How do I apply to claim for the 5-year Tax Back Guarantee from the Canada Revenue Agency?
How do I apply to claim for the 5-year Tax Back Guarantee from the Canada Revenue Agency.
Can I apply privately or need to obtain the services of a tax professional?
- TdotLv 61 decade agoFavorite Answer
You don't need to do anything as this isn't a credit, but rather already factored in to the personal income tax rate.
The government implemented a 5 year economic plan in which they budget to pay down the national debt by a certain amount each year, then pass on the interest savings through a reduction in the basic income tax rate, which was reduced from 16% to 15.5%.
Calling it a "tax back guarantee" and the way it was communicated is simply a gimmick. For example, Canada is currently adding to - not reducing - the debt, but the reduced income tax rate remains in effect.