Know About Canada CAI-Climate Action Incentive Payment

Last Updated On 15 April 2023, 7:39 PM EDT (Toronto Time)

What is Canada CAI Payment: Climate Action Incentive Payment is a tax-free payment made to individuals and families to assist offset the expense of federal pollution pricing.

Residents of Alberta, Saskatchewan, Manitoba, and Ontario are eligible for CAI. It consists of a base amount plus a supplement for residents of small and rural towns.

Newcomers to Canada including permanent residents, refugees (protected persons), and temporary residents (including student, worker, or temporary resident permit holders) are also eligible for CAI, but they will need to apply for it.

Beginning in July 2022, the CAI is being paid through the benefit system rather than as a refundable credit claimed annually on personal income tax returns.

The Canadian federal fuel tax will not be implemented in Newfoundland & Labrador, Nova Scotia, or Prince Edward Island until July 1, 2023.

So, residents of these 3 provinces will get three quarterly payments (in July 2023, October 2023, and January 2024) in the 1st year and 4 payments afterwards.

2023 Canada CAI Payment Schedule

Eligible individuals or families are given CAIP on the 15th of April, July, October, and January.

Residents eligible for CAI must have had their income tax and benefit returns assessed on or before March 24, 2023 to receive their payment on April 14, 2023.

If their tax returns are assessed after March 24, 2023, then their payment will be rolled into the next instalment.

You will also receive your CAIP via direct deposit, if you receive your tax refund by direct deposit.

The CAIP will be applied to amounts owed for income tax balances or amounts owed to other federal or provincial government programs, if you have a tax debt with the CRA.

New Minimum Wage In Canada and 5 Provinces

CAI Eligibility

You must be resident of Canada as well as a resident of an eligible CAIP province on the first day of the payment month to be eligible.

Furthermore, you don’t have to apply. When you file your income tax and benefit return, the CRA will assess your eligibility.

However, Newcomers to Canada (if you have a child) need to apply for CAIP by mailing the RC66SCH and RC66 Child Benefit form to CRA tax centre.

Newcomers without a child will need to apply for CAIP by mailing the RC151 GST/HST Credit and Climate Action Incentive Payment Application to CRA tax centre.

You must be at least 19 years old to be eligible for CAIP. If you are under the age of 19, you must meet at least one of the following requirements during the same time period:

How much is CAI Payment?

The amount you get is determined on your family status and the province in where you live.

Ontario

• Individuals: $488
• Spouse or common-law partner: $244
• Per Child Under 19: $122
• 1st child of a single-parent: $244

Manitoba

• Individuals: $528
• Spouse or common-law partner: $264
• Per Child Under 19: $132
• 1st child of a single-parent: $264

Saskatchewan

• Individuals: $680
• Spouse or common-law partner: $340
• Per Child Under 19: $170
• 1st child of a single-parent: $340

Alberta

• Individuals: $772
• Spouse or common-law partner: $386
• Per Child Under 19: $193
• 1st child of a single-parent: $386

Newfoundland and Labrador – Starting July 2023

• Individuals: $164
• Spouse or common-law partner: $82
• Per Child Under 19: $41
• 1st child of a single-parent: $386

Nova Scotia – Starting July 2023

• Individuals: $124
• Spouse or common-law partner: $62
• Per Child Under 19: $31
• 1st child of a single-parent: $62

Prince Edward Island – Starting July 2023

• Individuals: $120
• Spouse or common-law partner: $60
• Per Child Under 19: $30
• 1st child of a single-parent: $60

New Canada Income Tax Brackets & Important Dates For 2023

---