or any other source, the most recent statement of income indicating the total amount of income from the applicable source during the current year, or if such a statement is not provided, a letter from the appropriate authority stating the required information.

(2) A person who is served with an application for a child support order must provide the court and the other parties to the application with the documents referred to in paragraphs (1)(a) to (h), where information about that person’s income is necessary to determine the amount of the order.

(3) Where, in the course of proceedings in respect of an application for a child support order, a parent requests an amount to cover expenses referred to in subsection 9(1), that parent must provide the court and the other parties to the application with the documents referred to in paragraphs (1)(a) to (h).

(4) Where, in the course of proceedings in respect of an application for a child support order, a person pleads undue hardship, the person who is or would be receiving the amount of support must provide the court and the other parties to the application with the documents referred to in paragraphs (1)(a) to (h).

(5) Where, in the course of proceedings in respect of an application for a child support order, it is established that the income of a parent who would be paying the support is greater than $150,000, the other parties to the application must provide the court and the other parties to the application with the documents referred to in paragraphs (1)(a) to (h).

(6) The documents to be provided under subsections (2) to (5) must be provided within 30 days after the application is served, the amount is sought or undue hardship is pleaded or the income is established to be greater than $150,000, as the case may be, if the person who must provide the documents resides in Canada or the United States or within 60 days if the person resides elsewhere, or such other time limit as the court specifies.

(7) Where the Minister responsible for the Social Assistance Act is a party to an application for a child support order, this section applies, with such modifications as the circumstances require, to the parent who has, is or will be receiving assistance under that Act and does not apply to the Minister. R-015-2002,s.8.

Making of Rules Not Precluded

22.

Nothing in section 21 precludes the making of rules by the Supreme Court respecting the disclosure of information about a person’s income that is considered necessary for the purposes of determining the amount of support for a child.

Failure to Comply

23.

(1) Where a person fails to comply with section 21, another party to the application may apply

(a) to have the application for a child support order set down for a hearing, or move for judgment; or

(b) for an order requiring the person who failed to comply to provide the court and the other parties to the application with the required documents.

(2) Where a court makes an order under paragraph (1)(a) or (b), the court may award costs in favour of a party to the application up to an amount that fully compensates that party for all costs incurred in the proceedings.

Adverse Inference

24.

Where the court proceeds to a hearing on the basis of an application under paragraph 23(1)(a), the court may draw an adverse inference against the person who failed to comply and impute income to that person in such amount as it considers appropriate.

Failure to Comply with Court Order

25.

Where a person fails to comply with an order issued on the basis of an application under paragraph 23(1)(b), the court may

(a) strike out any of the person’s pleadings;

(b) make a contempt order against the person;

(c) proceed to a hearing, in the course of which it may draw an adverse inference against the person and impute income to that person in such amount as it considers appropriate; and

(d) award costs in favour of another party to the application up to an amount that fully compensates the other party for all costs incurred in the proceedings.

Continuing Obligation to Provide

Information Respecting Income

26.

(1) Every parent against whom a child support order has been made must, on the written request of a payee, not more than once a year after the order is made and as long as the child is a child as defined in section 57 of the Act, provide the payee with

(a) the documents referred to in paragraphs 21(1)(a) to (h) for any of the three most recent taxation years for which the parent has not previously provided the documents;

(b) as applicable, any current information, in writing, about the status of any expenses included in the order under subsection 9(1); and

(c) as applicable, any current information, in writing, about the circumstances relied on by the court in a determination of undue hardship.

(2) Where a court has determined that the parent from whom support is sought does not have to pay support because his or her income level is below the minimum amount required for application of the tables, that parent must, on the written request of a payee, not more than once a year after the determination and as long as the child is a child as defined in section 57 of the Act, provide the payee with the documents referred to in paragraphs 21(1)(a) to (h) for any of the three most recent taxation years for which the parent has not previously provided the documents.

