Families in Canada who are raising children under the age of 18 are well aware of how expensive this can be. In order to financially help families with young children, the Canada Child Tax Benefit (CCTB) is designed to provide a monthly financial stipend in order to help meet these expenses. This benefit is available a month after birth right up until the month the child turns 18. For families who have the additional responsibility of raising a child that is severely mentally and/or physically impaired, the Child Disability Benefit is included in the CCTB. As well, the National Child Benefit Supplement is included for Canadian low-income families.

In order to be eligible for this benefit all of the following criteria must be met:

•    The child must be under 18 and residing with you;
•    You must be the person who is primarily responsible for the care and upbringing of the child, i.e. the child's daily activities, all medical needs and arranging for child care if necessary;
•    You must be a Canadian resident, and;
•    You or your spouse (including common-law) must be a Canadian citizen, a permanent resident, a protected person, or a temporary resident who has resided in Canada for the previous 18 months.

Family net income is a factor in determining the calculation of the CCTB entitlement. Spouses (including common-law) will have their income added from their tax return to yours in order to obtain the family net income. However, families receiving the Universal Child Care Benefit will have this amount excluded from their net income. If however, a portion of this benefit must be repaid, that amount will be included in the adjusted family net income.

It is advised to apply for the CCTB immediately after the child is born, the child begins to live with you, or you become a resident of Canada. Payments for this benefit are only retroactive for 11 months, unless there were circumstances beyond the parent's control for not doing so. Even those who feel that they are ineligible due to their family income being too high should apply. The entitlement is calculated every July based on the family net income for the previous year, which is determined by tax returns. Tax returns must be filed every year by the parent and spouse even if there is no income to report.

More information regarding the Canada Child Tax Benefit can be obtained at Canada Revenue Agency.