A new round of government payments is arriving in Quebec this month, offering financial relief for eligible workers with lower incomes.
This week’s Advanced Canada Workers Benefit (ACWB) payment may provide a helpful financial boost for those who qualify.
Overview of the Canada Workers Benefit
The Canada Workers Benefit (CWB) is a refundable tax credit introduced by the federal government to support working individuals with lower incomes. This credit is meant to assist those who are employed but may struggle to make ends meet due to limited earnings.
In addition to the base amount for eligible workers, the CWB also provides an additional supplement for individuals who qualify for the Disability Tax Credit (DTC). While the CWB standard is similar across the country, Quebec offers some of the highest payout rates in Canada.
What Is the Advanced Canada Workers Benefit (ACWB)?
The Advanced Canada Workers Benefit (ACWB) allows eligible Quebec workers to receive a portion of their annual CWB payments ahead of the tax season. Instead of waiting until tax filing, workers can receive up to 50% of their CWB early.
These payments are divided into three instalments during the year. If you qualify for the disability supplement, half of that amount will also be included in the advance payments.
No separate application is needed for the ACWB. The Canada Revenue Agency (CRA) will automatically issue these payments based on the latest tax return, provided the person is eligible and living in Canada on the first day of the payment quarter.
Eligibility for the Canada Workers Benefit
To qualify for the Canada Workers Benefit, you must meet certain requirements:
- Be a resident of Canada throughout the year and at least 19 years old (you can be younger if you live with a spouse, common-law partner, or child).
- Earn income from work and have a family net income below the established limit for your household type.
In Quebec, the eligibility thresholds for the base CWB are:
- $23,915.83 for single parents
- $32,356.72 for single individuals without children
- $39,969.72 for couples with children
- $50,150.04 for couples without children
In addition, to qualify for the disability supplement, you must be eligible for the Disability Tax Credit (DTC) and have Form T2201 on file with the CRA. The income thresholds for the disability supplement are higher, with some single Quebec residents qualifying for an income up to $36,495.32.
How to Apply for the Canada Workers Benefit
The Canada Workers Benefit is claimed during your annual tax filing. If you file online, most tax software will automatically guide you through the process. If you file by paper, you must complete Schedule 6 and include it with your tax return.
For the disability supplement, the process depends on who qualifies in your household. If only one person qualifies for the DTC, they should claim both the basic CWB and the supplement. If both partners qualify, only one can claim the basic amount, but each person must complete a separate Schedule 6 to claim the disability portion.
The ACWB payments are automatic, provided your return (including line 45300) is filed before November 1 of the benefit period.
How Much Is the Canada Workers Benefit in Quebec?
Quebec residents can receive significantly higher amounts compared to other provinces, thanks to a unique calculation formula. However, the income thresholds in Quebec are lower than in other regions.
For the 2024 tax year, the maximum annual amounts for Quebec residents are as follows:
- $1,986.80 for single parents ($331.13 per advance payment)
- $3,705.38 for single individuals ($617.56 per advance payment)
- $3,702.59 for couples with children ($617.10 per advance payment)
- $5,778.52 for couples without children ($963.09 per advance payment)
- $827.72 extra for each adult qualifying for the disability supplement ($137.95 more per advance payment)
This means that the maximum a household could receive for the July 2025 advance payment is $1,238.99, assuming a couple without dependents, both of whom qualify for the DTC.
Is the Canada Workers Benefit Taxable?
No, the Canada Workers Benefit is not taxable. Since it’s a refundable tax credit, it reduces the amount you owe or gives you a refund if you don’t owe any taxes. Even the advance payments received throughout the year are not counted as income and are therefore not taxed.
Canada Workers Benefit Payment Dates
The first Advanced Canada Workers Benefit payment for 2025-2026 is set for July 11, 2025. These advance payments will be distributed quarterly, providing eligible Quebec residents with financial support multiple times a year. The next two scheduled payments are:
- October 10, 2025
- January 12, 2026
The Canada Workers Benefit (CWB) for July 2025 offers Quebec residents a substantial financial boost, with higher payouts than other provinces. Whether you qualify for the base benefit or the disability supplement, you could receive a significant sum to assist with living expenses.
Remember, the Advanced Canada Workers Benefit (ACWB) ensures that you don’t have to wait until tax time to access part of your benefit. Ensure your tax return is filed on time, and you’ll automatically receive this crucial financial assistance.
FAQs
How do I apply for the Canada Workers Benefit in Quebec?
You don’t need a separate application. Simply claim it during your annual tax filing using Schedule 6.
Can I receive the Canada Workers Benefit if I’m a full-time student?
You are ineligible if you were a full-time student for more than 13 weeks in 2024, unless you have a dependent.
Are the Advanced Canada Workers Benefit payments taxable?
No, the ACWB payments are not taxable and do not count as income for tax purposes.