Calculate the carbon tax credit for Alberta residents in 2019
What is the Climate action incentive
The Climate Action Incentive is a new, refundable tax credit started in 2019; it can be applied for by eligible individuals on their 2018 personal tax return.
What is the Alberta Carbon Tax?
The Alberta carbon tax is a federal program that was introduced to reward house owners, businesses and organizations for taking steps to lower emissions. Any fuel that emits greenhouse gases is taxed with it and the fuel price comes included with it. The fuel can be transportation and heating fuels like diesel, gasoline, natural gas, and propane etc. The aim of this tax is to provide Alberta and other provinces with a means of transitioning into a more diversified economy.
It is expected that government will raise around $610 million over the next 4 fiscal years and the money raised through it will be used to create job creation and other development in Alberta. It will also be used for the betterment of schools, hospitals, small and medium-sized businesses, colleges and universities, municipalities, Indigenous communities and not for profit organizations.
It is also said that approximately 90% of the Carbon Tax will be returned to residents through the CAI payments.
Am I eligible for Carbon tax rebates?
Below we have discussed the key requirements to be eligible for carbon tax rebates:-
- One person per family can claim the payment.
- If you are a residents of Alberta or from another eligible province in Canada
- If you are 18 years of above
To get more details about it, please refer to the Climate action incentive page on the Government of canada website.
Do I qualify for the supplement of 10% on CAI?
Yes you do qualify for the supplement of 10% on CAI if your primary residence is outside Census Metropolitan Area (CMA) of Alberta
Please visit this Government of Canada page to know more about it.
How much rebate could you expect?
| Type of situation | Credit |
|---|---|
| Basic Amount | $444 |
| Spouse or common-law partner credit | $222 |
| Qualified dependant rebate | $111 |
| Single parent’s qualified dependant amount | $222 |