Some changes of note for the 2018 tax year:
Climate Action Incentive
This new refundable tax credit is being offered to residents of Ontario, Manitoba, Saskatchewan and New Brunswick. The credit consists of a basic amount and a supplement for residents who live in qualified small and rural communities.
Information about the Ontario Climate Action Incentive amount for 2018:
1) To be eligible, the taxpayer must be a resident of Ontario and be 18 years of age or older. Taxpayers cannot claim this credit if they were a non-resident of Canada at any point in 2018, were confined to a prison or similar institution for a period of at least 90 days in 2018, were exempt from income tax at any time in Canada for 2018 (under certain circumstances), or you were a person in respect for whom a children’s special allowance (CSA) was payable at any time in 2018.
2) The amounts payable for the CIA are as follows:
o Base Amount: $154.00
o Amount for an eligible spouse or common-law partner: $77.00
o Amount for a single parent’s qualified dependent: $77.00
o Amount for other qualified dependents: $38.00 each
o Supplement for residents of small and rural communities: Additional 10%
Accelerated Investment Incentive
Under the proposed Accelerated Investment Incentive measure, certain capital property that is subject to the general CCA rules (referred to as "eligible property") will be eligible for an enhanced first-year allowance. To qualify as accelerated investment incentive property, property must be acquired after November 20, 2018, and become available for use before 2028. In addition, certain properties are excluded.
The Accelerated Investment Incentive does not change the total amount that you can deduct over the life of a property. By claiming a larger CCA deduction in the first year, you will have smaller CCA deductions in future years.