From: AlanBaggett@volcanomail.com   
      
   Tax time 2015: tax benefits for parents can add up to big savings : CRA SOTW   
      
   From family tax cuts to learning bonds, children entitle you to a bevy of   
   benefits and deductions   
      
   CBC NewsPosted: Mar 02, 2015 5:00 AM ET   
      
   The Harper government's new family tax cut credit, which takes effect in the   
   2014 tax year, may be getting all the attention this tax season, but there are   
   many other deductions and benefits to take advantage of if you have children.   
      
   Ottawa paid out $13.1 billion in child tax benefits and universal child care   
   benefits in the 2013-2014 fiscal year. To ensure you're getting your share of   
   those advantages, review our checklist of the things you should be doing when   
   it comes to your kids    
   and taxes.   
      
   1. Claim birth-related medical costs    
   Claim on your return such expenses as a nurse's pre-natal care or other costs   
   not covered by medicare.    
      
   2. Apply for Canada child benefits   
   In most provinces and territories, you can apply for child benefits (see   
   below) at the same time as you register a birth -- if you are the birth mother   
   and a resident of one of those provinces or territories. The information will   
   be sent electronically    
   to the Canada Revenue Agency.   
      
   3. Use the family tax cut credit   
   In late October 2014, the Harper government announced a family tax cut credit   
   that would allow eligible parents with at least one child under the age of 18   
   to effectively shift up to $50,000 of taxable income from the higher-earning   
   spouse or common-law    
   partner to the lower-earning one. The maximum credit is $2,000, and it's in   
   effect for the 2014 tax year.    
      
   4. Apply for a social insurance number for your child   
   New parents need a SIN for their offspring to take advantage of benefits and   
   programs to encourage education savings, including:   
      
   Students attending university or college can claim their tuition and other   
   educated-related expenses or transfer some amounts to a parent, grandparent,   
   spouse or common-law partner. (Darryl Dyck/Canadian Press)   
      
   A registered education savings plan (RESP): Parents, other family members and   
   friends can contribute to an RESP as a way of saving funds for a child's   
   post-secondary education. You don't get a tax deduction on the contribution,   
   but the income earned once    
   the money is inside the RESP is not taxed until it is paid out to the   
   beneficiary, who is the one to pay the tax. The federal government also   
   contributes to an RESP in the form of grants. Having an RESP can qualify you   
   for:    
      
   The Canada Learning Bond: For children born after 2003 whose family is   
   receiving the national child benefit supplement, the federal government will   
   contribute $500 to an RESP to help cover the costs of a post-secondary   
   education. There is no requirement    
   for any contribution from the parents. Ottawa will continue to contribute $100   
   for each year that the family qualifies for the supplement up to age 15 and to   
   a total maximum of $2,000.    
      
   The Canada Education Savings Grant: The federal government kicks in 20 cents   
   for every $1 of the first $2,500 saved in an RESP each year. Depending on the   
   family income, the government might also provide an extra 10 or 20 cents on   
   every $1 of the first $   
   500 saved annually in an RESP. The grant has a maximum lifetime limit of   
   $7,200 and is paid out up until the end of the calendar year the child turns   
   17.   
      
   5. Claim all federal and provincial credits and deductions you can   
      
   Child tax credit: In the 2014 tax year, the federal credit is $2,255 for each   
   child under 18, which works out to tax savings of around $338 per child.    
      
   Children's fitness credit: This credit doubles for the 2014 tax year. Claim up   
   to $1,000 annually in sports and fitness activity fees per child under the age   
   of 16, resulting in a maximum savings of $150 per child. The credit will be   
   refundable as of the    
   2015 tax year, meaning that families with lower incomes will be able to fully   
   benefit from it. The program must last at least eight weeks and be weekly; if   
   it's a sports- or fitness-related day camp, it must run for at least five   
   consecutive days.    
      
   Children's arts tax credit: Claim up to $500 annually for children who were   
   younger than 16 at the beginning of the year (or younger than 18 if disabled)   
   and who took part in an eligible program of artistic, cultural, recreational   
   or developmental    
   activity. Besides traditional arts programs, this also includes such   
   activities as academic tutoring, language lessons and Scout and Girl Guide   
   programs.    
      
   Child care deduction: This is a deduction (as opposed to a tax credit) so it   
   lowers your taxable income. The parent with the lower income claims $7,000 for   
   each child under seven, $4,000 for children age seven to 16, and $10,000 for   
   children eligible for    
   the disability tax credit. You must provide a receipt from the care provider.   
   As of the 2015 tax year, all of these dollar limits increase by $1,000.    
      
   Universal child care benefit: All families, regardless of income, are eligible   
   to receive $100 each month per child under six. As of Jan. 1, 2015, UCCB   
   payments to children under six will increase to $160 a month. There will also   
   be a new benefit of $60    
   a month for children age six to 17, also effective Jan. 1, 2015. But the   
   enhanced benefits won't be paid until July 2015, so parents will get a   
   retroactive payment then. Because of the enhancements to the UCCB, the child   
   tax credit will be eliminated as    
   of the 2015 tax year. Note that the Canada child tax benefit (see below) has   
   not changed. Apply using the Canada child benefits application.    
      
   Canada child tax benefit: The eligibility and amount of this tax-free monthly   
   benefit for each child under 18 is determined by family net income, province   
   of residence and number of children. If you file late, payment may be   
   temporarily put on hold as    
   the amount is based on income reported on your annual tax returns. The child   
   tax credit is indexed to inflation and new rates take effect July 1 of each   
   year.    
      
   National child benefit supplement: This is a federal supplement that tops up   
   the Canada child tax benefit for low-income families with children under 18.   
   Families get a monthly payment of $186.75 for the first child; $165.17 for the   
   second child; and $   
   157.16 for the third child. The supplement is reduced if the family's net   
   income is more than $25,584 and could affect social assistance benefits since   
   many provinces and territories treat it as income.    
      
      
   [continued in next message]   
      
   --- SoupGate-Win32 v1.05   
    * Origin: you cannot sedate... all the things you hate (1:229/2)