CCB (Canada Child Benefit)
The Canada Child Benefit (CCB) is a tax-free monthly payment from the CRA to eligible families to help with the cost of raising children under 18. The amount is based on family net income, number of children, and children's ages. For the July 2026 – June 2027 benefit year, the maximum is $8,157 per child under 6 and $6,883 per child aged 6–17 (up from $7,997 / $6,748 for July 2025 – June 2026). Benefits phase out above family net income of $38,237, then further above $82,847. The CCB replaced the former Canada Child Tax Benefit and Universal Child Care Benefit in 2016. Both parents must file a tax return each year to receive payments.
How it works
The CCB uses a two-tier, income-tested reduction: payments stay at the maximum for family net income up to the first threshold ($38,237), reduce gradually for income between the first and second thresholds, and reduce more steeply once family net income passes the second, higher threshold ($82,847). Because the benefit is based on family net income rather than either parent's individual income, a couple with one high earner and one non-earner is assessed the same as a couple with two moderate earners at the same combined total.
Payments are issued monthly rather than quarterly, unlike the GST/HST credit, and the whole benefit year's amount is recalculated every July based on the tax return filed for the prior calendar year — so a jump in income partway through the year won't change your payment until the following July, while a change in the number or ages of your children can update the payment sooner. In shared-custody arrangements, the CRA generally splits the benefit, with each parent receiving 50% of what they'd get if the child lived with them full-time.
Both spouses or common-law partners must file a return every year, even the one with no income, because the CRA needs both returns to calculate the family net income used in the CCB formula — a missing return from either partner can pause or reduce payments even though the other partner filed on time and reported everything correctly.
Example: turning the annual maximum into a monthly payment
The CCB maximums are set annually but paid monthly. For the July 2026-June 2027 benefit year, a child under 6 attracts up to $8,157 per year, or $8,157 / 12 = $679.75 per month, at incomes below the first phase-out threshold.
A child aged 6 to 17 attracts up to $6,883 per year, or roughly $6,883 / 12 = $573.58 per month. A family with a 4-year-old and a 10-year-old at low income could therefore receive close to $679.75 + $573.58 = $1,253.33 per month combined, before any income-tested reduction applies.
Frequently asked questions
Is the Canada Child Benefit taxable income?
No, and because it isn't taxable, receiving the CCB doesn't add to your income for other purposes or push you into a higher tax bracket, unlike some other types of benefit income.
How does the CCB work in shared custody situations?
The CRA generally splits the benefit, with each parent receiving 50% of what they would get if the child lived with them full-time, based on the custody arrangement reported to the CRA.
Why did my CCB payment change even though my income didn't?
Payments are recalculated every July based on the return filed for the prior calendar year, and can also change mid-year if a child crosses the under-6 to 6-17 age boundary, your marital status changes, or your spouse fails to file a return.
Related Terms
CRA (Canada Revenue Agency)
The Canada Revenue Agency (CRA) is the federal body responsible for administering Canada's tax laws, collecting income taxes and GST/HST, and delivering benefit programs such as the Canada Child Benefit (CCB) and the GST/HST credit.
Tax Deduction
A tax deduction reduces your taxable income before tax is calculated, effectively saving you money at your marginal tax rate.