2022 tax returns: new tax measures to know

Tax season has begun and taxpayers should familiarize themselves with some new features.< /p>

The Canada Revenue Agency refunded a total of nearly $37 billion to Canadians in 2022.< /p>

Housing allowance, first home buyer's tax credit, dental benefit for children under 12 are all news measures regarding Canadians' wallets.

The first thing you need to know is that Canadians must pay their taxes by April 30, but since that date falls on a Sunday this year, a return will be considered to have been filed on time if the Canada Revenue Agency (CRA) receives it on Monday, May 1, 2023.

On the Internet, a payment will be considered made on time if the CRA receives it or if it is processed by a Canadian financial institution on or before May 1, 2023. By mail, a tax return will be deemed filed on time if its postmark indicates May 1 or earlier.

The CRA notes that an electronic return filed on time is generally processed within two weeks. If you signed up for direct deposit, you could receive your refund in eight business days.

If you have a modest income, a simple tax situation, and need help, a Community Volunteer Income Tax Program volunteer may be able to complete your tax returns for free. For Quebec taxpayers, it's here.

The CRA also offers to learn how to complete your tax return yourself. Find government documentation at this address.

The government has implemented a one-time payment of $500 to help low-income tenants. Applications are open until March 31, 2023.

• Have filed a 2021 income tax return;
• Be at least 15 years old on December 1, 2022;
• Be a resident of Canada for tax purposes 2022;
• Have an adjusted family net income of $20,000 or less for individuals or $35,000 or less for families;
• Have contributed at least 30% of 2021 adjusted family net income on 2022 rent for principal residence in calendar year 2022;
• Be able to provide its address in 2022 and the contact details of its owner.

It there are measures to help first-time buyers save in the current inflationary environment.

Ottawa is taking steps to help first-time home buyers save enough to put down a down payment in the face of sky-high home prices.

The First Time Home Buyers Tax Credit increased from $5,000 to $10,000 in 2022. This is a first time homebuyer credit. x27;non-refundable federal tax intended to offset the costs of buying a first home. This decision will allow first-time buyers to receive up to $1,500 in tax refunds on the purchase of their first home.

Also, a self-help savings account. First-Time Home Buyers' Tax (TFSA) was added in 2023. The account will allow prospective first-time home buyers to save $8,000 per year for five years, for a total of $40,000 $ not taxable.

The Canada Dental Benefit is the result of an agreement between the New Democratic Party and the minority Liberal government.

The Interim Canada Dental Benefit is now available to eligible families earning less than $90,000 per year. It is for parents or guardians of children under the age of 12 receiving dental services in Canada who do not have access to a private dental insurance plan.

Parents can obtain an amount ranging from $260 to $650 per child, depending on the level of net family income.

To be eligible for the northern residents deductions, you must permanently live in a northern area, for example.

The CRA has set up a pilot project to make it easier for residents of remote areas to determine the cost of the most economical return tickets, one of the three amounts required to claim a deduction for travel expenses. Ticket prices are compiled on this government page.

This pilot project is not a tax relief as such, but it could simplify obtaining a deduction.

For 2022 and subsequent years, the annual home accessibility spending limit has increased from $10,000 to $20,000. People 65 and older and people with disabilities can claim a tax credit of up to $1,500.

This tax credit is for expenses related to renovating or modifying a dwelling to make it accessible and safe for the occupant. Full details are here.

Also, for 2021 and future years, a person diagnosed with type 1 diabetes is now deemed to have met the requirements for life-sustaining therapeutic care, twice a week and 14 hours a week.

This last measure is part of the tax credit for people with disabilities.

To view other tax credits and benefits for individuals, visit the CRA website.