NEWFOUNDLAND AND LABRADOR
REGULATION 81/22

Cost of Living Relief Regulations
under the
 Income Tax Act, 2000
(O.C. 2022-267)

(Filed November 10, 2022)

Under the authority of section 68 of the Income Tax Act, 2000, the Lieutenant-Governor in Council makes the following regulations.

Dated at St. John’s, November 10, 2022.

Krista Quinlan
Clerk of the Executive Council

REGULATIONS

Analysis

           1.    Short title

           2.    Definitions

           3.    Overpayment and refund

Short title

       1.  These regulations may be cited as the Cost of Living Relief Regulations.

Definitions

       2.  In these regulations,

            (a)  "Act" means the Income Tax Act, 2000;

           (b)  "adjusted income" means the total of the individual’s income for the taxation year calculated as if in computing that income no amount were

                    (i)  included

                          (A)  under paragraph 56(1)(q.1) of the federal Act or subsection 56(6) of the federal Act,

                          (B)  in respect of any gain from a disposition of property to which section 79 of the federal Act applies,

                          (C)  in respect of a gain described in subsection 40(3.21) of the federal Act, or

                   (ii)  deductible under paragraph 60(y) or (z) of the federal Act;

            (c)  "eligible individual" means an individual, other than a trust, who

                    (i)  filed a return of income for the 2021 taxation year as a resident of the province,

                   (ii)  filed the return of income referred to in subparagraph (i) on or before December 31, 2022,

                 (iii)  has an adjusted income equal to or less than $125,000 for the 2021 taxation year, and

                  (iv)  is 18 years of age or older on December 31, 2022; and

           (d)  "return of income" means in respect of an individual who is resident in the province at the end of the taxation year, the individual's return of income, other than a return of income under subsection 70(2) or 104(23) of the federal Act, paragraph 128(2)(e) of the federal Act or subsection 150(4) of the federal Act, that is required to be filed for the taxation year or that would be required to be filed if the individual had tax payable under that Act for the taxation year.              

Overpayment and refund

       3.  (1) An eligible individual is considered to have made an overpayment of tax in the amount of

            (a)  $500 where the eligible individual's adjusted income is less than $100,000 for the 2021 taxation year; or

           (b)  an amount calculated in accordance with the following formula where the eligible individual's adjusted income is equal to or more than $100,000 but less than or equal to $125,000:

                          $500 – [(adjusted income - $100,000) x 1%]

           (2)  The minister shall refund the amount of the overpayment referred to in subsection (1) to the eligible individual.

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