PERSONAL TAX TRAINING

CANADA WORKERS BENEFIT (CWB)

The Canada Workers Benefit (CWB) is a refundable tax credit aimed at supporting low-income workers and their families. To further enhance support, the Advance Canada Workers Benefit (ACWB) allows eligible recipients to receive a portion of their CWB payments throughout the year.

Eligibility Criteria

To qualify for the CWB, you must meet these criteria:

• Be at least 19 years old on December 31 or live with a spouse, common-law partner, or child.
• Be a resident of Canada throughout the year.
• Have working income below your province or territory’s set thresholds.

Exceptions include full-time students, individuals incarcerated for over 90 days, or those exempt from Canadian taxes (e.g., diplomats).

Benefit Amounts

The CWB includes the basic amount and a disability supplement:

• Basic Amount: Up to $1,518 for individuals and $2,616 for families, decreasing as income rises.
• Disability Supplement: An additional $784 for those eligible for the Disability Tax Credit.

*Note: Amounts vary for Quebec, Nunavut, and Alberta residents.

Advance Canada Workers Benefit Payments

Eligible individuals can receive up to 50% of their estimated CWB entitlement in advance, distributed in three payments annually:

• January
• July
• October

If a payment date falls on a weekend or federal holiday, payments are made on the preceding business day.

How to Apply

The CRA automatically assesses your eligibility when you file your tax return. To claim CWB:

• Electronically: Use certified tax software and follow the prompts.
• Paper Return: Complete Schedule 6, Canada Workers Benefit.

Advance payments are issued automatically based on your previous year’s tax return.

Reporting Advance Payments

ACWB recipients will receive an RC210 slip detailing payment amounts. Report these on Schedule 6 of your tax return.

For more details, visit the CRA’s Canada Workers Benefit page.