Our Government introduced the Family Tax Plan, which all families with children will benefit from. The new and enhanced tax credits and benefits include:
- The Children’s Fitness Tax Credit has doubled to $1,000 per child, starting in the 2014 tax year.
- The new Family Tax Cut, a non‑refundable tax credit of up to $2,000, is available to eligible couples with children under the age of 18.
- Increasing the Universal Child Care Benefit (UCCB) for children under age six. As of January 1, 2015, parents will receive a benefit of $160 per month for each child under the age of six – up from $100 per month. Parents will now receive $1,920 per child, per year.
- Expanding the UCCB to children aged six through 17. As of January 1, 2015, parents will receive a benefit of $60 per month for children aged six through 17. Parents will receive $720 per child, per year. Payments of the additional amount and expanded amount will start in July of 2015.
Priorities for Filing Season
Online filing – More than 80% Canadians are filing their tax returns online. It’s fast, easy and secure. The CRA uses the same high levels of security that your financial institution uses to protect your personal information.
E-payments – With e-payments and pre-authorized debit payments, individuals and businesses can pay any amount owing to the CRA.
Direct Deposit - The Government of Canada is switching to direct deposit payments. With direct deposit, all payments from different federal departments will be deposited directly into a taxpayer’s bank account. It’s a faster, more convenient, reliable, and secure way to get your income tax refund and your credit and benefit payments directly into your bank account.
The CRA has introduced a number of new e-services this tax filing season:
- Online Mail – On February 9th, the CRA will introduce online mail for individuals. When a taxpayer registers for online mail, they’ll have instant access to their tax records anytime, anywhere, and will receive an email notification when their Notice of Assessment or reassessment is available online. Taxpayers must be registered for My Account to view their online mail.
- MyCRA Mobile App – This month the CRA is launching a mobile app for individual taxpayers, My CRA, which provides users with easy, fast, secure access to their personal tax information.
- Streamlined My Account – Beginning this month, taxpayers who register for My Account will have quick access to personal tax information right away. There are just two easy steps:
- First, register online for My Account. You will have immediate access to view your notice of assessment, check the status of your return, change your email address, and view your RRSP deduction limit.
- Second, when your CRA security code arrives by mail, use it to gain access to the full suite of My Account services and get all your tax information at your fingertips.
For Tax Preparers:
- Tax Data Delivery – A new and secure service using EFILE certified software, Tax Data Delivery allows authorized representatives to electronically receive tax information from CRA to auto-populate sections of their client's income tax and benefit return.
- The Tax Data Delivery service can deliver tax information such as T4 slips, Home Buyers' Plan, tuition carryover amounts, and many more.
- Next year, we will expand the Tax Data Delivery service to individual taxpayers.
Tax measures introduced in Economic Action Plan 2014 (effective for 2014 tax return):
- Adoption expenses - The maximum amount of eligible expenses for each child has been increased to $15,000.
- GST/HST credit - You no longer have to apply for the Goods and Services Tax/Harmonized Sales Tax (GST/HST) credit. The CRA will determine your eligibility from your tax return and will advise those who are eligible to receive the credit.
- Medical expenses – New eligible medical expenses include:
- salary costs for designing of personalized therapy plans for persons eligible to claim the disability tax credit; and
- costs for service animals used to help manage severe diabetes.