REFUNDABLE CREDITS

A refundable credit is paid to the taxpayer even if it exceeds the tax owing. If a person owes no tax, the full credit becomes a refund. Refundable credits are the main way the tax system delivers support to low- and modest-income households. Some are claimed on the return itself (lines 44800 to 47900); others, such as the Canada Child Benefit, are benefits that the CRA calculates automatically from the return and pays separately throughout the year.

TWO DELIVERY METHODS

• Claimed on the return: the credit is added to "total credits" (line 48200) and either increases the refund or reduces the balance owing. Examples: the Canada Workers Benefit, the Canada Training Credit, the refundable medical expense supplement, and CPP and EI overpayments.

• Paid as a benefit: the CRA uses the return to calculate entitlement for the July to June benefit year and pays monthly or quarterly. Examples: the Canada Child Benefit, the Canada Groceries and Essentials Benefit and the Ontario Trillium Benefit. These are not taxable.

WHY FILING MATTERS

All of these depend on a filed return, and for couples, on both partners filing. Missing a year can stop benefit payments even if the individual has no income at all.

PAGES IN THIS SECTION

• Canada Workers Benefit

• Canada Training Credit

• Medical Expense Supplement

• Canada Groceries and Essentials Benefit

• Canada Child Benefit

• Ontario Trillium Benefit

• BC Renters Credit

• Personal Support Workers Tax Credit

• Multigenerational Home Renovation Credit

• Eligible Educator School Supply Credit

• CPP and EI Overpayments

DISCONTINUED: CANADA CARBON REBATE

The quarterly Canada Carbon Rebate (formerly the Climate Action Incentive Payment) ended when the federal consumer fuel charge was removed on April 1, 2025. The final regular payment was made in April 2025. Budget 2025 confirmed that no rebate payments would be made for returns or adjustment requests filed after October 30, 2026.