The $400 Rent Tax Credit in British Columbia is a new financial relief measure aimed at helping low- and moderate-income renters manage their housing costs.
If you live in B.C. and pay rent, this credit could put extra money back in your pocket. But who qualifies? How do you apply? And how much can you actually get?
Let’s break it all down so you can ensure you’re not missing out on this valuable benefit.
$400 Rent Tax Credit In British Columbia
Here’s a quick look at the key details of the $400 Rent Tax Credit for 2025:
| Key Information | Details |
|---|---|
| Amount | Up to $400 per year for eligible renters |
| Eligibility | B.C. residents, 19+ years, rental agreement in B.C. |
| Income Threshold | Full credit for incomes under $63,000; partial credit for incomes up to $83,000 |
| Application | Claimed through T1 Income Tax Return using Form BC479 |
| Refundable? | Yes, you receive a refund if the credit exceeds taxes owed |
What Is the $400 Rent Tax Credit?
This credit is designed to help renters by reducing their overall tax burden. It is a refundable tax credit, meaning that even if you owe little or no income tax, you can still receive the full or partial amount as a refund.
For instance, if you qualify for the full $400 credit but only owe $200 in taxes, you will still get a $200 refund. This makes it especially beneficial for those with lower incomes who may not owe much in taxes.
Who Is Eligible?
Before applying, make sure you meet the following eligibility criteria:
Residency Requirement
You must be a resident of British Columbia as of December 31, 2025. You must have lived in B.C. for most of the year and have a valid rental agreement.
Age Requirement
You must be at least 19 years old by December 31, 2025. However, if you are under 19 but have a spouse, common-law partner, or child, you may still qualify.
Rental Arrangement
To qualify, you must be paying rent for a legal rental unit in B.C. The unit must be your primary residence, meaning seasonal or temporary rentals do not count.
Income Limits
The credit is designed for low- and moderate-income renters, with eligibility based on adjusted income:
| Income Level | Credit Amount |
|---|---|
| $63,000 or less | Full $400 credit |
| $63,000 – $83,000 | Partial credit |
| Over $83,000 | Not eligible |
Note: Adjusted income includes your total net income, plus your spouse or common-law partner’s income if applicable.
How to Apply
Applying for the $400 Rent Tax Credit is simple and is done through your income tax return. Here’s how:
- File Your Income Tax Return (T1 Form)
- The credit is claimed when you file your taxes for 2025.
- Complete Form BC479
- This form includes various B.C. tax credits, including the Rent Tax Credit.
- Submit Your Tax Return
- If filing online, tax software will guide you through the process.
- If filing manually, ensure all forms are included before submission.
- Keep Proof of Rent Payments
- While rent receipts aren’t required for submission, keep them in case the Canada Revenue Agency (CRA) requests verification.
Real-Life Examples
Let’s see how the credit works in practical scenarios:
Example 1: Sarah
- Sarah is a renter in Vancouver, earning $58,000 per year.
- Since her income is under $63,000, she qualifies for the full $400 credit.
- This amount will either reduce her tax bill or be refunded to her.
Example 2: David & Lisa
- David and Lisa rent an apartment in Surrey and have a combined income of $75,000.
- Since their income is between $63,000 and $83,000, they qualify for a partial credit (around $200).
- This will reduce their tax burden or be refunded.
Other Financial Benefits for B.C. Renters
In addition to the $400 Rent Tax Credit, you may qualify for other provincial and federal benefits:
- B.C. Sales Tax Credit – Helps low-income individuals offset sales tax expenses.
- B.C. Family Benefit – Financial assistance for families with children.
- GST/HST Credit – A quarterly payment to help low-income individuals manage tax costs.
By combining multiple credits, renters can maximize their financial support and reduce their overall expenses.
The $400 Rent Tax Credit in British Columbia is a great opportunity for renters to ease their financial burden. If you meet the eligibility requirements, applying is straightforward and can lead to extra money in your pocket. Don’t forget to file your taxes on time and claim your credit.
FAQs
FAQs
Who qualifies for the $400 Rent Tax Credit?
B.C. residents earning under $83,000 who pay rent and meet age requirements.
How do I claim the $400 Rent Tax Credit?
Claim it on your T1 Income Tax Return using Form BC479.
Is the Rent Tax Credit refundable?
Yes, if the credit exceeds taxes owed, you receive a refund.
Do I need to submit rent receipts?
Not with your tax return, but keep them for possible CRA review.
When is the deadline to apply?
The credit is claimed when filing taxes, typically by April 30, 2026.
