How to take advantage of the tax credit for childcare expenses all year?

First of all, it should be noted that you may receive monthly advance payments if you submit an application to the tax authorities. You don’t have to wait until the end of the financial year to claim this tax credit.

The tax credits in question are:

• the work premium tax credits;
• the tax credit for childcare expenses;
• the tax credit for home-support services for seniors;
• the tax credit for the treatment of infertility;
• the tax credit for the restoration of a secondary residence.

The advance payments we’d like to bring to your attention are those related to the tax credit for childcare expenses. These payments are calculated based on your family income and can only be received by direct deposit.

Main conditions for this tax credit:

• Meet the eligibility requirements;
• Be the biological or adoptive (legal or de facto) mother or father of a child living with you at the time of the application, or be the spouse of this parent. Note that only one of the two parents can apply for advance payments for the couple.
• Reside in Quebec at the time of the application and be a Canadian citizen, permanent resident or a person who has been granted refugee protection by Canada;
• Have a document provided by the person who cares for the child that confirms the childcare fee and the number of days the child attends childcare during the year;
• Estimate that you are entitled to an amount exceeding $1,000 as a tax credit for childcare expenses. Note that this condition does not apply if you believe you are also entitled to a work premium or an adapted work premium in excess of $500.

How to apply for advance payments?

• Either electronically using Revenu Québec’s online service;
• Or by mail by filling out the Advance Payments of the Tax Credit for Childcare Expenses form.

You must apply for advance payments of the tax credit for childcare expenses for a given year by October 15 of that year. To receive 12 equal payments, you must file your application by December 1 of the preceding year. For applications received after December 1, the amount will be divided over the number of months remaining in the year.

As a result, you must take the following factors into account:

• If the amount of credit to which you are actually entitled is less than the estimated amount, you will have to pay tax. In other words, you may have to reimburse overpayments if the amount of the advance payments received is greater than the tax credit for childcare expenses to which you were actually entitled;
• If one or more of the children covered by your application for advance payments stops attending a daycare or if you or a member of your family changes status after submitting your application, you must notify Revenu Québec immediately.
• If you move to another province during the year, you will no longer be eligible for advance payments. You must file a tax return for Quebec and reimburse the overpayment.

RL-19 – Advance Payments of Tax Credits

At the end of the year, Revenu Québec will send you an RL-19, which you must attach to your income tax return. You can also upload your receipts to your portal Customer Center. at any time.

For more information about advance payments, contact us at 1 844 200-IMPO (4676). Our team will be happy to answer your questions.

Making your tax season easy is our priority!