Schedule P: Tax credits respecting the work premium
If you’re a resident of Québec and you’re claiming the work premium, the adapted work premium, or the supplement to the work premium, you’ll need to complete Schedule P.
Fortunately, H&R Block’s tax software will automatically complete Schedule P for you based on the information you enter in the software. If you’re preparing your return with your spouse or common-law partner (spouse), by default the software will apply the work premium tax credits to the higher net income return. You and your spouse will be able to split these credits on the Shared credits page under OPTIMIZATION on the WRAP-UP tab.
The work premium is a refundable tax credit that’s designed to encourage residents to either join or stay in the labour market.
The amount you can claim for the work premium depends on your (and your spouse’s, if applicable) income and your family situation. For example, the amount you’ll receive as a single parent will be different than the amount you’ll receive if you’re married with no children.
To claim any of the tax credits respecting the work premium, you must first meet the following conditions:
- You must be a resident of Québec on December 31
- You’re either a Canadian citizen, an Indian under the Indian Act, a permanent resident, or have refugee protection status
- You were at least 18 years old on December 31 (if you weren’t, you’ll still be eligible to claim these credits if you had a spouse at the end of the year, were a parent to a child that lived with you, or recognized as an emancipated minor)
- You or your spouse (if applicable) are reporting employment income, a research grant, Wage Earner Protection Program (WEPP) payments, or income from a business (operated independently or as a partner)
- You didn’t transfer any amount to your parent(s) as a child 18 or over or enrolled in post-secondary studies
- No one received child assistance payments for you from the Régie des rentes du Québec unless you turned 18 before December 1 in the year and
- No one designated you as a dependent child in order to claim one or more tax credits respecting the work premium
- You were not a full-time student (if you were a full-time student, you can’t claim tax credits respecting the work premium unless you were the parent of a child living with you on December 31 of the year)
Note: If you were confined to a prison or similar institution on December 31 or for more than six months (183 days) during the year, you can’t claim the tax credits respecting the work premium.
In addition to meeting the eligibility requirements outlined above, you must also meet the following conditions if you’re claiming the:
- Work premium:
- Your annual work and family income must fall within the respective ranges given by Revenu Québec
- Adapted work premium:
- Your or your spouse’s annual work income is over $1,200
- Your family income is less than the maximum amount specified by Revenu Québec
- You or your spouse received an allowance under the Social Solidarity Program in 2021 or in one of the last 5 years, because of a severely capacity to work
- You or your spouse are entitled to receive an amount due to a severe and prolonged impairment of physical or mental functions (as long as you’ve filed form TP-752.0.14-V or a T2201)
- Supplement to the work premium:
- You received last-resort financial assistance or financial assistance under the Alternative jeunesse program during at least 24 of the 30 months before the start of your period of transition to work
- The month in which you stopped receiving assistance is included in your period of transition to work
- In the first month in which you weren’t eligible for social assistance, you held a claim booklet from the Ministère du Travail, de l'Emploi et de la Solidarité sociale that entitled you to receive certain dental and pharmaceutical services
- Your work income is at least $200 for the month for which you’re claiming the supplement to the work premium
If you don’t want to claim the work premium tax credits, you can make the change in the OPTIMIZATION section under the WRAP-UP tab of your return.
Under OPTIMIZATION, go to the Optimized Credits page.
Answer No to the question Do you want to claim the work premium tax credits (Schedule P)?.
Click the Optimize Again button to see changes to your refund or tax owing amount.