Transcript

Slide 1 – Adults 65 years and older - Doing your taxes has its benefits!

[Selma]: Hello, and welcome.

My name is Selma. I have an olive complexion, dark brown hair with blonde highlights, and I’m wearing a black shirt.

I’m with the Canada Revenue Agency, or CRA for short.

I’m very happy to be here today. I will be talking to you about the benefit and credit payments that you could be eligible for, and how to apply for them.

[Visual]: Two older adults smiling for the camera.

Slide 2 – Land acknowledgment

[Selma]: Before we get started, I would like to respectfully acknowledge the territory in which we gather, as the unceded land of the Mi'gmaq, Wolastoqiyik and Peskotomuhkatiyik nations.

Given that we are meeting virtually, I also want to acknowledge the lands where you are gathered and invite you to take a moment of silence to have a thought for the territory where you find yourself.

[Visual]: An eagle, narwhal and fiddle icon.

Slide 3 – Outline

[Selma]: I will start the presentation by going over common types of income for adults 65 years and older, and the various benefit and credit payments you could be eligible for.

Then, I’ll cover some common tax credits and deductions and why it’s important to do your taxes on time.

Next, I will go over the CRA’s digital services, like My Account.

I will conclude today’s presentation by sharing the different ways you can do your taxes. And, I will give you tools to protect yourself from scams.

[Visual]: An individual smiling as they use their laptop. Another individual is smiling at them.

Slide 4 – Common types of income for adults 65+

[Selma]: There are many types of income for adults over 65. Income can come from government programs designed to help older Canadians stay financially independent.

In most cases, you must apply for income or benefits from a government program.

If you are eligible, the amount you receive may depend on the income you already receive from other sources.

The majority of programs start at age 65, but some can start earlier.

The most important thing to know is that almost all government programs need you to do your taxes to be eligible.

The most common types of income you may receive are from:

• Old Age Security, or OAS
• the Canada Pension Plan, or CPP
• the Quebec Pension Plan, or QPP
• a pension plan, long-term investment, or a retirement allowance that you have gotten from work and
• personal savings and investments, which include registered retirement savings plans and tax-free savings accounts

You must include these sources of income on your tax return.

If you are looking for more information on OAS or CPP, visit canada.ca/public-pensions or call Service Canada at 1-800-277-9914.

[Visual]: Two individuals smiling in front of a laptop.

Slide 5 – Old Age Security (OAS) and Guaranteed Income Supplement (GIS)

[Selma]: Old Age Security, which is commonly called the OAS pension, is a monthly payment you may get if you are 65 and older.

Service Canada will let you know if you have been automatically enrolled. If you have not been automatically enrolled, you will need to contact Service Canada.

The amount you receive depends on your age, your income, and how long you have lived in Canada since the age of 18.

If your income is higher than $90,997 for 2024, you will have to repay part or your entire Old Age Security pension. If you have to repay, an amount may also be withheld from your next year’s OAS monthly payments.

Old Age Security is a taxable pension. However, taxes aren’t automatically deducted. You can contact Service Canada to get the federal income tax deducted from your monthly payment.

Lower-income seniors who are living in Canada may also be entitled to a non-taxable supplement known as the Guaranteed Income Supplement, or the GIS. You apply for both the GIS and the OAS pension at the same time.

Learn more and try the Old Age Security Benefits Estimator on canada.ca.

Slide 6 – Canada Pension Plan (CPP)

[Selma]: The Canada Pension Plan, or CPP, is a monthly taxable benefit. If you qualify, you’ll receive the CPP retirement pension for the rest of your life.

The standard age to start the pension is 65. However, you can start receiving it as early as 60 or as late as 70.

If you start receiving your pension earlier, the monthly amount will be smaller. If you start later, it will be larger.

There’s no benefit in waiting until after 70 to start receiving the pension. The maximum monthly amount you can receive is reached when you turn 70.

The amount you receive depends on your CPP contributions over the years. In July 2024, the average monthly amount paid for a new retirement pension, at age 65, was $815.

You must apply online or by mail to receive the CPP. For more information on eligibility and how to apply, visit canada.ca.

You can also contact Service Canada.

Slide 7 – Registered retirement savings plan (RRSP)

[Selma]: A registered retirement savings plan, or RRSP for short, is a form of investment where contributions can be used to reduce your tax.

The last day that you can contribute to your RRSP is December 31 of the year you turn 71.

You can contribute to your spouse’s or common-law partner’s RRSP until December 31 of the year they turn 71.

