Life events and taxes
Change in marital status
Alex and Neena’s love story just took an unexpected turn. One weekend, they ditched the big guest list, skipped the seating chart drama, and ran off to Niagara Falls. With vows exchanged and rings on their fingers, they’re officially married.
After the wedding, they enjoyed a dreamy honeymoon visiting local wineries and experiencing Niagara Falls, including the soggy boat ride up to the falls.
Once they returned, they had one more thing to check off their list: updating their marital status with the Canada Revenue Agency (CRA).
Updating your marital status could affect your taxes and benefits
The CRA requires that you inform them of any change in marital status by the end of the month following the change. This includes if you:
- Got married
- Entered into a common-law relationship
- Separated for more than 90 days
- Got divorced
- Lost a spouse or common-law partner
Your benefits and credits will be recalculated based on your new family net income, starting the month after the change.
Updating your information online is quick and easy
With their relationship now official, Alex and Neena feel like they’ve unlocked a new level of adulting. They giggle as they log into their CRA Account to update their marital status online. It’s fast, simple, and ensures their benefits are adjusted accurately.
As they cozy up in their rented apartment, they start dreaming of something bigger, a place to truly call their own.
They’ve heard about the Home Buyers’ Plan and something called the First Home Savings Account (FHSA) from their financial institution.
Could this be the first step toward their dream home?
Stay tuned as Alex and Neena take on their next big financial step: saving smart for their first home.
Takeaways for marital status changes
- Living with your partner for 12+ months? Change your marital status
- Use your CRA account to update your marital status. Reporting on time helps prevent overpayments or underpayments of benefits and credits: Change your marital status