Income Tax Changes That Could Benefit You!
Tax season is here again! Like every year, changes to the tax laws can be confusing and hard to untangle. To help, we’ve drawn up a list of the changes that concern seniors so that residents can claim all their eligible deductions.
What’s new this tax season?
- Senior Assistance Tax Credit
Great news! A new refundable tax credit for seniors was recently created. If you were 70 or older on December 31, 2018, congratulations! You could receive up to $400!
Even better, you could receive this amount even if you didn’t claim it on your tax return.
For more information on the eligibility requirements for this tax credit, read Revenu Québec’s announcement here.
- Independent Living Tax Credit for Seniors
This refundable tax credit has undergone some changes, all to your advantage!
The annual deductible has been reduced by half. Your contribution is now $250 instead of $500.
Also, the list of eligible services has been expanded and now includes alert systems for people with hearing impairments, hearing aids and non-motorized assistance devices, such as walkers and wheelchairs.
This credit is different from the Tax Credit for Home-Support Services for Seniors, granted to people who are 70 or older for expenses incurred to stay in their homes. Note that many of the services offered in your residence are eligible for this credit. Meal, housekeeping and personal care expenses, among others, are eligible when they are included in your rent.
- Tax Credit for Experienced Workers
The Tax Credit for Experienced Workers is now better and easier to obtain! To encourage experienced workers to stay on the job market, the eligible age has gone down from 63 to 61. For workers who are 65 or older, the maximum eligible income is $11,000, up from $8,000.
Don’t hesitate to ask your financial advisor or accountant for more information about the tax credits for which you are eligible and to get advice tailored to your personal situation.
To your calculators!