Enhanced UCCB Deadline Extension – Balancing the Budget and Supporting Canadian FamiliesMay 4, 2015
Enhanced UCCB deadline extension – If You have not previously applied for the CCTB or UCCB for some or all of your children.
You will need to apply for the enhanced UCCB before May 15 to ensure timely delivery of the benefit.
The federal budget is balanced. This is a significant achievement. Canada is the first G7 country to balance its books, has the lowest debt-to-GDP ratio in the G7 and has the best job creation record.
Notably, this has been accomplished while significantly reducing federal income taxes.
Since 2006, the federal government has cut taxes for Canadian families over 160 times. As a result, federal taxation is at its lowest level in fifty years. A typical Canadian family of four is now paying $3,400 less every year in federal taxes compared to 2006. These tax reductions have taken place despite the global recession of 2009 and despite a challenging fiscal environment.
Through good fiscal management, the federal government has reduced the GST from seven to five per cent, created the Tax Free Savings Account, reduced the lowest personal income tax rate and increased the basic personal exemption.
The federal budget also confirms the federal government’s plan to help families by implementing the Family Tax Cut and increasing the Universal Child Care Benefit.
The new Family Tax Cut allows income-splitting to reduce federal taxes payable for couples with children under 18. Couples can now split income between the higher earning and the lower earning spouse, saving up to $2,000 a year in federal taxes. The average benefit for Canadian families will be over $1,100 per year, in direct money. The benefit is capped at $2,000 to ensure middle-income families disproportionately benefit. Take advantage of this benefit when you file your 2014 tax return.
In addition, the new Family Tax Cut includes an increase to the Child Care Expenses Deduction of $1,000 per child, for those families where both parents are working and utilize child care. This increased deduction begins in the 2015 taxation year.
The government is also increasing the Universal Child Care Benefit retroactive to January 1st. Parents will now receive $160 per month per child under the age of six, or $1,920 per year, and a new benefit of $60 per month per child aged six through seventeen, or $720 per year. Those who currently do not receive the Universal Childcare Benefit must apply. To apply, please visit: http://goo.gl/IagDdL
The combination of the Family Tax Cut and the Universal Childcare Benefit will help approximately four million Canadian families with children through direct financial support, 34,820 families in Wellington County and 14,580 families in Halton Hills alone. Low- and middle-income families will receive about two-thirds of the overall benefits provided by these measures.
These new and enhanced benefits – the Family Tax Cut and the Universal Child Care Benefit – are a direct result of the balanced federal budget.
For additional information, please contact me at (866) 878-5556.