Working Income Tax Benefit (WITB)

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What is this?

The Working Income Tax Benefit (WITB) is a refundable tax credit for low-income individuals and families who have working income that is over $3,000.

The WITB consists of a basic amount and a disability supplement and is calculated based on your working income and your adjusted family net income. If you live in British Columbia, Alberta, Québec, or Nunavut, the amount of working income required to be able to receive the WITB is different as they have set their own amount.

Note: Adjusted family net income, as it pertains to the WITB, includes the tax-exempt portion of all income earned or received on a reserve less any deductions related to that income.

IMPORTANTClick here to determine whether your net income level makes you eligible to receive the basic Working income tax benefit and disability supplement.

Did you receive scholarship income in 2015? Click here for information on the taxable part of your scholarship income.

There are a few things to keep in mind when claiming this credit:

  • Only you or your partner can claim this credit. If you are both eligible, you need to decide who will claim it.

  • If one of you received the Working Income Tax Benefit Advance, that person must also claim the Working Income Tax Benefit amount.

    Note: If you received the Working Income Tax Benefit Advance, you must complete form RC210: Working income tax benefit advance payments statement. For information on how to receive the Working Income Tax Benefit advance, click here.

  • If you and your partner have an eligible dependant, only one of you can claim the WITB on their behalf. For the purpose of the WITB, an eligible dependant is a person who meets all the following conditions. He or she must be:

    • You or your partner's child;
    • Under 19 years of age and lived with you on December 31, 2015; and
    • Ineligible for the WITB in 2015

  • If you, your partner, or both of you qualified for the disability amount, the person who claims the disability amount must also claim the Working Income Tax Benefit.

To claim the WITB, you must complete Schedule 6.

 

Am I eligible?

You are eligible for the WITB if:

  • You are a resident of Canada throughout the year;
  • You are 19 years of age or older on December 31; and
  • You have working income of over $3,000.

If you are under 19 years of age, you may still be eligible for the WITB, if you have a spouse or common-law partner or an eligible dependant on December 31.

Note: For the purpose of the WITB, an eligible spouse is a person who meets all the following conditions. He or she:

  • was your spouse or common-law partner on December 31, 2015;

  • was a resident of Canada throughout 2015;

  • was not a full-time student enrolled at a designated educational institution for a total of more than 13 weeks in the year, unless he or she had an eligible dependant at the end of the year;

  • was not confined to a prison or similar institution for a period of 90 days or more during the year; and

  • was not exempt from income tax in Canada for a period in the year when the person was an officer or servant of another country, such as a diplomat, or a family member or employee of such a person at any time in the year.

If your spouse qualifies for the disability amount, they must claim the supplement on their own return on Schedule 6. If he/she qualifies select yes.

Canada Revenue Agency (CRA) says…

If you are eligible for the WITB and the disability amount, you may also be eligible to claim an annual disability supplement.

To be eligible for the disability supplement, your working income must be over $1,150 and the Canada Revenue Agency (CRA) must have an approved T2201 Disability Tax Certificate on file. If you have not already sent the CRA a completed Form T2201, you must do so to receive the disability supplement.

Click here for a list of scenarios that would make you ineligible to receive the Working Income Tax Benefit.

 

Where do I claim this?

Follow these steps in H&R Block’s tax software to file your 2015 taxes:

1. Click the PREPARE tab.
2. Click the YOUR YEAR IN REVIEW icon. You will find yourself here:


3. Select the checkbox labeled I was employed.
4. Scroll to the bottom of the page and click Continue.

You will find yourself on the PREPARE tab, under the EMPLOYMENT icon.


5. Under the CREDITS AND REBATES section, select the checkbox for Working Income Tax Benefit (WITB).
6. Scroll to the bottom of the page and click Continue.

When you arrive at the page for the Working Income Tax Benefit (WITB) payment amount, enter your information into the tax software.

 

Still not sure? Ask an expert!

Pro Review (fees apply): Speak with a tax expert, who will review your return, answer your questions, and check for any credits or deductions you might have missed. Simply add a Pro Review to your shopping cart as you prepare your taxes in H&R Block’s online or desktop software, book your appointment, speak with a tax expert before you file!

 

Where can I learn more?