Ontario Proposes $200 Taxpayer Rebate in 2025
The Ontario government has announced a proposal to provide a $200 rebate to eligible taxpayers as part of the upcoming 2024 Ontario Economic Outlook and Fiscal Review. This initiative aims to assist residents in managing the financial impact of high interest rates and the federal carbon tax. Families with children may receive an additional $200 per child, contingent upon eligibility.
The government plans to distribute these rebates starting in early 2025. It is estimated that approximately 12.5 million adults and 2.5 million children could benefit from this program, with a total allocation of $3 billion.
Eligibility for the rebate requires individuals to be 18 years or older by the end of 2023, residents of Ontario on December 31, 2023, and to have filed their 2023 Income Tax and Benefit Return by the end of 2024. The rebate is not available to those who are bankrupt or incarcerated in 2024.
Families eligible for the Canada Child Benefit (CCB) in 2024 will receive the additional child rebate. In cases of shared custody, the rebate will be divided according to the most recent CCB data.
The government attributes the ability to offer this rebate to higher-than-expected revenues, influenced by inflation's impact on provincial sales tax and changes to the federal capital gains tax.