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Child and Family Benefit Programs Provided by Governments
On July 1, 2016, the UCCB and CCTB were replaced with the new Canada Child Benefit (CCB) providing monthly tax-free benefits that are tied to income. This was as per the Federal 2016 Budget.
The federal and provincial governments have benefit programs which provide additional income for families, and for low-income individuals. These programs include the following benefits.
Income Tax Act s. 122.6 - 122.63
The CCB, a tax-free monthly payment, provides a maximum benefit of $6,400* per child under 6 and $5,400* per child aged 6 through 17. The benefit is reduced when adjusted family net income is over $30,000*. There are different % rates of reduction depending on the number of children, and when adjusted family net income exceeds $65,000 the % rates of reduction change. Entitlement to the CCB for the July 2018 to June 2019 benefit year is based on adjusted family net income for the 2017 taxation year. The CCB will provide an additional Child Disability Benefit (CDB) amount of up to $2,730* per child eligible for the disability tax credit. The reduction of this additional amount based on income will be made in the same manner as the reduction to the CCTB. The additional amount will be included in the CCB payments made to eligible families.
* Indexation: As per the Federal 2018 Budget, the Canada Child Benefit amounts are indexed starting July 2018. The indexation uses the same factor as is used to index the personal income tax brackets, so for July 2018 the amounts will be increased by 1.5%.
For a family with 2 children under 6 and adjusted family net income of up to $30,000, the CCB would be $12,800 per year for July 2017 to June 2018. For adjusted family net income of $65,000*, the CCB is reduced from $12,800 (2 x $6,400) to $8,075. The benefit is reduced to zero at adjusted family net income of approximately $107,050.
Budget 2016 also proposed to allow a taxpayer to request retroactive payments of the CCB, CCTB or UCCB, with a 10 year time limit, as in the Taxpayer Relief Provisions, but in a slightly different manner. A retroactive payment request will be able to be made in respect of a month on or before the day that is 10 years after the beginning of that month, effective for requests made after June 2016.
See the CCB Calculator on the budget website to find out how much you will receive.
See Canada Revenue Agency's (CRA) Canada Child Benefit for more information.
- Online Child and Family Benefits Calculator to determine your eligibility for these programs.
For more government benefits and resources, federal and provincial/territorial, see our Government Benefits page.
Universal Child Care Benefit (UCCB) - no longer in effect
- taxable monthly payment, expanded and increased retroactive to Jan 1, 2015, replaced with Canada Child Benefit effective July 1, 2016.
The CCTB was a tax-free monthly payment made to eligible families to help them with the cost of raising children under age 18, and was replaced by the Canada Child Benefit (see above) effective July 1, 2016.
It appears that there was some confusion over the elimination of the Child Tax Credit for 2015, with some people thinking that the Canada Child Tax Benefit was being eliminated. This was not the case. The Child Tax Credit was a non-refundable tax credit claimed on the tax return, and its elimination was proposed by the October 2014 Federal Tax Update in conjunction with the increase in the UCCB.
Revised: May 23, 2018
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