Child Care Payments to a Relative Are Not Eligible for the Credit

question 8

True/False

Child care payments to a relative are not eligible for the credit for child and dependent care expenses if the relative is a child (under age 19) of the taxpayer.

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Definitions:

Capital Cost Allowance (CCA)

A yearly deduction or depreciation on the cost of certain assets that can be claimed for tax purposes in Canada.

Operating Cash Flow

Cash generated from the core business operations of a company, excluding financing and investment activities.

Sensitivity Analysis

A method employed to understand the effect of varying independent variable values on a specific dependent variable, considering certain assumptions.

Net Present Value (NPV)

The discrepancy between cash inflows' present value and cash outflows' present value during a defined timeframe.