C-414
Second Session, Fortieth Parliament,
57-58 Elizabeth II, 2009
HOUSE OF COMMONS OF CANADA
BILL C-414
An Act to amend the Income Tax Act (refundable tax credit for low-income earners)
first reading, June 10, 2009
NOTE
3rd Session, 40th Parliament
This bill was introduced during the Second Session of the 40th Parliament. Pursuant to the Standing Orders of the House of Commons, it is deemed to have been considered and approved at all stages completed at the time of prorogation of the Second Session. The number of the bill remains unchanged.
Mr. Martin (Esquimalt—Juan de Fuca)
402110
SUMMARY
This enactment amends the Income Tax Act to provide for a refundable tax credit of up to $2,000 for taxpayers earning up to $40,000.
Also available on the Parliament of Canada Web Site at the following address:http://www.parl.gc.ca
2nd Session, 40th Parliament,
57-58 Elizabeth II, 2009
house of commons of canada
BILL C-414
An Act to amend the Income Tax Act (refundable tax credit for low-income earners)
R.S., c.1 (5th Supp.)
Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:
1. The Income Tax Act is amended by adding the following after section 122.51:
Definitions 
122.52 (1) The definitions in this subsection apply in this section.
“adjusted income”« revenu modifié »
“adjusted income” of an individual for a taxation year has the meaning assigned by section 122.6.
“cohabiting spouse or common-law partner”« époux ou conjoint de fait visé »
“cohabiting spouse or common-law partner” has the meaning assigned by section 122.6.
“eligible individual”« particulier admissible »
“eligible individual” for a taxation year means an individual (other than a trust)
(a) who is resident in Canada throughout the year (or, if the individual dies in the year, throughout the portion of the year before the individual's death);
(b) who, before the end of the year, has attained the age of 18 years; and
(c) whose incomes for the year from all
(i) offices and employments (computed without reference to paragraph 6(1)(f)), and
(ii) businesses each of which is a business carried on by the individual either alone or as a partner actively engaged in the business
total the amount used under paragraph (c) of the description of B in subsection 118(1) for the year or more.
Deemed payment on account of tax
(2) Where a return of income (other than a return of income filed under subsection 70(2), paragraph 104(23)(d) or 128(2)(e) or subsection 150(4)) is filed in respect of an eligible individual for a particular taxation year that ends at the end of a calendar year, there is deemed to be paid at the end of the particular taxation year on account of the individual's tax payable under this Part for the particular taxation year the amount determined by the formula
$2,000 – A
where
A      is 10% of the amount, if any, by which
(a) the sum of
(i) the total of all amounts each of which is the individual’s adjusted income for the particular taxation year, and
(ii) the total of all amounts each of which is the adjusted income of the individual’s cohabiting spouse or common-law partner for the particular taxation year
exceeds
(b) $20,000.
Only one eligible individual
(3) If an individual is the cohabiting spouse or common-law partner of another individual, only one of them is an eligible individual, and if both of them claim to be eligible individuals, the individual that the Minister designates is the eligible individual.
Published under authority of the Speaker of the House of CommonsAvailable from:Publishing and Depository ServicesPublic Works and Government Services Canada