With the introduction of two new federal benefits in the past year, we now encourage young taxpayers to file a tax return a year earlier than normal.
Up to now, the GST credit was available to young taxpayers only once then turned 19, so filing a tax return before you turned 19 was not important unless you were expecting a refund from tax deducted on employment income.
Now once a taxpayer turns 18, they may qualify for the Canadian Dental Care Plan CDCP and possibly the new Canada Disability Benefit CDB.
Born before June 2008?
If you or someone you know was born before June 2008, they should file a 2024 tax return if they qualify for either or both of these new federal benefits.
If you qualify for one or both benefits, and you are 18+ now, or turning 18 by next May 2026, you need to file your 2024 tax return, even with no income earned, in order to enroll in either plan between now and next May 2026. By next June, you will need to file your 2025 tax return.
Canadian Dental Care Plan
Once an individual turns 18, they may qualify for the CDCP if they do not have dental benefits through their own employer, or through their parents’ dental plan, or through a dental plan offered thru their university or college.
Enrolment to this new dental plan for those 18+ began May 2025.
To enrol in the plan, the taxpayer 18+ must have filed their 2024 tax return.
Those who are 18 now, or turning 18 by next May 2026, need to file their 2024 tax return, even with no income earned, in order to enroll in the CDCP between now and next May 2026.
Once your 2024 tax return is filed and you have received your Notice of Assessment, then you can enrol online: search “Canada Dental Plan”.
Canada Disability Benefit
This new plan started July 2025. The recently announced federal benefit of up to $200 per month can be paid to those 18-64 that qualify for the DTC disability tax credit and if your income is below a certain level. The monthly amount is reduced based on individual (and spouse if applicable) income.
If you are an individual who qualifies for the DTC and who recently turned 18 or will be turning 18 by next June, you need to file your 2024 tax return even if you have no income to report.
The maximum benefit is $200 per month, depending on the income you reported on your 2024 tax return. And the monthly income will be recalculated each July based on the income reported on your previous tax return.
Need help applying?
If you or someone you know needs help applying for either of these two new federal benefits, please contact our office, we may be able to help you.
Anni Markmann is a Personal Income Tax Professional and Certified Financial Planner; living, working, and volunteering in our community. Contact Ste Anne Tax Service at 204.422.6631 or 36 Dawson Road in Ste Anne (near Clearview Co-op) or Info@SteAnneTaxService.ca