What is new for 2016 Personal Taxes?
Canada child benefit (CCB) - As of July 2016, the CCB has replaced the Canada child tax benefit (CCTB), the national child benefit supplement (NCBS), and the universal child care benefit (UCCB).
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Northern resident’s deductions – The basic and additional residency amounts used to calculate the northern residency deduction have both increased to $11per day.
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Children’s arts amount – The maximum eligible fees per child (excluding the supplement for children with disabilities) has been reduced to $250. Both will be eliminated for 2017 and later years.
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Home accessibility expenses – You can claim a maximum of $10,000 for eligible expenses you incurred for work done or goods acquired for an eligible dwelling.
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Family tax cut – The family tax cut has been eliminated for 2016 and later years.
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Children’s fitness tax credit (lines 458 and 459) – The maximum eligible fees per child (excluding the supplement for children with disabilities) has been reduced to $500. Both will be eliminated for 2017 and later tax year.
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Eligible educator school supply tax credit – If you were an eligible educator, you can claim up to $1,000 for eligible teaching supplies expenses.
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Sale of principal residence – The sale of a principal residence must now be reported, along with any principal residence designation.
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Changes to the federal personal tax rates – 4% increase on incomes in excess of $200,000,
and 1.5% tax rate decrease on the 2nd income bracket, about $45K - $90K commencing January 1, 2016.
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33% federal donation tax credit will be available on donations greater than $200 made after 2015, for individuals with income greater than $200,000. All taxpayers will still receive a 15% federal donation tax credit on the first $200 of gifts. Taxpayers who do not have earnings in the top federal tax bracket of 33% will receive a 29% federal donation tax credit on gifts in excess of $200.
The education and textbook tax credits will be eliminated after 2016, although the tuition tax credit will remain available.
(BC ONLY) Back-to-School Tax Credit - a new non-refundable tax credit for parents of school age children to help with the cost of purchasing school supplies. The credit amount is $250 for each child, providing a tax benefit of up to $12.65 for each child. The credit is available for the 2016 to 2018 tax years.
You're eligible to claim the tax credit if you:
are a resident of B.C. on December 31 of the tax year,
are a parent of a child who is aged 4 to 16 at the beginning of the tax year, and
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no other individual has claimed the credit for that child.
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