2012 indexation adjustment for personal income tax and benefit amounts

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The following information is available on the CRA Web site:


Each year, certain personal income tax and benefit amounts are indexed to inflation using the Consumer Price Index data as reported by Statistics Canada.

Increases to tax bracket thresholds, amounts relating to non‑refundable credits, and most other amounts will take effect on January 1, 2012. However, increases to the Canada Child Tax Benefit (including the National Child Benefit Supplement and the Child Disability Benefit) and the goods and services tax credit will take effect on July 1, 2012, to coincide with the beginning of the program year for payment of these benefits.

The following chart compares the indexed amounts for the 2011 and 2012 tax years. It reflects an indexation increase of 2.8% for 2012.

  2012
($)
2011
($)
Tax bracket thresholds
Taxable income above which the 22% bracket begins 42,707 41,544
Taxable income above which the 26% bracket begins 85,414 83,088
Taxable income above which the 29% bracket begins 132,406 128,800
Amounts relating to non-refundable tax credits
Basic personal amount 10,822 10,527
Age amount 6,720 6,537
Net income threshold 33,884 32,961
Spouse or common-law partner amount (max.) 10,822 10,527
Spouse or common-law partner amount (max. if eligible for the family caregiver amount) 12,822 N/A
Amount for an eligible dependant (max.) 10,822 10,527
Amount for an eligible dependant (max. if dependant eligible for the family caregiver amount) 12,822 N/A
Amount for children under age 18 (max. per child) 2,191 2,131
Amount for children under age 18 (max. per child eligible for the family caregiver amount) 4,191 N/A
Canada employment amount (max.) 1,095 1,065
Infirm dependant amount (max. per dependant) 6,402[Footnote 1] 4,282
Net income threshold 6,420 6,076
Caregiver amount (max. per dependant) 4,402 4,282
Caregiver amount (max. per dependant eligible for the family caregiver amount) 6,402 N/A
Net income threshold 15,033 14,624
Disability amount 7,546 7,341
Supplement for children with disabilities (max.) 4,402 4,282
Threshold relating to allowable child care and attendant care expenses 2,578 2,508
Adoption expenses (max. per adoption) 11,440 11,128
Medical expense tax credit—3% of net income ceiling 2,109 2,052
Refundable medical expense supplement
Maximum supplement 1,119 1,089
Minimum earnings threshold 3,268 3,179
Family net income threshold 24,783 24,108
Old Age Security repayment threshold 69,562 67,668
Certain board and lodging allowances paid to players
on sports teams or members of recreation programs
Income exclusion (max. per month) 329 320
Tradesperson’s tools deduction
Threshold amount relating to cost of eligible tools 1,095 1,065
Goods and Services Tax/Harmonized Sales Tax credit
Adult maximum 260 253
Child maximum 137 133
Single supplement 137 133
Phase-in threshold for the single supplement 8,439 8,209
Family net income at which credit begins to phase out 33,884 32,961
Canada Child Tax Benefit 
Base benefit 1,405 1,367
Additional benefit for third child 98 95
Family net income at which base benefit begins to phase out 42,707 41,544
National Child Benefit (NCB) supplement
First child 2,177 2,118
Second child 1,926 1,873
Third child 1,832 1,782
Family net income at which NCB supplement begins to phase out 24,863 24,183
Family net income at which NCB supplement phase-out is complete 42,707 41,544
Canada Disability Benefit (CDB)
Maximum benefit 2,575 2,504
Family net income at which CDB supplement begins to phase out 42,707 41,544
Children’s Special Allowances (CSA)
CSA Base Amount 3,582 3,485

Footnotes

[Footnote 1]
Includes family caregiver amount of $2,000.

Source: CRA Newsroom

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