[Visual]: A block calendar showing December 31.

Slide 8 – RRSP options when you turn 71

[Selma]: In the year you turn 71, you must convert your RRSP in one of three ways:

Option 1: You can withdraw the funds from your RRSPs.

Any income you earned while you had the RRSP is usually exempt from tax if the funds remain in the plan.

However, you generally will pay tax on the total amount when you start making withdrawals from that plan.

In this case, your issuer will withhold tax on the amount you withdraw.

Option 2: You can transfer your funds to a registered retirement income fund, called an RRIF for short.

An RRIF is an arrangement between you and a carrier that is registered by the CRA. The carrier can be an insurance company, a trust company, or a financial institution.

You transfer funds to the carrier and the carrier pays you a minimum amount each year based on the value of the RRIF and your age.

Earnings in an RRIF are tax-free but amounts paid out of an RRIF are taxable. Enter these payments as income on your tax return.

Option 3: You can use your RRSPs to buy an annuity.

An annuity is a plan that makes regular payments to you for life or for a specified period.

You may receive a general annuity, a payment from an RRIF, or a variable pension payment.

These payments are part of your total income, and you must report them on your taxes.

For more information on RRSPs, visit canada.ca/rrsp.

Slide 9 – Report or not?

[Selma]: Other common income sources for adults 65 years and older include:

Superannuation and other pensions: Most of these are part of your total income and must be reported on your return.

Retiring allowances: These are also called severance pay. This amount is paid on or after retirement. It is taxable income and must also be reported on your taxes.

Lump-sum payments: These include a one-time total or partial payment from a pension plan that is received when you leave a plan. These are taxable and must be reported on your return.

And tax-free savings accounts, or TFSAs for short: These accounts earn interest, dividends, or capital gains on deposits. The earnings are generally not taxable. Income earned within and withdrawals from a TFSA don’t affect your eligibility for benefit and credit payments because they are not reported as income.

Slide 10 – Benefit and credit payments you may be eligible to receive

[Selma]: Next, we’ll talk about how you could be eligible for benefit and credit payments when you do your taxes.

More information on these payments is available at canada.ca/benefits-credits-information.

The most common payment for adults over 65 is the goods and services tax/harmonized sales tax credit, commonly called the GST/HST credit.

[Visual]: An adult and child smiling and embracing.

Slide 11 – GST/HST credit

[Selma]: The GST/HST credit is a tax-free payment made four times a year, for people with low and modest incomes.

It helps offset the GST or HST they pay on goods and services.

To get it, do your taxes every year, even if you have no income.

The CRA will use this information to confirm whether you are eligible and for how much.

Single people can receive up to $519 per year while those who are married or common-law can receive up to $680. And, up to $179 per year may be paid for each child under 19.

[Visual]: An individual using their laptop outside on a table.

Slide 12 – Canada Carbon Rebate

[Selma]: Just like the GST/HST credit, you may be eligible for the Canada Carbon Rebate when you turn 19.

This is a tax-free payment made four times a year, and it helps offset the cost of federal pollution pricing. The amount you receive depends on your family situation and the province you live in.

It’s available to residents of Alberta, Saskatchewan, Manitoba, Ontario, New Brunswick, Nova Scotia, Newfoundland and Labrador, and Prince Edward Island.

It consists of a basic amount and a supplement for residents of small and rural communities.

To claim the rural supplement, you and your spouse must tick the box on page 2 of your income tax and benefit return.

As the rural supplement is already included in the basic amount for Prince Edward Island, individuals from that province don’t have to claim it on their tax return.

[Visual]: An individual filling out forms at a table.

Slide 13 – Canada child benefit

[Selma]: Next is the Canada child benefit, or the CCB for short.

This benefit is a tax-free monthly payment made to eligible families to help with the cost of raising children under 18.

Each year, it may provide up to $7,787 for each child under 6, and up to $6,570 for each child aged 6 to 17.

You need to apply for all children in your household.

Apply if you have not applied before and no one else is receiving the benefit for a child living with you.

[Visual]: Two young children in the background doing homework at a table, and an adult working on their laptop.

Slide 14 – Canada workers benefit

[Selma]: The Canada workers benefit, or CWB for short, is a refundable tax credit for those working and earning a low income.

It’s money to help with the rising cost of living.

It has two parts:

1 – a basic amount and

2 – a disability supplement for those with an approved disability tax credit certificate.

For single people, the maximum basic amount is $1,590 a year.

For families, the maximum basic amount is $2,739 a year.

