Canada Revenue Agency



Canada Revenue Agency

January 30, 2014 11:58 ET

Tax Tip/Life Events: Having a Baby

OTTAWA, ONTARIO--(Marketwired - Jan. 30, 2014) -

Did you know?

If you have a new baby or have a baby on the way, there are plenty of credits and benefits you may be entitled to receive.

Important facts

- Automated Benefits Application - Save time and paperwork! When registering the birth of your newborn, you can also consent to use the Automated Benefits Application (ABA), which allows you to automatically apply for child tax benefits at the same time. If you consent to use the ABA on your child's birth registration form, you will be applying for:

-- the Canada child tax benefit (CCTB);

-- the universal child care benefit (UCCB); and

-- any related provincial/territorial programs.

Explanations of these benefits are provided below.

- My Account - you can also apply to receive your Canada child and family benefits by using the Apply for child benefits service through My Account or you can apply by downloading and mailing Form RC66, Canada Child Benefits Application to your tax centre.

- Canada child tax benefit (CCTB) - The CCTB is a tax-free monthly payment made to eligible families to help them with the cost of raising children under 18 years of age.

- Universal child care benefit (UCCB) - If you have children under 6 years of age, you may be eligible to receive $100 per month per child. You should apply for this as soon as possible after the birth of your child.

- Provincial and territorial programs - Most provinces and territories have child and family benefit and credit programs that combine with your Canada child tax benefit and the goods and services tax/harmonized sales tax (GST/HST) credit. Check out your options.

- GST/HST credit -- Families with low or modest incomes can receive this tax-free quarterly payment to offset some of the GST/HST they pay. Apply for this credit when you file your income tax and benefit return every year.

- Working income tax benefit (WITB) - Low-income families that are in the workforce can claim this refundable tax credit to get personal tax relief. You can claim the WITB on line 453 of your tax return if you meet all the eligibility criteria.

- Disability amount - The disability amount is a non-refundable tax credit that a person with a severe and prolonged impairment in physical or mental functions can claim to reduce the amount of income tax he or she has to pay in a year.

- Child disability benefit (CDB) - The CDB is a tax-free benefit for families who care for a child under age 18 who is eligible for the disability tax credit.

- Registered education savings plan (RESP) - You can start saving for your child's future now. An RESP is a contract between you (the subscriber) and another individual or organization (the promoter) that allows you to make contributions toward your child's future education. Programs such as the Canada education savings grant (CESG) and the Canada learning bond (CLB) are other great incentives to create an RESP for your child.

For more information on child and family benefits, go to www.cra.gc.ca/benefits.

Canada Revenue Agency (CRA) online services make filing easier and let you get your refund faster

The CRA's online services are fast, easy, and secure. You can use them to file your income tax and benefit return, make a payment, track your refund, and more. Sign up for direct deposit too! Your refund and any benefit or credit payments owed to you will be deposited directly into your account, putting your money in your pocket faster. For more information, go to www.cra.gc.ca/getready.

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Contact Information

  • Noel Carisse
    Media Relations
    Canada Revenue Agency
    613-952-9184