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.
