ItSA国际影视传媒檚 no secret life in the North is expensive, but there are a number of tax breaks for Northerners that can reduce the burden on households.
Anyone who has lived in the Northwest Territories, Yukon Territory or Nunavut for half a year consecutively is eligible for SA国际影视传媒楴orthern resident deductionsSA国际影视传媒� SA国际影视传媒� an $11 per day credit for every day you live in CanadaSA国际影视传媒檚 far North as well as a travel deduction on airfare.
SA国际影视传媒淭hese deductions provide relief to those who live in a prescribed zone and recognize that such individuals are often faced with a higher cost of living, environmental hardships, and limited access to services,SA国际影视传媒� read the federal governmentSA国际影视传媒檚 website. SA国际影视传媒淵ou can claim the residency deduction if you have lived, on a permanent basis, in one or more prescribed zones for a continuous period of at least six consecutive months.
SA国际影视传媒淭hat period can begin or end in the tax year for which you are filing a tax return.SA国际影视传媒�
Flights and other travel for medical travel or even vacations can be claimed, provided you still have the receipts to prove you made the flight. The lowest of three different options can be claimed, either the total of actual travel expenses, the lowest return airfare for the dates or the value of a taxable benefit provided for travel.
Using a chart provided on the governmentSA国际影视传媒檚 website, one can determine the lowest return airfare for any given travel day, which is the maximum amount that can be claimed for a trip SA国际影视传媒� unless it exceeds $1,200, which is the absolute maximum dollar amount that can be claimed per person for travel expenses.
SA国际影视传媒淭o claim Northern residents travel deduction, you must use the applicable lowest return airfare (LRA),SA国际影视传媒� read the federal governmentSA国际影视传媒檚 website. SA国际影视传媒淭he LRA is the cost of the cheapest round-trip airfare available when your travel begins, between the airport closest to your residence and the nearest designated city.
SA国际影视传媒淚f you want to use an airfare amount that is different than one given in one of the LRA tables, keep receipts and documents to support the amount, in case the CRA wants proof.SA国际影视传媒�
Other travel expenses that can be claimed include hotels, vehicle expenses and even food.
Northerners should also remember that any expenses incurred by employment travel are not eligible for the benefit if an employee is related to their employer.
SA国际影视传媒淵ou can claim a residency deduction even if you are not claiming a travel deduction,SA国际影视传媒� read the federal governmentSA国际影视传媒檚 website. SA国际影视传媒淓ach deduction is calculated separately.SA国际影视传媒�
Anyone who maintains a dwelling, which is to say anyone who has their own home, can also claim an additional $11 per day they have maintained that dwelling.
However, only one person per household can claim this extra benefit.
SA国际影视传媒淎 dwelling is a self-contained domestic establishment,SA国际影视传媒� read the website. SA国际影视传媒淕enerally, this is a complete and separate living unit with a kitchen, bathroom, sleeping facilities and its own private access.
SA国际影视传媒淯se Form T2222 to calculate your Northern residentsSA国际影视传媒� deductions. It also contains instructions to help you complete the form.SA国际影视传媒�
