Federal, provincial and municipal (local) governments all collect money from Saskatchewan people through taxes. This money is used to provide services like police and fire protection, health care, education and more. In many cases, these taxes are deducted from an employee's pay cheque.
Every year, before April 30, you must complete Income Tax forms for the Canada Revenue Agency. On the form, you will list how much money you earned and how much tax you have already paid. Depending on your income and the amount of tax you paid, you will either have to pay more tax, or you will get some money back as an income tax refund. No matter how much or how little income you had in a year, you must fill out income tax forms. Both Federal and Provincial Income Tax are calculated on your income. This is done on one income tax form.
Visit the Form T4055 - Newcomers to Canada page, for an explanation on how income tax is calculated.
GST and PST
The Goods and Services Tax (GST) is a federal sales tax charged on most items and services you buy.
The Provincial Sales Tax (PST) is a sales tax charged on most items that you buy, import or rent, and on certain services.
In most cases, these taxes are not included in the listed prices of the items; they are added when you are paying for them.
If you own a house or other property, your local city, town or municipal government will charge you property taxes, which help to pay for local schools, roads and improving services in the city.
If you rent an apartment, you don't pay property tax directly.
For more information, visit Property Taxes.
Tax Credits and Financial Assistance Programs
The government gives money back to residents of Saskatchewan mainly through credits, supplements, and benefits.
- A tax credit is money received from a government tax program.
- An income supplement is money received through certain programs of the federal or provincial government to make life better in a particular way - such as to help individuals pay their rent or buy eyeglasses for their children.
For more information, visit Tax Credits and Financial Help.
Benefits for People with Children
The Canada child benefit (CCB) is a tax-free monthly payment made to eligible families to help them with the cost of raising children under 18 years of age. If you have children, you should apply for the CCB as soon as possible after you arrive in Saskatchewan. You need to have a Social Insurance Number (SIN) before you can apply for the CCB.
The Child Care Subsidy is a monthly subsidy that is available to families to help them with the costs of licensed child care.
The GST Credit is a way for people and families with lower incomes to get back some or all of the federal goods and services tax they pay during a given year.
Newcomers to Canada may apply for GST/HST credits at any time in the year they become residents of Canada by completing Form RC151 or by filling out the benefits section on your income tax form.
GST Credit cheques are issued every three months.
Assistance for Low-Income People and Families
There are many Saskatchewan programs that help low-income families get a better quality of life.
- The Provincial Training Allowance (PTA) that provides income assistance to low-income adult students who are studying in certain programs;
- The Saskatchewan Low-Income Tax Credit that reduces the provincial income taxes paid by lower-income people. If you applied for the federal GST Credit, you will automatically be registered for this program; and
- The Saskatchewan Income Support (SIS) program for people who aren't able to meet their basic living costs.
For more information, visit Financial Help.