The maximum CWB amount will be different for residents of Alberta, Nunavut, and Quebec.

[Visual]: An individual smiling as they are working.

Slide 15 – Common tax credits and deductions for adults 65+

[Selma]: In the next few slides, we will go over some common tax credits and deductions.

Tax credits are amounts that reduce the tax you pay on your taxable income.

Some tax credits are non-refundable, which means they reduce or cancel the amount of tax you have to pay.

For a complete list of tax credits and deductions, visit canada.ca/taxes-seniors.

[Visual]: An elderly couple having coffee. One individual smiles as the other kisses them on the cheek.

Slide 16 – Age amount

[Selma]: The age amount is a non-refundable tax credit that can lower the amount of tax owed if you’re 65 or older and your net income is below the yearly threshold.

For the 2024 tax year, your net income needs to be less than $102,925 to qualify. The amount you’re eligible to claim depends on your net income.

You may also be eligible to claim the corresponding provincial or territorial tax credit. These amounts will be calculated automatically when you do your taxes using certified tax software.

For more information on claiming the age amount, visit canada.ca/line-30100.

[Visual]: An individual smiling while talking on a cellphone.

Slide 17 – Pension income amount

[Selma]: If you reported eligible pension, superannuation or annuity payments on your tax return, you may be able to claim the pension income amount. This is a non-refundable tax credit that can help reduce what you pay in taxes.

A superannuation is an amount paid out of an employee’s pension plan. So, if you get regular payments from a retirement plan that was set up by your former employer, it’s a superannuation.

An annuity is a plan that makes payments to you on a regular basis. For example, it could be a general annuity, or a payment from a registered retirement income fund, also known as a RRIF like we discussed earlier.

For more information on the pension income amount and a list of eligible pension and annuity income, visit canada.ca/line-31400.

[Visual]: An individual with a laptop in front of them talking on a cellphone while taking notes.

Slide 18 – Pension income splitting

[Selma]: There are other ways you can help lower your tax bill.

For example, you may be able to split your pension income with your spouse or common-law partner if you meet certain conditions.

You can transfer up to half of your eligible pension income to your spouse or common-law partner, regardless of their age.

When you split your pension income with your spouse or common-law partner, you deduct the amount that you are transferring to them on your tax return.

Your spouse or common-law partner must report this amount as income on their tax return.

To split eligible pension income, you and your spouse or common-law partner must each fill out Form T1032, Joint Election to Split Pension Income.

You must fill this out for every year you want to split pension income.

Keep in mind that you cannot split your income from the Canada Pension Plan, Quebec Pension Plan, or Old Age Security.

For more information on pension income splitting, visit canada.ca/pension-splitting.

Slide 19 – Disability tax credit (DTC)

[Selma]: The Disability tax credit, or DTC for short, is a non-refundable tax credit.

It helps people with disabilities, or their supporting family members, reduce the amount of income tax they may have to pay.

By doing so, the DTC offsets some of the extra costs often experienced by persons with disabilities.

Even if you do not have taxable income, there are other benefits to applying for the DTC.

Being approved can help you get other federal programs, such as the child disability benefit, the Canada workers benefit disability supplement, and the registered disability savings plan, or RDSP for short.

For more information, visit canada.ca/disability-tax-credit.

[Visual]: An individual with a prosthetic leg is looking at their phone.

Slide 20 – Amounts transferred to or from your spouse

[Selma]: When doing your taxes, you may realize there is no need for you to claim all your tax credits to reduce your federal tax to zero. But don’t let them go to waste!

You may be able to transfer unused amounts to your spouse or common-law partner to reduce their federal tax.

Some of the credits that can be transferred include the age amount, the pension income amount, and the disability amount for self.

By including both spouses’ information, most tax software programs will calculate the most advantageous way to claim the amounts.

Slide 21 – Multigenerational home renovation tax credit

[Selma]: The multigenerational home renovation tax credit is a refundable tax credit that you may be able to claim for certain renovation expenses spent to create a self-contained secondary unit.

The secondary unit must be for an adult 65 or older, or an adult who is eligible for the DTC, so they can live with a qualifying relative.

You can claim up to $50,000 in qualifying expenditures for each qualifying renovation completed. The tax credit is 15% of your costs, up to a maximum of $7,500, for each claim you are eligible to make.

For more information, go to canada.ca/cra-mhrtc.

[Visual]: A group of individuals and children are cooking together in a kitchen.

