Life is getting really expensive. Canadians are feeling the pinch when filling their gas tanks and heating their homes during the long Canadian winters. To help offset federal pollution pricing, the Canadian government introduced the Canada Carbon Rebate (CCR).
Let’s take a closer look at this program, and how much it can help offset the cost of your household expenses.
Key Points You Should Know
- The Canada Carbon Rebate changed was previously known as the Climate Action Incentive Payment (CAIP).
- The CCR is available in all provinces excluding British Columbia, Quebec, and the Northwest Territories
- The base CCR amount ranges from $95 to $225 for single individuals, depending on the province
- Residents of rural areas may be eligible for an additional 10% of the base amount
What Is The Canada Carbon Rebate (CCR)?
Formerly known as the Climate Action Incentive Payment (CAIP), the CCR is a quarterly benefit paid to Canadians to help offset the cost of the federal government’s carbon taxes. Payments are made on a quarterly basis.
Until 2020, it was a refundable tax credit. You had to claim it on your income taxes. The federal government introduced it to help offset the cost of federal pollution or fuel charges.
The CCR is available in the following provinces:
- Alberta
- Saskatchewan
- Manitoba
- Ontario
- New Brunswick
- Nova Scotia
- PEI
- Newfoundland and Labrador
How Does The Canada Carbon Rebate Work?
All of these provinces have a carbon tax known as the “fuel charge”, which residents pay when buying gasoline at a pump or heating their homes. This additional tax is the government’s way of getting its citizens to make as many green choices as possible and boosting the economy in the process.
You’ll receive the CCR benefits after filing your income taxes.
There are two parts to the CCR:
- Basic amount. This is available to eligible Canadians, as well as newcomers, though additional forms must be filled out.
- Rural supplement. This is available to eligible residents of small and rural communities.
The quarterly payment can go toward other important things, like personal debt repayment and contributing to a savings account.
Who Is Eligible For The Canada Carbon Rebate?
The Canada Carbon Rebate is open to residents of the eligible provinces. The Canada Revenue Agency (CRA) states that you have to be a resident of an eligible province on both:
- The last day of the month previous to a payment month.
- The first day of a payment month.
So, if a payment month is July, you have to reside in the eligible province on June 30 and on July 1.
To qualify for the CCR, you must also be one of the following:
- At least 19 years old
- Under 19 years old and:
- Have or had a spouse or common-law partner
- Have or had a child and live (or lived) with the child.
Qualifying For The Canada Carbon Rebate For A Dependent Child
The CCR takes families into consideration. However, a dependent child is only considered eligible for the incentive under the following conditions:
- The child must be under 19 years of age
- The child must live with you
- You are the primary caregiver to the child
- The child is registered for the Canada Child Benefit (CCB)
Furthermore, if you co-parent your child with your ex-spouse or ex-common law partner, each of you will get 50% of the CCR.
Canada Carbon Rebate Payment Dates For 2024
Eligible Canadians will receive four payments throughout the year on the following dates:
- April 15, 2024
- July 15, 2024
- October 15, 2024
- January 15, 2025
To receive the April 2024 payment, you must file your income taxes by no later than March 15, 2024. You’ll still get the payment even if you file after that date, but you won’t receive it until after the CRA processes your tax return.
How Much Money Can You Get Under The Canada Carbon Rebate?
The amount of money that you can expect to receive under the terms of the Canada Carbon Rebateprogram depends on a number of factors, such as:
- Your province of residence and citizenship status
- Your marital status (single, married, or common-law)
- The size of your family (how many children/dependents you have)
Canada Carbon Rebate Payment Amounts For 2024
The payment amount you’re entitled to depends on where you live and your family situation. The following are the quarterly base payment amounts by province as per the 2023 base year:
Individual | Spouse/Common-law partner | Child under 19 | First child in a single-parent household | |
Alberta | $225 | $112.50 | $56.25 | $112.50 |
Saskatchewan | $188 | $94 | $47 | $94 |
Manitoba | $150 | $75 | $37.50 | $75 |
Ontario | $140 | $70 | $35 | $70 |
New Brunswick | $95 | $47.50 | $23.75 | $47.50 |
Nova Scotia | $103 | $51.50 | $25.75 | $51.50 |
PEI | $110 | $55 | $27.50 | $55 |
Newfoundland & Labrador | $149 | $74.50 | $37.25 | $74.50 |
How Can I Claim The Canada Carbon Rebate?
To apply for and claim CCR payments, all you have to do is:
- Fill out your income tax and benefit return
- File your tax return with the Canada Revenue Agency (CRA)
- Make certain to register your child or children for the CCB.
The Canada Carbon Rebate Is Available To New Residents Of Canada
If you are a new resident to Canada and you live in one of the eligible provinces, you can get the CCR. You still have to fulfill the qualifications outlined above.
To register for the CCR, you need to fill out certain tax forms and mail them to a tax centre.
If you have dependent children, you need to fill out:
- Form RC66 for child benefits and GST/HST credits.
- Form RC66SCH, Status in Canada and Income Information for the Canada Child Benefits Application
If you don’t have children, you need to fill out the following form:
- RC151, GST/HST Credit and Canada Carbon Rebate Application for Individuals Who Become Residents of Canada.
Who Is NOT Eligible For The Canada Carbon Rebate?
Like any government tax program, the CCR involves certain requirements that can make you ineligible for the credit. For example, you cannot claim the payment for yourself, your spouse/partner, or your child, if you are:
- Not a Canadian resident
- A resident of a province or territory where the CCR is not available
- In prison or a similar facility for more than 90 days of the tax year
- Someone who qualifies for a child’s special allowance (CSA) payment
- A government servant or officer from a foreign country, like a diplomat, an employee of such a person or a family member who lived with such a person.
You can’t claim the CCR if you live outside of the selected provinces either.