Blog: October 24, 2017 Fall Economic Statement
October 27th, 2017
On October 24th, 2017, the Minister of Finance presented his Fall Economic Statement including draft legislation to implement the following changes:
- Starting July 2018, due to the implementation of indexation two years earlier than originally proposed, tax-free Canada Child Benefit (“CCB”) amounts for families with two children will go up by approximately $200. The year after, families will receive an additional $500.
| Effects of Indexation Beginning in the 2018-19 Benefit Year | |||
| CCB amounts and phase-out thresholds ($) | Current Benefit Year | 2018-19 | 2019-20 (projected) |
| Maximum amount per child under 6 | 6,400 | 6,496 | 6,626 |
| Maximum amount per child aged 6 through 17 | 5,400 | 5,481 | 5,591 |
| First income threshold | 30,000 | 30,450 | 31,059 |
| Second income threshold | 65,000 | 65,975 | 67,295 |
Indexation: 1.5% for 2018 and 2.0% (projected) for 2019
- As previously announced, the small business tax rate will be reduced from 10.5 per cent to 9 per cent by January 1, 2019. The dividend gross-up and dividend tax credit rates are amended accordingly.
Please contact your Crowe BGK advisor should you require any additional information.
Authors: Sam Lackman, CPA, CA, and Jennifer Warner, LL.B., LL.M Tax
