• Last Updated:
  • Mar 7th, 2008 6:20 pm
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Jan 3, 2006
1888 posts
5 upvotes

GST/PST tax credit

from quicktax:
The CRA has established rough income limits for eligibility to receive the GST/HST credit. However, these limits are only guidelines meant to help you decide if you should apply for the credit. The approximate limits for a two parent household are as follows:

*
0 childen - $40,416 maximum family income
*
1 child - $42,916 maximum family income
*
2 children - $45,416 maximum family income
*
3 children - $47,916 maximum family income

If you are uncertain if you qualify, you probably should apply for the GST/HST credit, regardless of the income you report. CRA will send you a notice before July to let you know the amount you are entitled to receive.
So it's not illegal/fraud to claim that tax credit even though you earn more than amounts shown above, right?
9 replies
Deal Fanatic
Feb 1, 2006
9099 posts
214 upvotes
Not at all. They will simply send you a letter saying you don't qualify for the year.

No point in checking the box if you know you won't get it, but if you really want to, go right ahead!
Newbie
Apr 23, 2007
54 posts
1 upvote
WHen they say family income, do they mean the parents only? Last year I finished university and started earning money, so with my income and my parents, we would all be above the limit. So does it include all of the people living in the house or just the two parents?
Deal Addict
Dec 28, 2006
2374 posts
52 upvotes
Saskatoon
goldeneyed wrote:
Mar 6th, 2008 11:14 am
WHen they say family income, do they mean the parents only? Last year I finished university and started earning money, so with my income and my parents, we would all be above the limit. So does it include all of the people living in the house or just the two parents?
Parents plus children 18 or younger.

When you turn 19 you are eligible for your own GST credit based on your income.

http://www.cra-arc.gc.ca/E/pub/tg/rc4210/rc4210-e.html
Sr. Member
Jun 15, 2005
764 posts
11 upvotes
My gf is over 19 and single.. she made about 37,000 gross last year.
Anyone have any idea if she will get the GST credit?
Deal Fanatic
Jul 1, 2007
7675 posts
547 upvotes
Arkaine wrote:
Mar 6th, 2008 6:41 pm
My gf is over 19 and single.. she made about 37,000 gross last year.
Anyone have any idea if she will get the GST credit?
Definitely, she should get close to the max.

Should also be noted that reduced net income due to RRSP contributions also affects eligibility. I had a year, when my income was lower, when I determined the amount to contribute to my RRSP not by tax brackets (was already in the lowest one) but by whichever amount maxed my GST credit.
Deal Fanatic
Feb 1, 2006
9099 posts
214 upvotes
Arkaine wrote:
Mar 6th, 2008 6:41 pm
My gf is over 19 and single.. she made about 37,000 gross last year.
Anyone have any idea if she will get the GST credit?
She'll get a bit of GST credit, about $60 for the year.

Use the calculator to see for yourself;

http://www.cra-arc.gc.ca/ebci/icbc/simn ... Controller

Thalo is right that RRSP's will increase your GST refund, by 5% of every dollar contributed. So $1k RRSP's will get you an extra $50 GST credit.
Deal Fanatic
Jul 1, 2007
7675 posts
547 upvotes
Damn... that calculator page is down for technical reasons.

Does anyone know offhand at what income you get max GST credit for an individual?

It's too late now, but for your girlfriend RRSP contributions definitely would have given a double benefit of tax deduction and getting her closer to the max GST credit income (it's somewhere between $30K and $35K, I think).
Sr. Member
Jun 15, 2005
764 posts
11 upvotes
Thalo wrote:
Mar 7th, 2008 5:53 pm
Damn... that calculator page is down for technical reasons.

Does anyone know offhand at what income you get max GST credit for an individual?

It's too late now, but for your girlfriend RRSP contributions definitely would have given a double benefit of tax deduction and getting her closer to the max GST credit income (it's somewhere between $30K and $35K, I think).
Thanks for the replies.

She actualy put 10k in (havent filed yet though).. so looking for the max GST contribution and will just deduct that portion. Save the rest for next year when her income goes up.

Yeah, I'm waiting on the calculator as well..
Deal Fanatic
Feb 1, 2006
9099 posts
214 upvotes
Thalo wrote:
Mar 7th, 2008 5:53 pm
Damn... that calculator page is down for technical reasons.

Does anyone know offhand at what income you get max GST credit for an individual?

It's too late now, but for your girlfriend RRSP contributions definitely would have given a double benefit of tax deduction and getting her closer to the max GST credit income (it's somewhere between $30K and $35K, I think).
It's working, my link just didn't work. Try this one;

http://www.cra-arc.gc.ca/ebci/icbc/simn ... eYear=2006

It's around $31K for a single person to get the max of $360/year. Over that it starts dropping.
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