Children's Fitness Tax Credit

The Ontario Camping Association worked hard this past year to get camping included in the list of activities covered by the new Children's Fitness Tax Credit.  This means that a tax credit can be obtained for sending your kids to camp!  Up to $500 per child can be claimed under this new legislation.  Details on how to claim this tax credit are below...

http://www.cra-arc.gc.ca/whatsnew/fitness-e.html

Basically, you are able to claim a maximum of $500 for every child under 16.  The tax credit is calculated by multiplying the eligible amount by the lowest marginal tax rate (15.5% in 2007).  Here's an example:

Diana registered her three children (all of whom are under 16 years old) in an eligible program of physical activity and paid fees of $750 for each child on January 16, 2007. To calculate the amount that she can deduct from her taxes owing on her 2007 income tax return, she uses the following formula:

    STEP 1:

    $500  (maximum allowable amount per child)

    X   3  (number of children enrolled in an eligible program)

    $1,500  (total allowable amount eligible for the tax credit)

    STEP 2:

    $1,500  (total allowable amount eligible for the tax credit)

    X 15.5% (lowest marginal tax rate for 2007)

   

$232.50 (total amount that can be used to reduce the taxes owing on Diana’s 2007 income tax return)

We want to make this tax credit work for our families.  Please e-mail the camp office: info@ilovecamp.org with any questions.

You will also need a receipt from your camp registration to claim this tax credit.  If you need another copy of the receipt, please contact Bridget, our Administrator: admin@ilovecamp.org.