July 1 Checklist:  New Tax Milestones to Observe

The third quarter of 2023 is about to unfold and with it several milestones:  the days are getting shorter again, all but one tax filing deadlines have passed (remember October 31 for the UHT), and there are some payroll remittance changes on the horizon:

• OAS Benefit Indexed July to September, 2023:  Based on changes in the Consumer Price Index, OAS benefits will increase by 1.1% for the July to September 2023 quarter, for an increase of 4.8% over the past year, from July 2022 to July 2023.
• Prescribed Interest Rate July to September 30, 2023: The interest rate charged on overdue taxes, Canada Pension Plan contributions, and employment insurance premiums will be 9%.
• Coming up:  The Climate Action Incentive payment in July.
• Also on the agenda:the Grocery Rebate is scheduled to be issues on July 5, 2023 alongside the next quarterly GST/HST credit payment.
• Payroll deductions:  there are no federal changes and no changes in the majority of provinces.  The outlier is Manitoba - Manitoban’s pay cheques will rise as they get a tax break due to changes in the basic personal amount.   On March 7, 2023, the Government of Manitoba announced an increase to the basic personal amount, effective January 1, 2023. Subject to approval by the Government of Manitoba, the basic personal amount will increase from $10,855 to $15,000. Since employees have received a lower basic personal amount for the first six months of the year, a prorated basic personal amount of $19,145 will apply for the remaining six months commencing with the first payroll in July.
• CPP Premiums are rising and the new Payroll deductions guide contains an appendix to compute the upcoming changes: https://www.canada.ca/en/revenue-agency/services/forms-publications/payroll/t4127-payroll-deductions-formulas/t4127-jul/t4127-jul-payroll-deductions-formulas.html#toc5  
• June 30 Educational deadlines at Knowledge Bureau
  • Re-certification for designates – provide attestation by June 30.
  • Early registration discount for DAC
  • End of CE Savvy 50% of special.