Child tax benefits – what you need to know

Woman writing 'back to school' on a chalkboard

September means back to school and all the expenses that come with it.

School supplies. Books. Clothing.

You may be counting on your Child Tax Benefit payment to assist with these expenses (like my parents did when I was a child.)

If so, there are 2 things you need to know.

1. Child Tax Benefit program changes effective July 1, 2016

The Canada Tax Benefit, National Child Benefit Supplement and the Universal Child Benefit have all been combined into one benefit called the Canada Child Benefit.

If you are a permanent resident of Canada, have a valid Social Insurance Number (SIN) and have children under 18 years of age the Federal Government will send you a tax-free monthly benefit. The amount is based on net income of both you and your spouse – including common-law spouses.

Want to know how much you are eligible to receive? Click here: Child and Family Benefits Calculator

2. You have to be up to date on your tax returns in order to collect your benefits

This merging of programs means that you must have filed all your previous years’ tax returns in order to receive your benefits.

If you’ve fallen behind, I can help you get caught up. Learn more about my tax return services

Did you know?

Did you know that you can claim a tax deduction up to $1,000 per child for expenses related to fitness and physical activity? Details are here: Children’s Fitness Tax Credit

You can also claim a tax deduction up to $500 per child for artistic, cultural, recreational, or developmental activity. See details here: Children’s Art Credit

There are changes coming to the Children’s Fitness Tax Credit and Children’s Art Credit for 2016 and 2017 taxation years, an update will be done later this year.

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