Prime Minister Harper announces tax cuts and benefits for families

Macleod MP John Barlow

John Barlow, Member of Parliament for Macleod

I would like to highlight the recent announcements made by Prime Minister Stephen Harper to help make life more affordable for Canadian families with children. Our Government has unveiled new opportunities that are wonderful for Canadians, particularly for low and middle income families who will now see significant tax savings in 2015.

The announcements include:

• The Children’s Fitness Tax Credit will be doubled from $500 to $1000 for 2014 and subsequent tax years. The credit will be made refundable effective 2015 and subsequent years. This will increase benefits to low-income families claiming the credit.
• The Family Tax Cut, a federal tax credit that will allow a higher-income spouse to transfer up to $50,000 of taxable income to a spouse in a lower tax bracket. The credit will provide tax relief – capped at $2,000 – for couples with children under the age of 18, effective for the 2014 tax year. Income splitting is helping seniors across the country, which is why the Government is now proposing similar relief for families.
• Increasing the Universal Child Care Benefit (UCCB) for children under age six. As of January 1, 2015, parents will receive a benefit of $160 per month for each child under the age of six – up from $100 per month. In a year, parents will receive up to $1,920 per child.
• Expanding the Universal Child Care Benefit to children aged 6 through 17. As of January 1, 2015, under the expanded UCCB, parents will receive a benefit of $60 per month for children aged 6 through 17. In a year, parents will receive up to $720 per child. 
• Increasing the Child Care Expense Deduction dollar limits by $1,000, effective for the 2015 tax year. The maximum amounts that can be claimed will increase to $8,000 from $7,000 for children under age seven, to $5,000 from $4,000 for children aged seven through sixteen, and to $11,000 from $10,000 for children who are eligible for the Disability Tax Credit. 
• Families will be able to claim the Family Tax Cut in the spring of 2015 when they file their 2014 tax returns. They will begin to receive payments under the enhanced UCCB in July 2015. The July UCCB payment will include up to six months of benefits to cover the period from January through June 2015. The enhanced UCCB will replace the existing Child Tax Credit for the 2015 and subsequent taxation years. 

“With these initiatives, our Government seeks to help every family in Canada with children have more money in their pockets. We have balanced our budget, and now we are helping Canadian families balance theirs.” ~John Barlow, M.P. Macleod

For more information, please visit: http://pm.gc.ca/eng/news/2014/10/30/supporting-canadian-families .