5010-PC Information Sheet for Residents of British Columbia

All the information you need to calculate your British Columbia tax and credits is included on the following pages. We have included two copies of Form T1C (B.C.) TC, British Columbia Tax, and Form T1C (B.C.), British Columbia Tax Credits. Complete the forms that apply to you, and attach a copy to your return.

What's new for 1998?

The basic British Columbia income tax has been reduced to 50.5% of basic federal tax. In addition, if your adjusted British Columbia income tax is more than $8,660, the surtax rate on the excess amount is 26%.

Questions about British Columbia tax and credits

If you have questions about the British Columbia surtax, or British Columbia's sales, mining exploration, or political contribution tax credits, call (250) 387-3332.

If you have any other questions, including questions about British Columbia tax, contact your Revenue Canada tax services office. You can find the address and telephone numbers listed under "Revenue Canada" in the Government of Canada section of your telephone book.

BC Family Bonus

The BC Family Bonus program includes the basic British Columbia Family Bonus (BCFB) and the BC Earned Income Benefit (BCEIB).

You and your family may be entitled to tax-free monthly payments under one or both of the BC Family Bonus programs. These programs are initiatives of the Government of British Columbia and are designed to help low- and modest-income families with the cost of raising their children. Benefits are combined with the Canada Child Tax Benefit into a single monthly payment.

British Columbia Family Bonus (BCFB)

You may be entitled to receive a BCFB of up to $103 each month for each child under the age of 18. This amount will be reduced by the amount, if any, of National Child Benefit Supplement received. The amount of the bonus is also reduced if your family net income is more than $18,000. For a one-child family, your bonus is reduced by 8% of the amount that your family net income exceeds $18,000. For families with two or more children, your bonus is reduced by 16% of the amount that your family net income exceeds $18,000.

BC Earned Income Benefit (BCEIB)

You may also be entitled to an earned income benefit of up to $50.41 per month for one child, $33.75 per month for a second child, and $27.50 for the third and each additional child. The benefit begins to be phased in once family earned income exceeds $3,750. The maximum benefit is reached for families with earned income of $10,000. The amount of the benefit is reduced if your net family income is more than $20,921. For a one-child family, your benefit is reduced by 12.1% of the amount that your net family income exceeds $20,921. For a two-child family, your benefit is reduced by 20.2% of the amount that your net family income exceeds $20,921. For families with three or more children, your benefit is reduced by 26.8% of the amount that your net family income exceeds $20,921.

There is no need to apply separately to receive payments under these programs. Revenue Canada will use the information from the Canada Child Tax Benefit application to determine your eligibility for the program. You (and your spouse) should file your 1998 return(s) as soon as possible. The information you (and your spouse) give on your return(s) will determine how much you will get starting in July 1999.

For more information, call toll free 1-800-387-1193.