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NEW TAX CHANGES FOR 2020 TAX YEAR



WHATS NEW FOR 2020 TAX YEAR?

Individuals and families

Home Buyers’ Plan – If you are not considered a first-time home buyer for the purposes of the HBP, and you experience a breakdown in your marriage or common-law partnership, you may be able to participate in the HBP under certain conditions. For more information, go to canada.ca/home-buyers-plan.

Other employment expenses (line 22900 of the return) – If you worked from home in 2020 due to COVID-19, you may be able to claim certain employment expenses. As us how or click here for more information.

Basic personal amount (line 30000 of the return) – This amount has increased for most taxpayers.

Spouse or common-law partner amount (line 30300 of the return) – This amount has increased for most taxpayers.

Amount for an eligible dependent (line 30400 of the return) – This amount has increased for most taxpayers.

Digital news subscription expenses (line 31350 of the return) – For the 2020 to 2024 tax years, you may be able to claim a non-refundable tax credit for expenses you paid in the year for a digital news subscription with a qualified Canadian journalism organization.

Your tuition, education, and textbook amounts (line 32300 of the return) – The Canada training credit that the student claims for the year reduces the amount that they can use to calculate their tuition tax credit, transfer to a designated individual, or carry forward to a later year.

Donations and gifts (line 34900 of the return) – We have simplified the calculation on Schedule 9 for most individuals. Also, for 2020 and later tax years, you may be able to claim a non-refundable tax credit for donations made to registered journalism organizations.

Canada training credit (line 45350 of the return) – If you meet certain conditions, you will be able to claim a Canada Training Credit, a new refundable tax credit that is available for 2020 and later tax years.

Canadian journalism labour tax credit (CJLTC) (line 47555 of the return) – For 2019 and later tax years, if you are a member of a partnership that is a Qualifying Journalism Organization, you can claim this new, refundable credit allocated to you by the partnership.

Mineral exploration tax credit for flow-through share investors – This investment tax credit is extended for an additional 5 years to March 31, 2024.

Amounts received related to COVID-19

During the year, you may have received federal, provincial, or territorial government COVID-19 payments such as the Canada Emergency Response Benefit. If these amounts are taxable, you will have received a slip, such as a T4A or T4E, with instructions for how to report these amounts. These slips also are available in My Account. For more information, go to canada.ca/my-cra-account.

Important Dates