(3) Where the information about the income of a payee is used to determine the amount of support for a child, the payee must, not more than once a year after the order is made and as long as the child is a child as defined in section 57 of the Act, on the written request of any person who was a party to the application for support, provide that person with the documents and information referred to in paragraphs (1)(a) to (c).

(4) Where a person requests information from another person under any of subsections (1) to (3) and the information of the requesting person was used to determine the amount of support for a child, the requesting person must include the documents and information referred to in subsection (1) with the request.

(5) A person who receives a request made under any of subsections (1) to (3) must provide the required documents within 30 days after the receipt of the request if the person resides in Canada or the United States and within 60 days after the receipt of the request if the person resides elsewhere.

(6) Unless there is evidence to the contrary, a request made under any of subsections (1) to (3) is deemed to have been received 21 days after it is sent.

(7) A court may, on application by any person who was a party to the application for a child support order or an assignee, where another party has failed to comply with any of subsections (1) to (3),

(a) consider the other party to be in contempt of court and award costs in favour of the applicant up to an amount that fully compensates the applicant for all costs incurred in the proceedings; or

(b) make an order requiring the other party to provide the required documents to the court, as well as to the applicant.

(8) A provision in a judgment, order or agreement purporting to limit a person’s obligation to provide documents under this section is unenforceable.

(9) In this section,

"assignee" means the Minister referred to in subsection 60(3) of the Act to whom a child support order is assigned; (cessionnaire)

"payee" means

(a) the person to whom support is payable or would be payable if an order for child support were made, or

(b) where the person to whom support is or would be payable is the Minister responsible for the Social Assistance Act,

(i) the parent or person who has lawful custody of the child or with whom the child lives, or

(ii) if there is no person as referred to in subparagraph (i), the child. (bénéficiaire)

R-015-2002,s.9.

27.

Repealed, R-033-2006,s.6.

SCHEDULE

CHANGES TO SCHEDULE

1. In the notes to Schedule I, Federal Child Support Tables,

(a) "province" shall be read as "province or territory"

(b) "spouse" shall be read as "person"; and

SCHEDULE B

(Subsection 12(4))

COMPARISON OF HOUSEHOLD STANDARDS OF LIVING TEST

DEFINITIONS

1. In this Schedule,

"household" means (a) where the standard of living of the household of a parent is to be compared, collectively, the parent and any of the following persons residing with the parent: (i) any person who has a legal duty to support the parent or whom the parent has a legal duty to support, (ii) any person who shares living expenses with the parent or from whom the parent otherwise receives an economic benefit as a result of living with that person, if the court considers it reasonable for that person to be considered part of the household, (iii) any child whom a parent or person described in subparagraph (i) or (ii) has a legal duty to support; or (b) where the standard of living of the household of a child is to be compared, collectively, the child and any of the following persons residing with the child: (i) any person who has custody of the child; (ii) any person who has a legal duty to support a person described in subparagraph (i) or whom a person described in subparagraph (i) has a legal duty to support, (iii) any person whom the child has a legal duty to support, (iv) any person who shares living expenses with the child or from whom the child otherwise receives an economic benefit as a result of living with that person, if the court considers it reasonable for that person to be considered part of the household, (v) any child whom a person described in subparagraph (i), (ii), (iii) or (iv) has a legal duty to support; (ménage)

"taxable income" means the annual taxable income determined using the calculations required to determine "Taxable Income" in the T1 General form issued by the Canada Revenue Agency. (revenu imposable)

TEST

2. The comparison of household standards of living test is as follows:

STEP 1

Establish the annual income of each person in each household by applying the formula

A - B - C

where

A is the person’s income determined in accordance with sections 15 to 20 of these guidelines,

B is the federal and provincial or territorial taxes payable on the person’s taxable income, and

C is the person’s source deductions for premiums paid under the Employment Insurance Act and contributions made to the Canada Pension Plan and the Quebec Pension Plan.

Where the information on which to base the income determination is not provided, the court may impute income in the amount it considers appropriate.

STEP 2

Adjust the annual income of each person in each household by (a) deducting the following amounts, calculated on an annual basis: (i) any amount relied on by the court as a factor that resulted in a determination of undue hardship, except any amount attributable to the support of a member of the household that is not incurred due to a disability or serious illness of that member, (ii) the amount that would otherwise be payable by the person in respect of a child to whom the order will relate, if the pleading of undue hardship was not made, (A) under the applicable table, or (B) as is considered by the court to be appropriate, where the court considers the table amount to be inappropriate, (iii) any amount of support that is paid by the person under a judgment, an order or a parental or separation agreement, except (A) an amount already deducted under subparagraph (i), and (B) an amount paid by the person in respect of a child to whom the order referred to in subparagraph (ii) will relate; and (b) adding any amount, calculated on an annual basis, that would otherwise be receivable by the person in respect of a child to whom the order will relate, if the pleading of undue hardship was not made, (i) under the applicable table, or (ii) as is considered by the court to be appropriate, where the court considers the table amount to be inappropriate.

STEP 3

Add the amounts of adjusted annual income for all the persons in each household to determine the total household income for each household.

STEP 4

Determine the applicable low-income measures amount for

Low-income

Household Size

One person 1 adult

Two persons 2 adults 1 adult and 1 child

Three persons 3 adults 2 adults and 1 child 1 adult and 2 children

Four persons 4 adults 3 adults and 1 child 2 adults and 2 children 1 adult and 3 children

Five persons 5 adults 4 adults and 1 child 3 adults and 2 children 2 adults and 3 children 1 adult and 4 children

Six persons 6 adults 5 adults and 1 child 4 adults and 2 children 3 adults and 3 children 2 adults and 4 children 1 adult and 5 children

Seven persons 7 adults 6 adults and 1 child 5 adults and 2 children 4 adults and 3 children 3 adults and 4 children 2 adults and 5 children 1 adult and 6 children

ÉTAPE 4

Déterminer, pour chaque ménage, la mesure de faible revenu

Tableau de mesures

Taille du ménage

Une personne 1 adulte

Deux personnes 2 adultes 1 adulte et 1 enfant

Trois personnes 3 adultes 2 adultes et 1 enfant 1 adulte et 2 enfants

Quatre personnes 4 adultes 3 adultes et 1 enfant 2 adultes et 2 enfants 1 adulte et 3 enfants

Cinq personnes 5 adultes 4 adultes et 1 enfant 3 adultes et 2 enfants 2 adultes et 3 enfants 1 adulte et 4 enfants

Six personnes 6 adultes 5 adultes et 1 enfant 4 adultes et 2 enfants 3 adultes et 3 enfants 2 adultes et 4 enfants 1 adulte et 5 enfants

Sept personnes 7 adultes 6 adultes et 1 enfant 5 adultes et 2 enfants 4 adultes et 3 enfants 3 adultes et 4 enfants 2 adultes et 4 enfants 1 adulte et 6 enfants Household Size

Eight persons 8 adults 7 adults and 1 child 6 adults and 2 children 5 adults and 3 children 4 adults and 4 children 3 adults and 5 children 2 adults and 6 children 1 adult and 7 children

STEP 5

Divide the total household income (Step 3) by the low-income for each household.

STEP 6

Compare the household income ratios. The household that

R-015-2002,s.10; R-033-2006,s.7. Taille du ménage

Huit personnes 8 adultes 7 adultes et 1 enfant 6 adultes et 2 enfants 5 adultes et 3 enfants 4 adultes et 4 enfants 3 adultes et 5 enfants 2 adultes et 6 enfants 1 adulte et 7 enfants

ÉTAPE 5

Calculer, pour chaque ménage, le ratio de revenu total du ménage l’étape 3 par la mesure de faible revenu déterminée à l’étape

ÉTAPE 6

Comparer les ratios de revenu des ménages, le ménage ayant le plus élevé.

