Great news for Canada Revenue Agency (CRA) beneficiaries! The Canadian Government is set to enhance various benefits in July 2024 to help ease the financial burden for Canadians. This article cuts into the updated benefits and what they mean for recipients.
Updates
Starting in July 2024, the CRA will increase payments across several key benefits to support Canadians facing rising living costs. By modifying the benefit payments annually, the CRA ensures that financial assistance aligns with the increased cost of living. These adjustments are crucial for alleviating financial pressure on individuals and households across the country.
Benefits
The Canada Child Benefit (CCB) is a non-taxable monthly payment to assist households with the costs of raising children. Eligibility is determined by the Adjusted Family Net Income (AFNI), calculated and included in tax returns.
GST/HST Credit
The GST/HST Credit is a tax-free quarterly payment aimed at offsetting the GST/HST paid by individuals and families with low to moderate incomes. This credit is adjusted annually to reflect changes in living costs and income levels.
Advanced Canada Workers Benefit
The Advanced Canada Workers Benefit (ACWB) is a refundable tax benefit targeted at low-income earners. It aims to encourage workforce engagement and provide financial assistance to ensure stability.
Canada Carbon Rebate
The Canada Carbon Rebate (CCR), also known as the Climate Action Incentive Payment, helps mitigate the costs associated with federal pollution pricing, benefiting residents in specific provinces.
Additional Benefits
Apart from the primary benefits, individuals can opt for additional ones. For instance, the Home Buyers’ Plan allows first-time homebuyers to withdraw up to $35,000 tax-free from their registered retirement savings plans.
Eligibility
To qualify for the four CRA benefits, you need to meet specific eligibility requirements set by the CRA:
- Canada Child Benefit: All Canadian families with children under 18 qualify based on AFNI, using previous tax return data to calculate the amount.
- GST/HST Credit: Automatically assessed based on income tax returns, this credit benefits individuals and families with low to moderate earnings.
- Advanced Canada Workers Benefit: Available to low-income workers aged 19 or above, determined by income and residency status.
- Canada Carbon Rebate: Allocated to residents aged 19 or above living in designated provinces to ease the financial impact of carbon pricing.
It’s essential to file your taxes on time to ensure eligibility for these benefits, as the CRA automatically calculates entitlements.
Increment
Here’s a breakdown of the increments effective from July 2024:
- Canada Child Benefit: The highest annual benefit for children under 6 years old will rise to $7,786.92 from $7,437, providing additional financial relief for families with young children.
- GST/HST Credit: The maximum annual credit for single individuals will increase to $519 from $496, and for couples, it will rise to $680 from $650.
- Advanced Canada Workers Benefit: The maximum yearly benefit for single individuals will increase from $1,428 to $1,518, boosting support for essential expenses.
- Canada Carbon Rebate: A new rural supplement offering an additional 20% to qualifying rural residents will be introduced.
These increments by the CRA are designed to provide advanced support to citizens grappling with inflation and rising living costs.
Payment Dates
Knowing the payment dates for the four CRA benefits can ease your planning:
| CRA Benefit | Payment Date |
|---|---|
| Canada Child Benefit | 19 July 2024 |
| GST/HST Credit | 5 July 2024 |
| Advanced Canada Workers Benefit | 12 July 2024 |
| Canada Carbon Rebate | 15 July 2024 |
Other CRA benefits not part of the July 2024 updates include the Disability Tax Credit and homebuyer assistance programs like the Home Buyers’ Plan.
The updated benefits from the CRA are a welcome relief for many Canadians. By providing increased support, the government aims to help citizens navigate the financial challenges of rising living costs.
FAQs
What is the Canada Child Benefit increase in 2024?
The CCB for children under 6 will rise to $7,786.92.
When is the GST/HST Credit payment date?
The next payment is on 5 July 2024.
Who qualifies for the Advanced Canada Workers Benefit?
Low-income workers aged 19 or above qualify.
What is the new supplement in the Canada Carbon Rebate?
An additional 20% for qualifying rural residents.
How does one qualify for CRA benefits?
Eligibility is determined by tax returns and specific criteria set by the CRA.
