Children’s fitness tax credit

Doubling the Children’s Fitness Tax Credit

The Government will double the Children’s Fitness Tax Credit (CFTC) and make it refundable to further help families making the choice to put their children in fitness activities. Making the tax credit refundable will ensure that lower-income families benefit from this measure. Parents will be able to take advantage of the new $1,000 maximum limit in the spring of 2015 when they file their tax returns for 2014. The credit will be made refundable as of the 2015 tax year, increasing benefits to low-income families claiming it for that year and subsequent years. Together, the proposed enhancements are expected to cost the federal government approximately $25 million in 2014-15, and $35 million annually thereafter. The CFTC was introduced by the Government in Budget 2006 to help promote physical fitness among children by making it more affordable for Canadian families to register their kids in fitness activities. When fully implemented, the proposed enhancements to the CFTC will fulfill a commitment made by the Government in 2011. The enhancements will deliver additional tax relief to about 850,000 families who enrol their children in eligible fitness activities. – See more at: http://pm.gc.ca/eng/news/2014/10/30/supporting-canadian-families#sthash.RrUrCLBD.dpuf