anyone knows what this new Climate Action Incentive $444 is at the 2019 T4 return?

[sabad66]

if i ever get some free time i'd like to do an analysis to see how much my family pays into the carbon tax over the year to see if this covers that. Would be interesting to know if we come out ahead or not.

Should be pretty straight forward to find direct costs as i believe its only applied to gas and my utility bill.

indirect costs of carbon tax such as higher food prices, etc would be pretty much impossible to figure out though.

[Xtrema]

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exactly, I read that already.

so anyone of us who lives in Alberta, obviously CDN resident, gets $444? that's what it sounds like. It seems too good to be true

1 per household, so physical address is required. And not everyone lives in AB is an Canadian resident.

This is only for provinces that doesn't have its own carbon tax scheme and have federal back stop applied.

As someone who doesn't make minimum wage (yet), this is more generous than NDP's scheme. But my folks who are on retirement, they lose 1/2 the rebate they used to get under NDP.

And this isn't automatic like NPD scheme, you have to fill out correct form. So I assume there will unclaimed funds.

More on this:
https://www.cbc.ca/news/canada/calga...rbon-1.5408874

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if i ever get some free time i'd like to do an analysis to see how much my family pays into the carbon tax over the year to see if this covers that. Would be interesting to know if we come out ahead or not.

Should be pretty straight forward to find direct costs as i believe its only applied to gas and my utility bill.

indirect costs of carbon tax such as higher food prices, etc would be pretty much impossible to figure out though.

Works out about $200-$300 for gasoline for 2 cars and $110-$200 on natural gas to heat house per year. So $888/family of 4 is a lot of free $ for everyone and @benyl is laughing all the way to the bank with 2 Model 3s.

[sabad66]

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1 per household, so physical address is required.

Where are people seeing one per household/address?

I read it as only 1 person per family can claim it, yet that person can claim amounts for spouse/kids. So it just all goes on 1 person's tax return instead of split up for each person. Probably better this way especially if you have kids since they wouldn't file a return.

also since its per family and not address, i would think that in theory if you had two families living in one house (i.e. a basement suite), head of family on both could claim it.

[killramos]

Nothing like the Liberals and the CRA to unnessecarily complicate our taxation even further.

[firebane]

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interesting, didn't know about this credit.

this info link makes it seem like its per person not household:
https://www.canada.ca/en/revenue-age...incentive.html


i'm reading that this refund is refundable, which means you would see the money even if you didn't have any taxes to apply against

https://www.canada.ca/content/dam/cr...4-fill-18e.pdf

Read this link: https://www.canada.ca/en/revenue-age...incentive.html

The climate action incentive (CAI) payment consists of a basic amount and a 10% supplement for residents of small and rural communities. This payment may reduce your amount payable or increase your refund when you file your income tax and benefit return.

It can increase or decrease your tax return.

[sabad66]

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Read this link: https://www.canada.ca/en/revenue-age...incentive.html



It can increase or decrease your tax return.

Tax credits can be either refundable or nonrefundable. Nonrefundable means it can only be applied against tax liability and anything unused is lost. Refundable means that it first goes against tax liability and anything extra would be refunded. So if it’s refundable and you had no income, you would still get the credit.

It doesn’t say nonrefundable anywhere on there

[hurrdurr]

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Where are people seeing one per household/address?

I read it as only 1 person per family can claim it, yet that person can claim amounts for spouse/kids. So it just all goes on 1 person's tax return instead of split up for each person. Probably better this way especially if you have kids since they wouldn't file a return.

also since its per family and not address, i would think that in theory if you had two families living in one house (i.e. a basement suite), head of family on both could claim it.

Went on Simple tax and got this:

Only one person per family (you or Wife's name) can claim the climate action incentive payment. If you won't claim this credit, please delete this section from your return.

[sabad66]

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Works out about $200-$300 for gasoline for 2 cars and $110-$200 on natural gas to heat house per year. So $888/family of 4 is a lot of free $ for everyone and @benyl is laughing all the way to the bank with 2 Model 3s.

only 1 car and we don't drive much as i take the bus downtown, so in my family's case we could be way ahead if i use those average numbers.

thanks for the free $ trudeau!

- - - Updated - - -

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Went on Simple tax and got this:

Only one person per family (you or Wife's name) can claim the climate action incentive payment. If you won't claim this credit, please delete this section from your return.

yeah so it has nothing to do with address or physical house. it's one per family and that person can claim their entire family together.

