What Is the Canada FPT Payment? 2022 Canada FPT Payment Dates
Everyone loves getting money directly deposited into their bank account, regardless of the source. But it’s not always clear where the funds are coming from. Of course, your payroll deposit is instantly recognizable, with the “PAY” code included in the description, alongside the name of your employer.
But what about the less frequent deposits, like the ones you receive from the government. For example, if you are fortunate enough to get one, an income tax refund only happens once per year. When it does, the description usually reads something like, “Canada RIT”.
What Is Canada FPT?
Canada FPT stands for Federal-Provincial Territorial tax credit. The Canada FPT deposit is a collective term used to describe various federal and provincial tax credits that you might receive. It includes the quarterly Goods & Services Tax (GST) credit, the monthly Canada Child Benefit (CCB), and other various provincial tax credits, like the British Columbia Climate Action Tax Credit, for residents of that province.
To help you identify an FPT in your account, I’ve listed the payment dates of the two primary Canada FPT payments (GST and CCB) for 2022:
Canada Child Benefit (CCB) 2022 Payment Dates
The Canada Child Benefit, or CCB, is a monthly tax-free credit paid to eligible families to help with the costs of raising kids. It’s an income-tested benefit, meaning that the lower your family income, the higher the monthly payment. Parents can use the funds any way they wish, from day-to-day living expenses to savings for their child’s education.
- January 20, 2022
- February 18, 2022
- March 18, 2022
- April 20, 2022
- May 20, 2022
- June 20, 2022
- July 20, 2022
- August 19, 2022
- September 20, 2022
- October 20, 2022
- November 18, 2022
- December 13, 2022
GST/HST Tax Credit 2022 Payment Dates
Eligible Canadians can receive a Goods and Service/Harmonized Sales Tax Credit as a Canada FPT direct deposit. The purpose of this tax-free payment from the Canada Revenue Agency is to offset the cost of paying sales tax in Canada, in particular for Canadians with a low or modest income. The GST/HST Tax Credit is payable in quarterly installments on the following dates in 2022:
- January 5, 2022
- April 5, 2022
- July 5, 2022
- October 5, 2022
To be eligible for the GST/HST tax credit, one of the following criteria must apply:
- Canadian resident
- 19 years of age or older
- Have (or had) a spouse or common-law partner
- Are (or were) a parent, and live (or lived) with your child
Ways to Save Your Canada FPT Deposits
Whether it’s a GST/HST credit, Canada Child Benefit, or a different Canada FPT deposit, the good news is that you have the freedom to spend it any way you’d like. However, if you don’t need to use the payment for living essentials, there are several ways you can invest the money to be more valuable down the road.
For example, you could save for your child’s education by depositing your Canada Child Benefit into a Registered Education Savings Plan (RESP). Another great tax-free savings vehicle is the Tax-Free Savings Account (TFSA), which you can use for short-term or long-term savings. Or, if your retirement savings needs a boost, consider directing some of the funds to your RRSP.
If you decide to invest your Canada FPT payments, you’ll have the option of setting up an automatic savings plan and having the funds withdrawn directly from your bank account.
Canada FPT Deposit FAQs
Below are some commonly asked questions about the Canada FPT payment:
What does the Canada FPT deposit stand for?
FPT refers to federal/provincial/territorial tax credits and includes the GST/HST credit, Canada Child Benefit, and several provincial and territorial benefit payments.
How will a Canada FPT deposit show up in my bank account?
A Canada FPT direct deposit can appear more than one way on your bank account statement, depending upon the financial institution you deal with. For example, the deposit might read Canada FPT, but a GST/HST credit might display as Canada GST, and a Canada Child Benefit might show up as Canada CCB. You get the picture.
Is the Canada FPT taxable?
The primary FPT payments (GST/HST and CCB) are tax-free benefits. You do not have to report the amounts as income when you file your taxes each year.
What Is the Goods and Services Tax (GST)?
The Canada Revenue Agency applies Goods and Services Tax (GST) to the supply of most goods and services in Canada, including many real estate properties. Currently, GST is 5%. Many products are exempt from GST, such as basic groceries, prescription drugs, and feminine hygiene products.
What Is the Harmonized Sales Tax?
In Canada, five provinces utilize a Harmonized Sales Tax (HST). The HST combines the federal GST and provincial sales tax into a single percentage. The idea behind the HST is that it simplifies sales tax administration, lowering costs. The following provinces collect HST: Newfoundland/Labrador, New Brunswick, Nova Scotia, Ontario, and Prince Edward Island.
What Is the B.C. Climate Action Tax Credit?
The B.C. Climate Action tax credit (BCCATC) is a tax-free benefit paid to eligible B.C. residents. Its purpose is to help offset the cost of carbon taxes paid by individuals and families. To qualify for the credit, you must be a resident of B.C. and meet one of the following criteria:
- 19 years of age or older, or
- Have a spouse or common-law partner, or
- You are a parent who resides with your child.
Eligible recipients will receive the BCCATC as a quarterly payment combined with the GST/HST credit. The Canada Revenue Agency (CRA) administers the payment on behalf of the provincial government.
Final Thoughts on Canada FPT Deposits
Now that you understand what Canada FPT stands for, it’s essential to make sure you receive all of the eligible payments. I recommend checking out the various child and family benefits on the CRA website and finding out what’s available in the province where you live. The last thing you want to do is pass up on free money.