Working refundable credits assist individuals and families with low income in managing their tax burdens. One such fund is the Canada Worker’s Benefit (CWB), which replaces the Working Income Tax Benefit (WITB) and combines the core amount with the disability supplement to help Canadians better cope financially.
Projected Benefit Levels For 2025
For the 2024 tax year, which influences the benefits for 2025, the basic CWB cap for an individual is $1,590. The benefit phases out starting at an income of $26,149 and is fully eliminated at $36,749. Families may receive benefits of up to $2,739, with phase-out beginning at $29,833 and ending at $48,093. Eligible applicants may receive an $821 disability supplement, subject to certain income criteria.
Who Is Eligible For CWB?
The criteria are as follows:
- You should be a Canadian resident for tax purposes and either be 19 years old by December 31 or have a spouse or an eligible dependent.
- You should have income and have filed your annual tax returns.
- The following are not eligible: Full-time students (for more than 13 weeks), persons imprisoned for more than 90 days, and diplomats or persons of similar exemption status.
What’s The Disability Supplement?
If you are eligible for the Disability Tax Credit (DTC), you can also get the additional $821 CWB disability supplement. This also phases out based on income thresholds, which are $36,748 for singles and $48,091 for families.
ACWB And Advanced Payments
Through the Advanced Canada Workers Benefit (ACWB), up to 50% of your CWB can be released early, divided into three payments during the year:
- January 10
- July 11
- October 10 (Dates for 2025)
There is no need to submit a separate application. Once your tax return is processed by CRA and your eligibility is confirmed, these payments are made automatically.
Bringing Everything Together For Tax Season
CRA will perform reconciliation of the CWB as a whole after you submit your tax return. If there is any outstanding balance, it will be paid to you as a final payment or shown as a refundable tax credit on your tax return.
Also Read: CRA Confirms $400 Carbon Rebate Dates: Full Province-Wise Payment Schedule 2025