Tax News

2014 indexation adjustment for or personal income tax, benefit amounts, and...

Each year, certain personal income tax and benefit amounts are indexed to inflation using the Consumer Price Index data as reported by Statistics Canada.

Increases to tax bracket thresholds, amounts relating to non refundable credits, and most other amounts will take effect on January 1, 2014. However, increases to the Canada child tax benefit (including the national child benefit supplement and the child disability benefit) and the goods and services tax credit will take effect on July 1, 2014, to coincide with the beginning of the program year for payment of these benefits.

The following chart compares the indexed amounts for the 2013 and 2014 tax years. It reflects an indexation increase of 0.9% for 2014.


2014
($)

2013
($)

Tax bracket thresholds

Taxable income above which the 22% bracket begins

43,953

43,561

Taxable income above which the 26% bracket begins

87,907

87,123

Taxable income above which the 29% bracket begins

136,270

135,054

Amounts relating to non-refundable tax credits

Basic personal amount

11,138

11,038

Age amount

6,916

6,854

Net income threshold

34,873

34,562

Spouse or common-law partner amount (maximum)

11,138

11,038

Spouse or common-law partner amount (maximum if eligible for the family caregiver amount)

13,196

13,078

Amount for an eligible dependant (maximum)

11,138

11,038

Amount for an eligible dependant (maximum if dependant eligible for the family caregiver amount)

13,196

13,078

Amount for children under age 18 (maximum per child)

2,255

2,234

Amount for children under age 18 (maximum per child eligible for the family caregiver amount)

4,313

4,274

Canada employment amount (maximum)

1,127

1,117

Infirm dependant amount (maximum per dependant)

6,589

6,530

Net income threshold

6,607

6,548

Caregiver amount (maximum per dependant)

4,530

4,490

Caregiver amount (maximum per dependant eligible for the family caregiver amount)

6,588

6,530

Net income threshold

15,472

15,334

Disability amount

7,766

7,697

Supplement for children with disabilities (maximum)

4,530

4,490

Threshold relating to allowable child care and attendant care expenses

2,654

2,630

Adoption expenses (maximum per adoption)

11,774

11,669

Medical expense tax credit—3% of net income ceiling

2,171

2,152

Refundable medical expense supplement

Maximum supplement

1,152

1,142

Minimum earnings threshold

3,363

3,333

Family net income threshold

25,506

25,278

Old age security repayment threshold

71,592

70,954

Certain board and lodging allowances paid to players
on sports teams or members of recreation programs

Income exclusion (maximum per month)

338

335

Tradesperson’s tools deduction

Threshold amount relating to cost of eligible tools

1,127

1,117

Goods and services tax/harmonized sales tax credit

Adult maximum

268

265

Child maximum

141

139

Single supplement

141

139

Phase-in threshold for the single supplement

8,685

8,608

Family net income at which credit begins to phase out

34,872

34,561

Canada child tax benefit

Base benefit

1,446

1,433

Additional benefit for third child

101

100

Family net income at which base benefit begins to phase out

43,953

43,561

National child benefit (NCB) supplement

First child

2,241

2,221

Second child

1,982

1,964

Third child

1,886

1,869

Family net income at which NCB supplement begins to phase out

25,584

25,356

Family net income at which NCB supplement phase-out is complete

43,953

43,561

Child disability benefit (CDB)

Maximum benefit

2,650

2,626

Family net income at which CDB supplement begins to phase out

43,953

43,561

Children’s special allowances (CSA)

CSA Base Amount

3,687

3,654

Tax-Free Savings Account (the indexed amount has been rounded to the nearest $500)

Annual TFSA dollar limit

5,500

5,500

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