Income Tax Act
Increased B.C. Family Benefit
For the months of January, February, and March 2023, B.C. Family Benefit amounts increased. This was part of a relief package for B.C. families to help better manage the rising costs of living. From April 2023 onward, these benefits will return to their normal amounts.
Budget 2023 permanently increased the amounts for the B.C. Family Benefit effective July 1, 2023, based on the number of children under 18 within a family.
The maximum annual benefit will increase to:
- $1,750 for the first child
- $1,100 for a second child
- $900 for each subsequent child
For families with adjusted family net income over $27,354, the maximum annual benefit is phased out. This means a two-parent household with two children could receive up to an additional $250 per year.
The minimum annual benefit will increase to:
- $725 for each subsequent child
This applies to families earning up to an adjusted family net income of $87,533. This means a two-parent family with two children receiving the B.C. Family Benefit will receive at least an additional $145 per year.
Effective July 1, 2023, Budget 2023 announced that a maximum annual supplement of $500 will be provided to single parent families. The supplement is added to the maximum annual benefit otherwise available to the parent, meaning a single parent with two children could receive up to an additional $750 per year after the benefit increase and the additional supplement.
Increased Climate Action Tax Credit
Effective July 1, 2023, Budget 2023 increased the maximum annual climate action tax credit increases to:
- $447.00 for an adult (formerly $193.50)
- $223.50 for a spouse or common-law partner (formerly $193.50)
- $111.50 per child (formerly $56.50)
Single-parent families will continue to receive the spouse or common-law partner amount for the first child in the family.
The tax credit helps offset the effects of carbon taxes paid by low-to moderate-income individuals and families. It is being increased as a result of revenue generated by the scheduled carbon tax rate increase this year.
