RENT INCREASES ARE INFLATIONARY
Housing advocates say the $500 one-time payment will do little to help Canadians amid rising costs due to rising inflation.
Naomi OliverDecember 11, 2022
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To apply for the tax-free $500 state boost, Canadians must be at least 15 years old and have paid rent in 2022 equal to at least 30 percent of their 2021 net income.
Who is eligible for the $500 payment?
Only Canadian citizens are eligible for the benefit.
How to apply for the Canada housing benefit program
Applicants can apply on the federal government’s website, where they will be asked to submit documentation through a series of online questions. Canada’s Treasury Department said applicants will be asked for their address(es), landlord contact information and the amount of their rent payments in 2022. The Canadian Revenue Agency may contact selected applicants to verify the information in their applications.
Before submitting an application, the Treasury Department has asked applicants to ensure they have access to their CRA accounts and have set up a direct deposit with the agency.
Understanding the real estate crisis in Canada
Major cities in Canada have been gripped by a deepening national crisis as housing costs skyrocket province by province and the rising cost of living makes affordable housing even less of a reality for many Canadians, particularly those living in major cities like Toronto live and vancouver. Homelessness has reached crisis proportions in many cities, shelters are chronically overcrowded and waiting lists for public housing are long.
Rents have risen sharply since the Bank of Canada began raising interest rates in a bid to control inflation.
To top it off, Canada’s population is set to swell in the coming decades from 38.2 million in 2021 to over 52 million in 2043, according to Statistics Canada – and it’s unclear if the country will be able to keep up.
In April, the federal government acknowledged the looming crisis and announced a series of new measures in the 2022 budget, including $10 billion, to make housing more affordable for Canadians. Economists say spending money on affordable housing will have a significant impact on affordability for the lowest-income Canadians. But they fear that providing money for first-time home buyers and other such measures will push up prices in an already overheated housing market
What the experts think
Housing advocates say the $500 one-time payment will do little to help Canadians amid rising costs due to rising inflation.
“A means-tested one-off payment of $500 for some low-income renters will do nothing to alleviate a housing crisis caused by enabling landlords to charge rents so high that nearly 300,000 renter households are unaffordable.” to extremely prohibitive housing costs have Toronto alone,” said Cole Webber, a community legal worker at Toronto’s Parkdale Legal Clinic, who helps renters fight back against home renovations — when a landlord evicts a tenant by claiming he going to do major renovations.
Mr. Webber pointed to debt restructuring and above-benchmark rent increases as problems plaguing Canadian renters.
Source: www.theglobeandmail.com
Naomi OliverDecember 11, 2022
To apply for the tax-free $500 state boost, Canadians must be at least 15 years old and have paid rent in 2022 equal to at least 30 percent of their 2021 net income.
Roger McClean/iStockPhoto/Getty Images
Finding a home in Canada has become more difficult as housing costs have skyrocketed in recent years due to interest rates and rising immigration. Beginning this week, low-income Canadians can apply for a one-time, tax-free $500 state boost to the Canada Housing Benefit program, which aims to benefit an estimated 1.8 million renters, including students.
Applications will open on Monday morning on the federal government’s website. Here’s what you need to know.
Finding a home in Canada has become more difficult as housing costs have skyrocketed in recent years due to interest rates and rising immigration. Beginning this week, low-income Canadians can apply for a one-time, tax-free $500 state boost to the Canada Housing Benefit program, which aims to benefit an estimated 1.8 million renters, including students.
Applications will open on Monday morning on the federal government’s website. Here’s what you need to know.
Who is eligible for the $500 payment?
To qualify for the top-up grant, Canadians must be at least 15 years old and have paid rent in 2022 that is at least 30 percent of their 2021 net income. To be eligible, families must also have a net income of $35,000 or less, while eligible individuals are limited to a net income of $20,000 or less. Applicants must also have submitted their 2021 tax returns and be able to show that they are paying their own rent.
Only Canadian citizens are eligible for the benefit.
How to apply for the Canada housing benefit program
Applicants can apply on the federal government’s website, where they will be asked to submit documentation through a series of online questions. Canada’s Treasury Department said applicants will be asked for their address(es), landlord contact information and the amount of their rent payments in 2022. The Canadian Revenue Agency may contact selected applicants to verify the information in their applications.
Before submitting an application, the Treasury Department has asked applicants to ensure they have access to their CRA accounts and have set up a direct deposit with the agency.
Understanding the real estate crisis in Canada
Major cities in Canada have been gripped by a deepening national crisis as housing costs skyrocket province by province and the rising cost of living makes affordable housing even less of a reality for many Canadians, particularly those living in major cities like Toronto live and vancouver. Homelessness has reached crisis proportions in many cities, shelters are chronically overcrowded and waiting lists for public housing are long.
Rents have risen sharply since the Bank of Canada began raising interest rates in a bid to control inflation.
To top it off, Canada’s population is set to swell in the coming decades from 38.2 million in 2021 to over 52 million in 2043, according to Statistics Canada – and it’s unclear if the country will be able to keep up.
In April, the federal government acknowledged the looming crisis and announced a series of new measures in the 2022 budget, including $10 billion, to make housing more affordable for Canadians. Economists say spending money on affordable housing will have a significant impact on affordability for the lowest-income Canadians. But they fear that providing money for first-time home buyers and other such measures will push up prices in an already overheated housing market
What the experts think
Housing advocates say the $500 one-time payment will do little to help Canadians amid rising costs due to rising inflation.
“A means-tested one-off payment of $500 for some low-income renters will do nothing to alleviate a housing crisis caused by enabling landlords to charge rents so high that nearly 300,000 renter households are unaffordable.” to extremely prohibitive housing costs have Toronto alone,” said Cole Webber, a community legal worker at Toronto’s Parkdale Legal Clinic, who helps renters fight back against home renovations — when a landlord evicts a tenant by claiming he going to do major renovations.
Mr. Webber pointed to debt restructuring and above-benchmark rent increases as problems plaguing Canadian renters.
Source: www.theglobeandmail.com
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