[Darell_n]

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only 1 car and we don't drive much as i take the bus downtown, so in my family's case we could be way ahead if i use those average numbers.

thanks for the free $ trudeau!

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yeah so it has nothing to do with address or physical house. it's one per family and that person can claim their entire family together.

I guess your bus rides are free then?

[killramos]

lol @ people who think the Carbon tax doesn’t affect them, Carbon tax is a tax on everything.

[sabad66]

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I guess your bus rides are free then?

i think bus passes are $5 higher this year than last, so i guess its fair to add $60 in direct costs assuming the entire bus pass increase was only because of carbon tax.

either way i already mentioned that indirect extra costs are tough to figure out. i'm sure this is being studied now by some university somewhere.

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indirect costs of carbon tax such as higher food prices, etc would be pretty much impossible to figure out though.

[Xtrema]

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Where are people seeing one per household/address?

I read it as only 1 person per family can claim it, yet that person can claim amounts for spouse/kids. So it just all goes on 1 person's tax return instead of split up for each person. Probably better this way especially if you have kids since they wouldn't file a return.

also since its per family and not address, i would think that in theory if you had two families living in one house (i.e. a basement suite), head of family on both could claim it.

Well I would assume that given this is only available to 4 provinces, a proof primary residency may be required on the form or at least during audit?

But I guess per address may be a stretch on my part since I forgot that there are multi-generation family that could reside in the same address for some cultures. So may be there will be 2-3 households under the same address.

[killramos]

I feel like the residency thing has been abundantly taken care of when you declare your primary residence province for the rest of your taxes lol.

[370Z]

Damn, thanks beyond, found an extra $666 today.

Would rather not pay the tax in the place though but this makes it less painful.

[Disoblige]

I think the only reason anyone might miss this is if they do their taxes manually with no software.
But on that note, I did not know about it until now so it will be something I'll make sure to be aware of when I do my taxes.

Edit: Quick Summary

For residents of Alberta, the proposed Climate Action Incentive payment amounts for 2020 are as follows:

$444 for a single adult or the first adult in a couple.
$222 for the second adult in a couple. Single parents will receive this amount for their first child.
$111 for each child in the family (starting with the second child for single parents).

Examples:
- Andrew and Ann, who have two young children, live in Edmonton. They decide that Ann will be the parent claiming the Climate Action Incentive payment for their family when she files her 2019 tax return in early 2020. She will claim $444 for herself, $222 for Andrew, and $111 for each child, for a total amount of $888. She will see this full amount when her tax return is assessed.

- Eva is a single mother who lives in Youngstown with her five-year-old son. Under the Climate Action Incentive payments, Eva will claim $444 for herself and $222 for her son when she files her 2019 tax return in early 2020, for a total Climate Action Incentive payment of $666. Given that the family lives in a small or rural community, Eva will indicate on her tax return that her family qualifies for the small and rural communities supplement, meaning that their payment will be boosted by 10 per cent. As a result, Eva will see an amount of $733 when her tax return is assessed.

[Chandler_Racing]

$976.80 of claw back.

Now if we could refund the stolen taxes on the highest marginal federal (33%) and provincial (15%) it would be appreciated and we can all be friends again.

[ExtraSlow]

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That's how I interpreted it too, but according to nzwasp that's not how it is?
So $444 for your wife, $222 from you (spouse) and $111 from each kid? That seems insane

So I was wrong, it appears to be exactly this, as my family of four is apparently getting $888. That is madness, but obviously I'm taking it.

[A790]

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So I was wrong, it appears to be exactly this, as my family of four is apparently getting $888. That is madness, but obviously I'm taking it.

How is this madness? This was discussed from day one re: the carbon tax...

[ExtraSlow]

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How is this madness? This was discussed from day one re: the carbon tax...

I'm not saying that there's any calculation error or that this isn't what was promised. I'm saying, if you believe a carbon tax is a good method to change peoples behaviour, then it has to be high enough that it causes paid, and there can be no rebates or reductions of that pain, or the behaviour will have no incentive to change. Just shuffling money around with a carbon tax is a method of wealth redistribution and NOT a credible environmental policy.

[blownz]

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So I was wrong, it appears to be exactly this, as my family of four is apparently getting $888. That is madness, but obviously I'm taking it.

I was so surprised the Liberal's didn't put an income cap on this. It is not often you get anything extra from the government so I will take it as well. Although, the money is coming from somewhere, and it is the businesses that are paying the carbon tax with no refund so you know eventually you will be paying all of that out in some fashion.