What is the CAIP
The CAIP is a tax-free amount paid to help individuals and families offset the cost of the federal pollution pricing. It is available to residents of Alberta, Saskatchewan, Manitoba and Ontario. It consists of a basic amount and a supplement for residents of small and rural communities.
The Government of Canada has proposed to change the payment method for the CAI from a refundable credit claimed annually on personal income tax returns to quarterly tax free payments made through the benefit system starting in July 2022.
The information on this page is subject to Parliamentary approval.
Who is eligible for the CAIP
To be eligible, you must be a resident of Alberta, Saskatchewan, Manitoba or Ontario on the first day of the payment month and the last day of the previous month. You must also meet at least one of these conditions during the same period:
- You are 19 years of age or older
- You have (or previously had) a spouse or common-law partner
- You are (or previously were) a parent and live (or previously lived) with your child
Do you have an eligible child
You have an eligible child if all the following conditions are met at the beginning of the payment month:
- your child is under 19 years of age
- your child lives with you
- you are primarily responsible for the care and upbringing of your child
- your child is registered for the Canada child benefit
If you are eligible for the Canada child benefit, a credit for each eligible child will be included in the calculation of the CAIP.
If you have not registered your child for the Canada child benefit, go to Canada child benefit – How to apply.
If you and your ex-spouse share custody of your child/children, if entitled, you will receive payments equal to 50% of the amount you would have received if the child resided with you full-time.
Are you a newcomer to Canada
If you are a new resident of Canada, follow the steps below to apply for the CAIP:
- Complete one of the following forms:
- If you have children: fill out and sign Form RC66, Canada Child Benefits Application to apply for all child and family benefits, including the GST/HST credit. You must also complete form RC66SCH, Status in Canada and Income Information for the Canada Child Benefits Application to capture your citizenship and residency information, along with your Statement of Income.
- If you do not have children: fill out and sign Form RC151, GST/HST and CAI Credit Application for Individuals Who Become Residents of Canada.
- Mail the completed form to your tax centre.
Do you need to apply for the CAIP
You don’t need to apply to receive the payment for the CAIP. The Canada Revenue Agency (CRA) will determine your eligibility when you file your income tax and benefit return and will send you payments if you’re entitled to them.
If you have a spouse or common- law partner, only one of you can get the credit for the family. The credit will be paid to the spouse or common-law partner whose tax return is assessed first. No matter which one of you receives the credit, the amount will be the same.
In order to continue receiving your payments for the CAIP, you and your spouse or common-law partner, if applicable, must continue to file an income tax and benefit return every year.
The CAIP includes a supplement for residents of small and rural communities. To claim the rural supplement you must complete Schedule 14 and attach it to your income tax and benefit return.
Find out if you qualify for the supplement for residents of small and rural communities.
If you are eligible for the rural supplement but forgot to apply for it when you filed your income tax and benefit return, simply complete schedule 14 and mail the completed form to your tax centre.
How much you can expect to receive
The amount you receive depends on your family situation and the province you reside in.
The CRA does not charge or give interest on any CAIP overpayments or underpayments.
When will you get your payments
If you’re entitled to receive CAIP, you can expect to receive them on the 15th of April, July, October and January.
Once your 2021 Income Tax and Benefit return is processed and if you are entitled, the first payment will be issued on July 15, 2022 and will include a retroactive amount for April 2022.
If you get your tax refund by direct deposit, you will also get your CAIP by direct deposit. For more information and ways to enroll for direct deposit, go to our Direct deposit web page.
If you have a tax debt with the CRA, the CAIP will be applied to amounts owing for income tax balances or amounts owing to other federal or provincial government programs.
Information source: https://www.canada.ca/en/revenue-agency/services/child-family-benefits/cai-payment.html