Slide 22 – Canada caregiver credit

[Selma]: The Canada caregiver credit is a non-refundable tax credit for those who support a spouse or common-law partner, or a dependant with a physical or mental impairment.

An individual is considered to depend on someone for support if they rely on that person to regularly provide some or all the necessities of life, such as food, shelter, and clothing.

When claiming the Canada caregiver credit, the caregiver may need to provide a signed statement from a medical practitioner. The statement should confirm when the impairment began and how long the impairment is expected to last.

You don’t need a signed statement if the CRA already has an approved DTC certificate for a specified period for them.

For more information, visit canada.ca/caregiver-credit.

[Visual]: An individual sitting beside and smiling with another individual in a wheelchair.

Slide 23 – Home accessibility tax credit

[Selma]: The home accessibility tax credit is a non-refundable tax credit. You may be able to claim it if you own a home in Canada and you paid for eligible renovations to improve the safety or accessibility of the home for yourself or for another eligible individual.

You can claim up to $20,000 each year in eligible expenses. This can result in a tax credit up to $3,000.

You may be eligible for this credit if you’re 65 or older or if you qualify for the DTC. Or, you may claim for a dependant, if certain criteria are met.

You can find more information at canada.ca/line-31285.

[Visual]: A set of blueprints with a house model, red hard hat, measuring tape and pencil sitting on top of them.

Slide 24 – Medical expenses

[Selma]: Another non-refundable tax credit you may be able to claim is for medical expenses. You can claim eligible medical expenses that you or your spouse or common-law partner paid for yourselves, your children under 18, or certain dependent family members who were residents of Canada at any time during the year.

You can claim a wide range of products, procedures and services, such as medical supplies, dental care, and travel expenses.

You can only claim the portion of an eligible expense that has not been or will not be reimbursed. Most claims don’t require you to be eligible for the DTC.

For more information, visit canada.ca/taxes-medical-expenses.

Slide 25 – My Account for individuals

[Selma]: You can register for the CRA’s My Account once you have done your taxes for the first time and have received your notice of assessment.

My Account is a secure portal that lets you view your personal income tax and benefit information and manage your individual tax affairs online.

Along with doing your taxes every year, you must keep your personal information up to date to keep getting benefits and credit payments.

You can instantly update this information on your own in My Account!

You can also:

• Track your refund
• View or change your return
• View your mail online, such as your notice of assessment
• Check your benefit and credit payments and statements
• Submit and track your DTC application, and more

For more information or to register for My Account, go to canada.ca/cra-sign-in-services.

[Visual]: Screenshot of the My Account overview page online.

Slide 26 – Digital services

[Selma]: In addition to My Account, there are many digital services available from the CRA. Here are a few.

Auto-fill my return is a secure service that automatically fills in parts of your tax return with information the CRA has available at the time of your request, making it easier to do your taxes and helping to prevent mistakes.

Direct deposit is a fast, reliable, and secure way for individuals to get payments from the CRA on time in the event of unforeseen circumstances, such as a natural disaster or an emergency.

Email notifications help prevent fraud. Those from the CRA let you know when changes are made to your personal information in My Account or there is CRA mail to view online.

For more information on the CRA’s digital services, go to canada.ca/cra-digital-services.

Slide 27 – Need help?

[Selma]: The CRA needs your permission to deal with another person who may act as your representative for income tax and benefit matters. This could be a family member, a friend, or an accountant.

Form AUT-01, Authorize a Representative for Offline Access, allows you to authorize a representative to only have access to your account information by phone, by mail, by fax, and in person.

You can also add a representative to your account under "Authorized representative(s)" from the "Profile" section in My Account.

This method provides online access. This is useful when your representative wants to submit documents electronically for you.

Make sure to choose someone you can trust! You don’t need to authorize someone as a representative if that person is only doing your taxes.

Slide 28 – What to do following a death

[Selma]: We recognize how difficult it can be to cope with the death of a loved one.

When someone dies, the family or the legal representative settles their tax and benefit affairs. They should call the CRA to report the deceased individual’s date of death as soon as possible by calling 1-800-959-8281.

Arrangements must also be made to stop any payments from the CRA or to transfer them to a survivor. If the CRA is not aware of the death in time to stop payments, they may still be sent out. If this happens, the legal representative must return the payments to the CRA.

For more information on what to do following a death, consult the information sheet RC4111, What to Do Following a Death. You can consult or order the information sheet at canada.ca/taxes-end-of-life.

Slide 29 – Do your taxes on time

[Selma]: The key to getting your benefits and credits is doing your taxes . . . on time!

