A move to Canada can feel exciting but also overwhelming. From getting a social insurance number (SIN) to finding a place to live, and registering your kids in school, there’s a lot to do. To help ease the financial burden of moving to a new country make sure you’re familiar with the newcomers to Canada benefits.
Key Points For Newcomers To Canada
- Newcomers to Canada can access a variety of tax benefits and credits such as the GST/HST credit, Canada Child Benefit (CCB), and Canada Carbon Rebate (CCR).
- To qualify for tax benefits such as the CCB and other provincial programs, newcomers you’ll need to file your taxes and meet certain program requirements.
What Is The “Welcome To Canada” Tax Benefit?
While you may have heard of the “Welcome to Canada” tax benefit, this is not a real tax benefit. There is no one benefit designed for newcomers. Instead, there’s a range of tax benefits that newcomers can apply for to support their finances. To access these benefits and credits, you need to get your SIN from Service Canada. Then you can apply for any benefits and credits you’re eligible for.
Below is a list of newcomer to Canada benefits to check out.
What Benefits Can You Get As A Newcomer To Canada?
A benefit is a payment meant to help you manage the cost of living and raising a family in Canada. A credit reduces the amount of taxes or expenses you pay as a resident of Canada for tax purposes. Examples of available benefits and credits for newcomers include:
Goods And Service Tax (GST)/ Harmonized Sales Tax (HST) Credit
The GST/HST credit helps to offset the tax you pay when you purchase goods and services. This quarterly credit is available to eligible newcomers who are at least 19 years old and have a low or modest income.
To apply for the GST/HST credit as a newcomer, you have to complete Form RC151, GST/HST Credit and Canada Carbon Rebate Application for Individuals Who Become Residents of Canada.
You don’t need to keep your receipts to get the GST/HST tax credit. All you need to do is file your taxes each year, even if you have no income.
Learn more: GST/HST Payment Dates In Canada
Canada Carbon Rebate (CCR)
The CCR (a.k.a., climate action incentive payment (CAIP)) is a tax-free credit you can claim. If eligible, families and individuals can use it to help offset the cost of federal pollution pricing.
This quarterly rebate is only available to residents who are at least 19 years old in Alberta, Manitoba, New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario, Prince Edward Island, and Saskatchewan.
You can apply for GST/HST and CCR using the same form – Form RC151.
Learn more: What Is The Canada Carbon Rebate (CCR)?
Canada Child Benefit (CCB)
If you live in Canada with children under 18, you may be eligible for the Canada child benefit. This is a monthly tax-free payment administered by the Canada Revenue Agency (CRA). It’s meant to help eligible families with expenses related to raising children.
Each year, you can get up to $7,437 for each child under the age of six years, and up to $6,275 for each child from age six to 17. You have to complete an application for each child.
To apply for CCB, complete and sign Form RC66 and the Canada Child Benefits Application. Also include Form RC66SCH, Status in Canada and Income Information.
If you’re a temporary resident, eligibility requirements vary. To be eligible, you need:
- To live in Canada for 18 months consecutively
- Have a valid permit on your 19th month
Learn more: Canada Child Benefit (CCB) Payment Dates
Child Disability Benefit
This benefit is available to families who care for children under 18 and are eligible for CCB and the disability tax credit. You can get a tax-free payment of up to $3,173 per year, per eligible child.
If you are already receiving CCB for your child and are eligible for the disability tax credit, you don’t need to apply for the child disability credit. It’s automatically included in your CCB payments.
Learn more: How To Apply For The Child Disability Benefit (CDB)
Canada Dental Care Plan
If you have an adjusted family net income of less than $90,000 and you don’t have access to dental insurance, you can receive financial support for dental care from the Canada dental care plan (CDCP).
Currently, this benefit is available to children under the age of 18, seniors 65 and over, and adults with a valid disability tax credit certificate for 2023. In 2025, this benefit will be available to all remaining eligible residents.
To qualify, you must be a Canadian resident for tax purposes, and you and your spouse or common-law partner have to file your taxes in Canada.
Learn more: Do You Qualify For The New Canadian Dental Care Plan (CDCP)?
Other Provincial And Territorial Benefits And Credits
In addition to federal tax benefits, there are also provincial and territorial benefits and credits that newcomers can receive.
For instance, Alberta offers the Alberta child and family benefit (ACFB) which is a tax-free amount paid to families who have kids 18 years old. This is a quarterly payment that eligible families can receive in addition to CCB. Many other provinces offer similar child benefit programs.
You typically don’t have to apply for provincial and territorial benefits separately. The government automatically considers you for these benefits and credits when you apply for CCB or GST/HST credit or file your tax return.
You can find more information about provincial and territorial programs on the government of Canada’s website.
Can You Get Social Assistance As A Newcomer To Canada?
Social assistance is when you receive benefits from the government to help you cover basic needs like food, shelter, and clothing. Social assistance doesn’t include things like tax credits or childcare subsidies.
Whether you can receive social assistance or income assistance as a newcomer to Canada depends on the province or territory. Some provinces require you to be a permanent resident, refugee, or refugee claimant and aren’t available to temporary residents.
It’s important to understand all of the conditions that apply to the province or territory you’re moving to.
For instance, in Ontario, to qualify for financial assistance you have to be a resident of Ontario. Visitors can’t apply for assistance unless they:
- Have a claim for refugee status under the Canada Immigration Act.
- Have a claim for refugee status under the Immigration and Refugee Protection Act.
- Have applied for status as a permanent resident under either the Canada Immigration Act or the Immigration and Refugee Protection Act.
Types Of Newcomers Eligible For Tax Benefits In Canada
Newcomers to Canada include permanent residents, refugees, and temporary residents. The CRA considers you a newcomer for the first year you’re a resident in the country.
You can become a resident of Canada for tax purposes when you have enough residential ties in Canada. Residential ties can include owning or leasing a home in Canada, a spouse or common-law partner, or having kids in Canada.
Other Free Benefits For Newcomers In Canada
In addition to tax benefits, there are other free benefits you can enjoy as a newcomer to Canada, including:
Language Training
As a permanent resident or protected person, you can enjoy free language classes funded by the Canadian government. Since Canada is a bilingual country, there are two classes to choose from:
- Language Instruction for Newcomers to Canada (LINC)
- Cours de langue pour les immigrants au Canada (CLIC)
Before you come to Canada, you can take an online self-assessment language test to assess your language level. Then you can visit a settlement professional who can help you assess your language skills and register for language classes.
Free Employment Services
If you need help looking for a job, there are settlement professionals in each province and territory who can assist you. Many organizations also provide job-specific language training or help getting a license or certification for a regulated profession.
Free Healthcare
All Canadian citizens and permanent residents can apply for public health insurance. This gives you access to Canada’s universal health care system funded through taxes. Every province and territory has a different healthcare plan with different coverage.
With public health insurance, you typically don’t have to pay for most health care services or emergency medical services.
Don’t Miss Out On Newcomer To Canada Benefits
As a newcomer to Canada, there are several financial supports available. Before you move, familiarize yourself with the newcomer to Canada benefits and the eligibility requirements. Before you can gain access to any benefits or credits, you’ll need to get a social insurance number. To keep your benefits, you’ll need to file your taxes each year. For language or employment assistance, you can visit a settlement professional in your province or territory free of charge. As a permanent resident, you can apply for public health insurance.
