Tax season is officially underway, and you can now claim the BC renter’s tax credit on your return.
Unless you’re not eligible, that is.
While it’s a BC credit, the renter’s tax credit is administered by the Canadian Revenue Agency when you file your taxes.
How much is the BC renter’s tax credit
The most you can receive is $400, and the credit is reduced by 2% of the amount your 2023 adjusted income exceeds $60,000.
The BC Ministry of Housing says, “The credit is reduced to zero at $80,000.”
“The adjusted income threshold amount of $60,000 will be indexed to inflation each year. For the 2024 tax year, the adjusted income threshold will be increased to $63,000, and the credit will be reduced to zero at $83,000.”
Reasons why you can’t claim the BC renter’s tax credit
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If you’re cohabiting with a spouse or are the common-law partner of a renter who has already claimed the credit for the tax year, you can’t claim it again.
If you were confined to a prison or similar institution on December 31 of the tax year and were confined for periods totalling more than six months during the year, you cannot claim the credit.
Anyone who was an employee of a foreign country or resided with a family member or a servant of the employee of a foreign country of Canada also can’t claim the credit.
Lastly, BC says that if you die before the end of the year, you can’t claim the credit.
There are also some factors regarding what types of units are eligible.
You can still claim credit if you have roommates in shared housing.
Of course, another reason you aren’t eligible is if you make too much (over $80,000).
Who’s eligible?
To claim the credit, you must have occupied an eligible rental unit in BC under a tenancy agreement, licence, sublease or similar arrangement for at least six months.
Eligible units include:
- Single-family dwelling
- Apartment
- Condominium
- Townhouse
- Basement suite
- Detached suite
- Carriage house
You also must have been 19 on December 31 of the tax year.
How to claim it
According to the ministry, you claim your credit on form BC479 when you file your 2023 T1 income tax return.
The ministry adds that the CRA may ask you to provide additional information to support your eligibility after you file your return.
Now, if only you remember how to log into the CRA My Account page…
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