2015 Tax Changes you should know about

There are several notable individual tax changes for British Columbians for their 2015 personal tax returns. Some of the changes include:

  1. The Education Coaching Tax Credit – is a non-refundable provincial tax credit for teachers and teaching assistants who carry out at least 10 unpaid hours of extracurricular coaching activity in the tax year. The credit amount is $500, providing a tax benefit of up to $25.30. The credit is available for the 2015, 2016 and 2017 tax years.
  2.  The Children’s Fitness Tax Credit is now a refundable tax credit for up to $1,000 of eligible programs, providing a tax credit of up to $150 per child. In addition, you may receive a non-refundable British Columbia Fitness Tax Credit of up to $25, and a further 50% of that amount for Child Fitness Equipment. The amount for Equipment is calculated automatically and does not require receipts.
  3.  The amount for children under 18 has been eliminated, which was previously a non-refundable tax credit of over $2,000 per child. Further, the changes made to the Universal Child Care Credit (increasing it to $160/month for children under 6 and $60 per month for children ages 6 through 17) created more taxable income for parents during 2015. The combined result of these two changes is more personal tax payable for the year, but more cash left in your pocket, based on the increased cash received throughout the year. This link will determine your Child and Family benefits.
  4. The deduction for childcare costs increased to from $7,000 to $8,000 per child under age 7.
  5. For more information on these or other 2015 tax credits and deductions please contact one our knowledgeable staff or by visiting CRA’s website.