5 Alberta Tax Credits That Could Help You Get Serious Cash Back This Year
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The Alberta Legislature. Right: A CRA tax form.
Tax season is almost upon us, and if you're already looking to get ahead, Alberta has some tax credits that are worth knowing about.
Sifting through endless receipts is no one's idea of fun, but as the cost of living gets more expensive, it's worthwhile checking where you can apply for any of these tax credits to get you some cash back.
You'll be able to start filing your taxes from February 20, and the deadline is April 30, 2023. However, as April 30 falls on a Sunday, your return will still be considered on time if the CRA receives it or it's postmarked on or before May 1.
Alberta Child and Family Benefit
If you're a parent of one or more children under the age of 18, you might be able to get some cash back in the form of the Alberta Child and Family Benefit.
The benefit is aimed at helping lower and middle-income families with children, and to qualify, you'll need to not only be a parent but have filed a tax return in Alberta and meet income criteria.
The amount you receive is based on your family's income and how many children you have, but the base rate for one child is $1,330. Payments are made by the CRA four times a year in February, May, August and November.
Film and Television Tax Credit
Work in production and want to use Alberta as a backdrop? You can actually apply for a tax credit to produce film and TV shows in the province. To be eligible, your production company must be making TV or movies that cost $499,999 or more in Alberta.
If you also have at least one Alberta-based producer and spend 60% of total production costs or 70% of production wages in the province, you could receive the full tax credit rate of 30%.
Innovation Employment Grant
Working for the next biggest Canadian start-up? You could apply for this grant to invest in research and development in Alberta.
It's designed to help small and medium businesses that aren't yet profitable, and eligible companies could get a grant worth up to 20% of "qualifying expenditures" for R&D investments, up to $4 million in annual R&D spending.
Canada Workers Benefit - Federal
Workers and families that are on a low income might be eligible for the Canada Workers benefit. If you earn a working income, you're a Canadian resident and you're 19 years old or older on December 31, or live with a spouse, common-law partner or child, you might just be eligible.
Single people could receive up to $1,395, and the amount is gradually reduced if their net income is more than $22,944. You also won't receive the basic amount if your net income is more than $32,244.
Canada Training Credit - Federal
This tax credit is there to help Canadians with the cost of eligible training fees.
To meet the criteria, you’ll need to be between 26 and 66 years old at the end of the year, be a resident of Canada throughout the year and file a tax return.
You'll also need to have a Canada training credit limit of more than zero for the year, paid tuition fees to an eligible institution, and the tuition and fees must be eligible for the existing tuition tax credit.
