Are you a news junkie? Do you gorge yourself on digital media? Do you, like me, subscribe to the New York Times not so much for “the biscuit” as for the food column simply because you revel in good writing? Then, like me, you probably have spent quite a bit more than you should on subscriptions. Fortunately, you are entitled to a non-refundable tax credit that may offset some of your subscription cost, provided that the subscriptions are made to any qualified Canadian journalism organization (QCJO) between 2020 and 2024.
To qualify for a Canadian journalism organization, the publisher or outlet needs to submit a complete T622 form. Once approved, subscriptions will be deemed eligible for digital news subscription tax credit. The CRA has listed all QCJO, which you can access here.
That said, some organizations may haven’t yet appeared on the list. If this applies to you, give a holler to the organization you’ve subscribed to and request for more information. By and large, when a QCJO no longer qualifies, it is obligated to inform all its subscribers, who will still be eligible for the tax credit provided that their subscriptions were made prior to the date of disqualification.
Please note that the credit is exclusive for subscriptions to digital media that pivots to original, written content. If you have a nostalgic fetish for printed newspapers, subscriptions cost will NOT be eligible for this credit. Likewise, nor will subscription to video channels be compensated. If you have made a motley of subscriptions, only the ones made to eligible organizations will be considered for the credit claim.
Within any fiscal year between 2020 and 2024, you can claim up to a total cost of $500, incurred for any subscription to a QCJO. The maximum amount you can claim each year is 15% of the annual subscription fees lower than $75. For example, if you have spent $60 on eligible subscriptions, you can claim $60×15%=$9 in tax credit. However, if you have incurred $120 on eligible subscriptions, you can only claim the maximum amount, which is $75×15%=$11.25. In addition, if more than one person in your household has made eligible subscriptions, you can split the amount between one another on the caveat that it does not exceed the annual maximum amount for individuals. To claim the amount, you can apply it to line 31350 of your T1 income tax return.