What's New for the 2023 Tax Year

Here we go again! Tax season for the 2023 tax year is underway. here are some of the key points to remember for this year's CRA filing:

• The deadline for most Canadians to file this return is April 30, 2023. Since April 30, 2023, falls on a Sunday, your return will be considered filed on time if the Canada Revenue Agency (CRA) receives it, or it is postmarked, on or before May 1, 2023.

• Because 2024 is a leap year, the deadline for making a RRSP contribution for the 2023 tax year is February 29th, 2024.

• Applications for the new interim Canada Dental Benefit opened on December 1, 2022, for eligible families with an adjusted family net income of less than $90,000 in 2021. It provides financial support for parents and guardians of children under 12 years old if they receive dental care services and do not have access to a private dental insurance plan.

• The government has introduced a tax-free one-time $500 payment to help lower-income renters facing housing affordability challenges. As of December 12, 2022, this benefit is available to renters who, among other eligibility criteria:

• have an adjusted family net income for 2021 of $35,000 or less for families, or $20,000 or less for individuals

• paid at least 30 per cent of their 2021 adjusted family net income on eligible rent for any of their principal residence(s) in Canada in the 2022 calendar year

• The amount used to calculate the first-time home buyers’ tax credit has increased to $10,000 for a qualifying home purchased after December 31, 2021. 15% of this amount can be claimed as a non-refundable tax credit on your return. If there is more than one buyer, the amount can be shared.