With tax season comes a reminder that every year, thousands of people in B.C. leave money on the table by not claiming all of the tax benefits for which they are eligible.
It's estimated that more than one in 10 eligible people in Canada do not file their taxes, and nearly one-quarter are young people aged 18 to 24. By filing taxes, most people can get money back or have their taxes reduced.
An estimated one in five renters do not file their taxes, although many could receive support through B.C.'s renter's tax credit. This provides as much as $400 for renters with adjusted incomes up to $63,000, or a partial credit for adjusted incomes up to $83,000. To claim the renter's credit, people should fill out Form BC479 British Columbia Credits when doing income tax returns.
Depending on family income, people are automatically enrolled for many benefits and credits when they file their taxes. These include the B.C. family benefit and the climate-action tax credit.
The B.C. family benefit is deposited in eligible families' bank accounts around the 20th of each month. The average family with children receives an annual total of $2,000 from the B.C. family benefit and the one-year BC Family Benefit Bonus, which lasts until June 2025. Approximately 275,000 families with children receive support through the benefit.
The climate-action tax credit for individuals and families can provide as much as $1,008 for a family of four for the 2024–25 tax year. More than two million families and individuals will receive more than they did during the 2023–24 tax year.
One in five people living on very low income do not file their taxes, which means they are missing out on getting benefits and credits that can help. Canadians missed out on almost $2 billion in unclaimed benefits in 2015, according to a 2020 report published in Canadian Public Policy.
Help is available to find benefits and credits, and to help people prepare their taxes. B.C.'s Benefits Connector (https://bit.ly/4kgqKK7) includes information about supports available for residents, including tax credits and benefits. It also includes help for renters and homeowners, supports for business owners, and ways to save on health care, transportation, and education.
