Transit Pass Tax Credit
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Since moving downtown I haven’t had much of a commute to work. Being that I’m starting a fancy new job tomorrow, I had to buy a monthly bus pass that will enable me to get to and from work. My future employer is across the bridge, I will need to hop on a bus. I can either walk to the far bus stop or get on a bus near my house and transfer to the other one. Whichever way I choose, I will be needing a pass.
On July 1, 2006, the Government of Canada began its program to offer individual Canadians a non-refundable tax credit to help cover the cost of monthly or longer duration public transit passes. Because it is a non-refundable tax credit, anyone who applies does not receive the money in the form of a refund. Instead, the amount claimed is multiplied by the lowest personal income tax rate for the year (15.25% in 2006) and then is deducted from the amount of tax owed for that year [TransitPass.ca]
I purchased a monthly 1-Zone pass from my local fare dealer and recently learned about the tax credits I can receive on my 2007 taxes next year. My mother’s known about this since the system first started last summer, so she’ll be adding them to her 2006 taxes. Although it’s not technically a “rebate”, I suppose the credit does help, along with warm fuzzies you’ll feel by knowing you’ve made the clean, environmentally conscious choice of riding public transit.
If you’ve been purchasing monthly bus passes just make sure you keep a) the receipt and b) the pass to make sure you can get your tax credit – every bit helps.
6 Comments — Comments Are Closed
Another example of what makes a city that works, work. You get further subsidization of mass transit, Pittsburgh gets it’s bus system scaled back by 27%-during rush hour. The times when most people need the buses are the times that there will be fewer buses. Ingenious!
we can write them off with our taxes anyway because of adams job but it rules that they did it i was happy about it back when they announced it.
the conservatives tossing us transit enthusiasts a bone, merci indeed – i still call my monthly pass a “Go Card” and the last day of each month (last night for example) means a late night run to 7-11 to drop $95 for a 2 Zoner.
haha go card! I still have a stack of my old ones. I progressively got more punky lookin as the years went on. What happened? 😛
Don’t get me wrong, I’m happy with any attention the Conservative government gives to transit. But I think the money would have been better spent if it went directly to transit authorities to improve service and encourage more people to ride. I don’t think a rebate gets any more people on the bus, but it is nice for those of us who do make use of it. Lately, I’ve been riding my bike more, so monthly passes don’t make any sense and there are no rebates for ticket packs.
why are the people on vancouver island paying the same for gas as the people in vancouver when vancouver has a 6 cent transit tax and we don’t?