Income Splitting
The government plans to introduce legislation to allow limited
income splitting for couples with children under 18. The so
called "family tax cut" will allow an eligible taxpayer
to transfer up to $50,000 of income to his or her spouse for tax
purposes in order to collect a non-refundable tax credit of up to
$2,000 per year. This tax credit is expected to be available
beginning with the 2014 tax year.
Universal Child Care Benefit
The Universal Child Care Benefit will be increased by $60 per
month to $160 for children under the age of 6 and a new benefit of
$60 per month will be available in respect of children aged 6
through 17. These enhanced benefits will take effect January
1, 2015, and will be reflected in monthly payments to recipients
beginning in July 2015. This enhanced program will replace the
existing Child Tax Credit.