R-015-2002, art. 10; R-033-2006, art. 7.

SCHEDULE C

(Section 16)

ADJUSTMENTS TO INCOME

Employment Expenses

1. Where the parent is an employee, the parent’s applicable employment expenses described in the following provisions of the Income Tax Act (Canada) are deducted: (a) Repealed, R-015-2002,s.11(2). (b) paragraph 8(1)(d) concerning expenses of teacher’s exchange fund contribution; (c) paragraph 8(1)(e) concerning expenses of railway employees; (d) paragraph 8(1)(f) concerning sales expenses; (e) paragraph 8(1)(g) concerning transport employee’s expenses; (f) paragraph 8(1)(h) concerning travel expenses; (f.1) paragraph 8(1)(h.1) concerning motor vehicle travel expenses; (g) paragraph 8(1)(i) concerning dues and other expenses of performing duties; (h) paragraph 8(1)(j) concerning motor vehicle and aircraft costs; (i) paragraph 8(1)(l.1) concerning Canada Pension Plan contributions and Employment Insurance Act premiums paid in respect of another employee who acts as an assistant or substitute for the parent; (j) paragraph 8(1)(n) concerning salary reimbursement; (k) paragraph 8(1)(o) concerning forfeited amounts; (l) paragraph 8(1)(p) concerning musical instrument costs; (m) paragraph 8(1)(q) concerning artists’ employment expenses.

Child Support

2. Deduct any child support received that is included to determine total income in the T1 General form issued by the Canada Revenue Agency.

Spousal Support

3. (1) To calculate income for the purpose of determining an amount under an applicable table, deduct the spousal support received from another party to the application.

(2) To calculate income for the purpose of determining an amount under section 9 of these guidelines, deduct the spousal support paid to another party to the application.

Social Assistance

4. Deduct any amount of social assistance income that is not attributable to the parent.

Dividends from Taxable Canadian Corporations

5. Replace the taxable amount of dividends from taxable Canadian corporations received by the parent by the actual amount of those dividends received by the parent. Capital Gains and Capital Losses

6. Replace the taxable capital gains realized in a year by the parent by the actual amount of capital gains realized by the parent in excess of the parent’s actual capital losses in that year.

Business Investment Losses

7. Deduct the actual amount of business investment losses suffered by the parent during the year.

Carrying Charges

8. Deduct the parent’s carrying charges and interest expenses that are paid by the parent and that would be deductible under the Income Tax Act (Canada).

Self-employment Income

9. Where the parent’s net self-employment income is determined by deducting an amount for salaries, benefits, wages or management fees, or other payments, paid to or on behalf of persons with whom the parent does not deal at arm’s length, include that amount, unless the parent establishes that the payments were necessary to earn the self-employment income and were reasonable in the circumstances.

10. Where the parent reports income from self-employment that, in accordance with sections 34.1 and 34.2 of the Income Tax Act (Canada), includes an additional amount earned in a prior period, deduct the amount earned in the prior period, net of reserves.

Capital Cost Allowance for Property

11. Include the parent’s deduction for an allowable capital cost allowance with respect to real property.

Partnership or Sole Proprietorship Income

12. Where the parent earns income through a partnership or sole proprietorship, deduct any amount included in income that is properly required by the partnership or sole proprietorship for purposes of capitalization.

Employee Stock Options

13. (1) Where the parent has received, as an employee benefit, options to purchase shares of a Canadian-controlled private corporation, or a publicly traded corporation that is subject to the same tax treatment with reference to stock options as a Canadian-controlled private corporation, and has exercised those options during the year, add the difference between the value of the shares at the time the options are exercised and the amount paid by the parent for the shares, and any amount paid by the parent to acquire the options to purchase the shares, to the income for the year in which the options are exercised.

(2) If the parent has disposed of the shares during a year, deduct from the income for that year the difference determined under subsection (1).