What is Considered Income For the Purposes of Establishing the Amount of Child Support Payable?
One of the most contentious issues when dealing with child support is establishing the income of the payor parent, that is, of the parent who is obligated to make the child support payments. The is a fair amount of misunderstanding about whether it is the gross income of the Payor (i.e. their income before taxes) which is used to establish the amount of child support payable, or, if it is their net income (that is, their income after taxes) that is used. The simple answer is that in most Canadian jurisdictions, and certainly in Manitoba, a Payor’s income for the purposes of determining child support is the number which appears on line 150 of their T1 General Income Tax Return. Financial Disclosure Because both Federal and Manitoba Child Support Guidelines are income driven, they contain extensive provisions for financial disclosure. Either parent can demand complete financial disclosure from the other annually. This financial disclosure can include: copies of tax returns and assessment
