More than two million families and individuals will see more money in their bank accounts this week, thanks to the enhanced climate action tax credit.
“High interest rates and global inflation are squeezing household budgets, and we’re determined to find ways to put more money into people’s bank accounts,” said Katrine Conroy, Minister of Finance. “By expanding and significantly increasing the climate action tax credit, we’re taking on carbon pollution, while helping to reduce costs for people in communities across B.C.”
As part of Budget 2023, the Province raised income thresholds and increased the climate action tax credit to ensure B.C.’s clean transition remains affordable for more people. This payment from the Province is administered by the Canada Revenue Agency and will appear on bank statements as a payment from the Government of Canada.
Enhancements to the credit means a single person can now receive up to $447 per year, an increase of $250 from 2022. A family of four can now receive as much as $893.50, $390 more than last year. The increased thresholds mean it’s expected that more than two million families and individuals will receive the credit this year, and about 70% of them will qualify for the maximum payment.
B.C. is one of the few provinces with its own pollution-pricing system, the carbon tax. The climate action tax credit was created to help offset costs for people and families with low and middle incomes.
“Our government recognizes the challenges people are facing and is working hard to make life better for people,” Conroy said. “That’s why we always encourage people to file their income taxes to ensure they receive the support they are entitled to, including the climate action tax credit, the BC family benefit and the sales tax credit.”
The Province is helping people deal with rising costs through additional measures, including higher B.C. family benefits, received on the 20th of each month.
The B.C. government will not contact you about the B.C. climate action tax credit by text message. If you get a text about the credit, it may be fraud. If you’re not sure, contact: ITBTaxQuestions@gov.bc.ca
- B.C.’s climate action tax credit payments are administered by the Canada Revenue Agency, are paid alongside the federal GST/HST credit and can take up to 10 days to be delivered.
- The first of these enhanced quarterly credits was issued in July.
- B.C.’s carbon tax is an important part of its CleanBC plan to create a healthier future by lowering climate-changing emissions.
- The tax will increase every year until it reaches $170 per tonne in 2030 as required by the federal government.
- It is anticipated that 80% of B.C. households will receive a full or partial credit by 2030.
To read about the climate action tax credit, visit: https://www2.gov.bc.ca/gov/content/taxes/income-taxes/personal/credits/climate-action
For information about other available tax and benefit programs, visit: https://gov.bc.ca/FinanceSpotlight
To learn about the CleanBC plan, visit: https://cleanbc.gov.bc.ca