How to Apply for the Canada Workers Benefit?

CanadaWorkers Benefit

The Canada Workers Benefit (CWB) is an improved version of the Working Income Tax Benefit. The working income tax benefit has been reintroduced in 2018 as Canada Workers Benefit (CWB). CWB is a refundable tax credit available for low-income individuals in the workforce.

It’s designed to help low-income workers and their families with the rising costs of basic necessities. Find out if you qualify for the CWB, how much you could be entitled to, and how to apply.

Over the past few decades, the cost of living has skyrocketed throughout the country while wages have stagnated. More Canadians are finding it harder to make ends meet at the end of every month and struggle to pay for necessities such as rent, childcare, and healthy food for their families. To combat this, the government has implemented the Canada Workers Benefit (CWB), a tax benefit designed to put more money in the pockets of low-income workers. 

What is the Canada Workers Benefit (CWB)?

Canada Workers Benefit is a refundable tax credit that provides financial support for low-income workers and their families. The CWB also includes a disability supplement for eligible Canadians.

Claim the Canada worker's benefit

To claim the Canada worker's benefit, you must either:

  • do your taxes electronically and follow the instructions in your certified tax software
  • fill out and submit Schedule 6, Canada workers benefit, if you are filing a paper return

Claiming the disability supplement:

  • If you have an eligible spouse and one of you is eligible for the disability tax credit, that person should claim both the basic amount and the disability supplement.
  • If you have an eligible spouse and both of you are eligible for the disability tax credit, only one of you can claim the basic amount. However, each of you must claim the disability supplement on a separate Schedule 6.

Who qualifies for the Canada Workers Benefit?

To qualify for CWB, you must be:

  • a Canadian resident
  • 19 years of age or older on December 31 – If you’re under the age of 19, you can still qualify if you have a spouse or common-law partner, or an eligible dependent.

You cannot claim CWB if you are:

  • a full-time student for more than 13 weeks in the year
  • in prison for 90 days or more during the year
  • not required to pay tax in Canada

To qualify for the CWD Disability Supplement, you must:

  • have an approved Disability Tax Credit Certificate (Form T2201) on file with the CRA
  • earn working income
  • be eligible for the Canada Workers Benefit

How do I apply for the Canada Workers Benefit?

You can apply for the CWB in three easy steps:

  1. When it’s time to file your taxes, fill out Schedule 6 (Canada Workers Benefit). Complete step 3 in Schedule 6 if you want to apply for the disability supplement. 
  2. Take the amount from line 42 of Schedule 6 and enter it on line 45300 of your income tax and benefit return.
  3. File your return to the CRA. Be sure to include your completed Schedule 6 forms if you’re mailing them in.

Can I request advance CWB payments?

You don't have to wait for tax season; the CRA can give eligible Canadians up to 50% of the benefit as an advance payment. The CWB advance payment dates for 2022 are:

January 5July 5
April 5October 5

There are two ways to request advance payment:

Log into your CRA account and complete the Canada Workers Benefit advance payments application.

Fill out the Canada Workers Benefit payments application (Form RC201). Remember to complete Part 3 of the form if you want to apply for the disability supplement. The form needs to be in by August 31 and you only need to send one application if you and your spouse or common-law partner are both eligible for the CWB.

If you have more concerns about Canada’s worker's benefits don’t hesitate to contact the Filing Taxes team of professional accountants today at 416-479-8532. Schedule an NTR engagement appointment with us and take the first step towards proper management of your finances.

Disclaimer: The information provided on this page is intended to provide general information. The information does not consider your personal situation and is not intended to be used without consultation from accounting and financial professionals. Salman Rundhawa and Filing Taxes will not be held liable for any problems that arise from the usage of the information provided on this page.

Written By:
Salman Rundhawa
Salman Rundhawa is the founder of Filing Taxes. Salman provides valuable tax planning, accounting, and income tax preparation services in Toronto, Mississauga, Oakville, and Hamilton.

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