Federal Highlights
Child care expenses –
Effective for the 2015 tax year, the maximum amounts that can be
claimed for the Child Care Expense Deduction will increase as
follows:
- For children under the age of seven: from $8,000 to
$9,000
- For children aged seven through 16: remains at
$5,000
- For children who are eligible for the Disability Tax Credit:
remains at $11,000
Children's Fitness Tax
Credit – Fees eligible for the Children's
Fitness Tax Credit increased to $1,000 in the 2014 tax year.
Effective for the 2015 tax year, the tax credits will become
refundable.
Trusts and estates –
Starting in 2016, the graduated tax rate applicable to a
testamentary trust created by an individual's death will be
replaced with the highest personal income tax rate – 29 per
cent federal rate plus any provincial tax rates – if the
testamentary trust has been in existence for more than 36 months,
subject to certain exceptions. The graduated tax rate will