We know it can be a bit scary.

But it’s important!

Benefits and credits are calculated based on the income you report when do your taxes.

So, even if you didn’t earn income in the year, or your income was tax-exempt, we need this information.

Filing by the deadline allows us to calculate your payments and send them to you on time.

The deadline is generally April 30.

[Visual]: A clock.

Slide 30 – Ways to do your taxes

[Selma]: There are a few ways to do your taxes.

The fastest and easiest way is to do them online. If you are eligible, you can use certified software or a web application.

Some certified software is even free. The software guides you through the process, calculates everything, and helps make sure you don’t miss out on any benefits and credits.

If you have a modest income and a simple tax situation, a volunteer may be able to do your taxes for you at a free tax clinic.

You can also get help from a family member, a friend, or a tax preparer.

Finally, you can do them on paper by downloading a tax package for your province or territory, filling out the forms on a computer or by hand, and mailing them to the CRA.

To find out more, visit canada.ca/taxes-get-ready.

Slide 31 – SimpleFile by Phone

[Selma]: You may be eligible to do your taxes over the phone using SimpleFile by Phone. The service used to be called File my return.

SimpleFile is for individuals with a simple tax situation.

If you are eligible to use the SimpleFile by Phone service, you will get an invitation letter from the CRA mid-February.

The letter will provide more information and a phone number for you to call to have your return filed.

You will have to confirm some personal information and answer a series of short questions using the keypad on your phone.

It’s as simple as that!

If you live in Quebec, you will need to do your provincial tax return separately.

For more information on the SimpleFile by Phone service, visit Use your SimpleFile invitation to file your taxes - Canada.ca.

[Visual]: An individual speaking on the telephone.

Slide 32 – Free tax help

[Selma]: As I mentioned, you may be able to get your taxes done by a volunteer for free!

The program is called the Community Volunteer Income Tax Program. In Quebec, it’s known as the Income Tax Assistance – Volunteer Program.

You’re eligible to have your taxes done through the program if you have a modest income and a simple tax situation.

Generally, a modest income is less than $35,000 for a single person and less than $45,000 for a couple.

Your tax situation is simple if, for example, you don’t have a small business or income from a rental property.

Tax clinics are held all year. However, most clinics are offered in March and April. If you’re interested in learning about taxes and volunteering at a free tax clinic, reach out to us!

For more information or to find a clinic, go to canada.ca/get-tax-help.

[Visual]: The logo for the Community Volunteer Income Tax Program.

Slide 33 – Be scam smart!

[Selma]: To protect yourself from scams, it’s important to know when and how the CRA might contact you.

Here’s what you can do to be scam smart:

• Take a minute and question why the CRA needs your personal information.
• When in doubt, check My Account to see if you have mail or an amount owing: if you don’t, then make sure to you delete the fraudulent communication you received.

You can also call the CRA to verify whether they are trying to reach you.

For more information, go to canada.ca/be-scam-smart.

You can also watch the Be Scam Smart webinar on our web page. I’ll provide more information on this shortly.

[Visual]: Black exclamation mark in a yellow triangle, and text saying, “Some scams are easy to spot. Some are not.”

Slide 34 – Want to learn more about taxes?

[Selma]: We invite you to try out Learn about your taxes.

This self-directed online learning tool takes you through the purpose of taxes, completing a basic tax return, and more. It has exercises, quizzes, videos, and common tax terms.

And there are lesson plans for teachers and facilitators.

Go to canada.ca/learn-about-taxes to dive in.

[Visual]: Screenshot of the Learn about your taxes landing page on canada.ca.

Slide 35 – Thank you!

[Selma]: We’ve reached the end of our webinar.

For more information on any of the topics discussed today, visit canada.ca/taxes.

We also encourage you to visit our Upcoming Events page at canada.ca/cra-outreach-events to view past recordings like the scams webinar we mentioned and register for upcoming webinars.

Did you know you can subscribe to electronic mailing lists with the CRA? Sign up to receive benefit and credit payment date email reminders about a week before a payment is issued. Go to canada.ca/benefit-credit-payment-reminders.

If you can’t find what you’re looking for online, you can call the CRA at 1-800-959-8281.

If you are deaf, hard of hearing, or have a speech impairment and are registered with Canada Video Relay Service, you can call the CRA at 1-800-561-6393.

Stay connected by following us on social media: we are on X, Facebook, YouTube, LinkedIn and Instagram.

We hope the webinar was helpful! Thank you for joining us, and enjoy your day!