The Canada Revenue Agency (CRA) will send the next Climate Action Incentive Payment (CAIP) to Canadian taxpayers on January 15, 2024.
The Climate Action Incentive Payment (CAIP) is a program established by the Government of Canada to help individuals and families in specific provinces offset the costs associated with federal pollution pricing.
If you are a resident of Alberta, Saskatchewan, Manitoba, Ontario, Newfoundland and Labrador, Nova Scotia, Prince Edward Island, or New Brunswick you can receive your Climate Action Incentive Payment (CAIP).
In this guide, we’ll walk you through all the essential information about the CAIP program. From eligibility criteria to application processes, payment details, and more, you’ll have a clear understanding of how CAI payment works and how it can benefit you.
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Who is Eligible to Receive Canada’s Climate Action Incentive Payment (CAIP)?
To be eligible for CAI Payment, you must need to meet the following criteria.
- Firstly, you must be at least 19 years old at the beginning of the month when the Canada Revenue Agency (CRA) issues the payment.
- You must also be a resident of Canada for income tax purposes.
Additional Criteria for Younger Individuals:
If you are under 19 years old, you can still qualify if you meet any of the following conditions:
- You have a common-law partner or spouse.
- You are a parent (or were one in the past) and currently or previously lived with your child.
Eligible Child:
If you have children, they must meet these criteria at the start of the payment month to be eligible:
- They should be under 19 years old.
- They must live with you.
- You must be primarily responsible for their care and upbringing.
- Your child should be registered for the Canada Child Benefit, which affects the CAIP calculation.
Note: If you haven’t registered your child for the Canada Child Benefit, you can learn how to apply for it on the Canada Revenue Agency (CRA) website.
Eligibility for Newcomers to Canada:
Newcomers in Canada, such as international students, work permit holders, and permanent residents, can access CAIP benefits.
Unlike certain other tax credit payments, newcomers must apply for CAIP to avail themselves of the benefits.
How to Apply for CAIP As a Newcomer:
If you are a newcomer to Canada and meet the eligibility criteria, follow these steps to apply for CAIP:
With Children:
- Complete and sign Form RC66, the Canada Child Benefits Application, to apply for various child and family benefits, including the GST/HST credit.
- Additionally, fill out Form RC66SCH, Status in Canada and Income Information for the Canada Child Benefits Application, which captures your citizenship, residency details, and Statement of Income.
Without Children:
- Fill out and sign Form RC151, the GST/HST Credit and Climate Action Incentive Payment Application for Individuals Who Become Residents of Canada.
Send these filled-out forms by mail to the tax center. If you are not a newcomer to Canada, you don’t need to apply. The CRA will check if you’re eligible when you file your annual income tax and benefit return.
How Much CAI Payment You Can Expect To Receive?
CAIP payments are designed to provide financial assistance, and the amount you receive depends on various factors, including your province of residence and family condition.
CAIP payments are universal benefits and remain unaffected by any reduction linked to your family’s adjusted net income.
Here is a breakdown of the province-specific CAIP amounts for January 2024:
Alberta
Base Amount:
- $193 for an individual
- $96.50 for a spouse or common-law partner
- $48.25 per child under 19
- $96.50 for the first child in a single-parent family
Rural Supplement:
- $19.30 for an individual
- $9.65 for a spouse or common-law partner
- $4.82 per child under 19
- $9.65 for the first child in a single-parent family
To get more info, check out the Calculation sheet for residents of Alberta.
Manitoba
Base Amount:
- $132 for an individual
- $66 for a spouse or common-law partner
- $33 per child under 19
- $66 for the first child in a single-parent family
Rural Supplement:
- $13.20 for an individual
- $6.60 for a spouse or common-law partner
- $3.30 per child under 19
- $6.60 for the first child in a single-parent family
To get more info, check out the Calculation sheet for residents of Manitoba.
New Brunswick
Base Amount:
- $92 for an individual
- $46 for a spouse or common-law partner
- $23 per child under 19
- $46 for the first child in a single-parent family
Rural Supplement:
- $9.20 for an individual
- $4.60 for a spouse or common-law partner
- $2.30 per child under 19
- $4.60 for the first child in a single-parent family
To get more info, check out the Calculation sheet for residents of New Brunswick.
Newfoundland and Labrador
Base Amount:
- $164 for an individual
- $82 for a spouse or common-law partner
- $41 per child under 19
- $82 for the first child in a single-parent family
Rural Supplement:
- $16.40 for an individual
- $8.20 for a spouse or common-law partner
- $4.10 per child under 19
- $8.20 for the first child in a single-parent family
To get more info, check out the Calculation sheet for residents of Newfoundland and Labrador.
Nova Scotia
Base Amount:
- $124 for an individual
- $62 for a spouse or common-law partner
- $31 per child under 19
- $62 for the first child in a single-parent family
Rural Supplement:
- $12.40 for an individual
- $6.20 for a spouse or common-law partner
- $3.10 per child under 19
- $6.20 for the first child in a single-parent family
To get more info, check out the Calculation sheet for residents of Nova Scotia.
Ontario
Base Amount:
- $122 for an individual
- $61 for a spouse or common-law partner
- $30.50 per child under 19
- $61 for the first child in a single-parent family
Rural Supplement:
- $12.20 for an individual
- $6.10 for a spouse or common-law partner
- $3.05 per child under 19
- $6.10 for the first child in a single-parent family
To get more info, check out the Calculation sheet for residents of Ontario.
Prince Edward Island
Base Amount:
- $120 for an individual
- $60 for a spouse or common-law partner
- $30 per child under 19
- $60 for the first child in a single-parent family
(Rural supplement included in base amounts)
To get more info, check out the Calculation sheet for residents of Prince Edward Island.
Saskatchewan
Base Amount:
- $170 for an individual
- $85 for a spouse or common-law partner
- $42.50 per child under 19
- $85 for the first child in a single-parent family
Rural Supplement:
- $17 for an individual
- $8.50 for a spouse or common-law partner
- $4.25 per child under 19
- $8.50 for the first child in a single-parent family
Climate Action Incentive Payment Schedule 2024
The CAIP payments for 2024 are scheduled for
- January 15, 2024
- April 15, 2024
- July 15, 2024
- October 15, 2024
Payments are typically distributed on the 15th of these months. In case the 15th falls on a weekend or a federal statutory holiday, the payment will be made on the last business day before the 15th.
Direct Deposit:
If you get your tax refund directly deposited, your Climate Action Incentive Payment (CAIP) will also come through direct deposit. To learn more and sign up for direct deposit, visit the Canada Revenue Agency’s Direct Deposit page.
If you’re already signed up for direct deposit, you’ll see the payments in your bank account labeled as “Climate Action Incentive” (the wording might differ depending on your bank).
If You Didn’t Receive Your Payment
If you haven’t received your CAIP after ten working days from the expected date, you can contact the CRA for assistance.
Can everyone Get the Climate Action Incentive Payment (CAIP)?
It is essential to understand that not all Canadian residents qualify for the Climate Action Incentive Payment.
CAIP eligibility is limited to residents of provinces where a federal carbon pricing system is implemented, namely Ontario, Manitoba, Saskatchewan, and New Brunswick.
Eligibility criteria can vary, so it is recommended to consult the Canada Revenue Agency (CRA) for precise information regarding who qualifies for this payment.
