It’s time to file your income tax return! Here is a checklist of the main amounts, credits and deductions offered by the two levels of government, and some other information.Access the checklist
Changes in your taxes
Certain measures have been improved over the past year, to the satisfaction of Réseau FADOQ, which was advocating for this.
Since the implementation of this tax measure, Réseau FADOQ has been pressing the Quebec government to increase the amounts granted. Now, as a result of the November 2021 budget update, the amounts associated with this tax measure have been doubled.
For 2021, a single person will receive the maximum amount available of $400 up to a family income of $23,575, while a couple of seniors aged 70 or older will receive the maximum of $800 up to a family income of $38,340.
The refundable one-time tax credit was implemented by the Québec government to compensate for the portion of the cost-of-living increase that is not taken into account by the indexation of the tax system.
This tax credit, which is unfortunately only a one-time measure, is intended for individuals who were entitled to the solidarity tax credit in the last year. It is a one-time lump sum payment consisting of:
- $200 per eligible individual
- an additional $75 for eligible individuals living alone.
The credit will be paid automatically to eligible individuals effective January 24, 2022. There is no need to apply.
The Réseau FADOQ requested that the reimbursement of eligible expenses through this tax credit be increased from 35% to 40%. As a result, beginning with the 2022 tax year, the tax credit rate will increase by 1% per year until 2026, when it will be 40%.
An increase in tax assistance for seniors living in apartment buildings has also been added.
In its November economic update, the federal government indicated that assistance will be provided to Guaranteed Income Supplement recipients affected by Canada Emergency Benefit payments. Réseau FADOQ applauded this measure, but we are still waiting for more details.
Let’s remember that, starting on December 1, 2017, after a long battle led by Réseau FADOQ, eligible persons are automatically enrolled in the GIS. However, individuals who turned 64 before December 1, 2017, must complete the required form, if they have not already done so, to receive GIS and be enrolled in the lifetime list.
The main sources of income in retirement
Sources of income
- Additional retirement pension plans
- Québec Pension Plan
- Registered Retirement Savings Plan (RRSP)
- Registered Retirement Income Fund (RRIF)
- Old Age Security (OAS)
- Guaranteed Income Supplement (GIS), if you are eligible
- If you worked in another province, you have access to the Canada Pension Plan retirement pension
In addition, you must consider as income all amounts received as severance pay and lump sum payments when you withdraw money from a pension plan.
- Instalment payments:
Pay instalments, if requested, to reduce your tax liability.
- Contribution to the Québec Drug Insurance Plan:
You MUST enroll in the public plan and pay the premium if you do not have private insurance.
- Withholding taxes:
The amount of the withholding tax may be reduced, depending on the tax deductions you are entitled to.
Complete the T1248 form. Information about your residency status (Schedule D).
Useful contact information
- International Social Security Agreements | 1 800 454-8731
- Old Age Security (OAS), Allowance for the Survivor, Canada Pension Plan (CPP) Retirement Pension, Guaranteed Income Supplement (GIS), Allowance Program | 1-800-277-9915
- Service Canada | 1 800 959-7383 | Website
- Tax information for seniors | Website
- Québec Pension Plan Retirement Pension, Quebec Pension Plan Survivor Benefits | 1 800 463-5185
- Revenu Québec | Website
Québec City area: 418 659-6299
Greater Montréal: 514 864-6299
If you don’t know whether you are taking advantage of all the tax benefits you are entitled to, consult a professional or use the Volunteer Income Tax Assistance Service, offered free of charge by some community organizations. For more information, contact the volunteer action centre nearest you.
Find your nearest volunteer action centre (only in french)
Many regional and local branches of the financial and consumer education group known as ACEF (Associations coopératives d’économie familiale) organize tax clinics for seniors.
Find the ACEF nearest you (only in french)
If you do not qualify for this service, don’t hesitate to contact a professional.
Réseau FADOQ also offers a discount on the UFile tax program.
Find out more about this discount
Updated article and info sheet: January 2022.
Source : Réseau FADOQ