Lisa Raitt, Minister of Labour, accompanied by Rick Norlock, for Northumberland—Quinte West, attended a children’s dance competition today at the Cobourg Highland Games to promote the Children’s Arts and Fitness Tax Credits. Minister Raitt highlighted that the Children’s Fitness Tax Credit is on track to provide an estimated $120 million in tax relief to Canadian families in 2012.
“Our Government is committed to keeping taxes low for hard-working Canadian families. These credits support families whose children participate in music or dance lessons, hockey or soccer, and a number of other activities,” said Minister Raitt. “It is great news that the Children’s Fitness Tax Credit is providing record savings.”
When children take part in eligible programs that focus on the arts or fitness, their families can save their receipts and claim the cost of those programs, to a maximum of $500 per child per credit, on their income tax and benefit returns. This means savings of up to $150 on their tax bill for each child’s programs.
According to the 2012 Tax Expenditures and Evaluations publication, the estimated fiscal cost of the Children’s Fitness Tax Credit is $120 million for the 2012 taxation year. This represents a significant expected growth in tax savings from the estimated fiscal cost of $90 million in 2007.
“I’m happy that so many families across the country and right here in Cobourg are benefiting from the tax savings provided by the Children’s Arts and Fitness Tax Credits,” said Mr. Norlock. “We hope to see continued growth in participation for these important programs.”
As with all supporting documents, parents have to keep receipts to support their claims for six years.