Do You Get a Tax Refund If You’re on Ontario Works?

Yes, if you’re on Ontario Works you can get a tax refund, and most recipients do. The money isn’t a refund of tax you paid, because Ontario Works itself is not taxable. It comes from refundable credits the federal and Ontario governments send to low-income residents, and the only way to unlock them is to file a return every year, even with no employment income and no tax owing.1Canada Revenue Agency. Tax Credits and Benefits for Individuals

Why You File When You Owe Nothing

Ontario Works payments aren’t taxed. You report them on your return and claim a matching deduction that cancels them out, so your taxable income stays at zero.2Canada Revenue Agency. Line 14500 – Social Assistance Payments The Canada Revenue Agency still needs the return because your filed information is what it uses to calculate the credits you qualify for. No return, no calculation, no payments.1Canada Revenue Agency. Tax Credits and Benefits for Individuals

Treat the return as your annual application for benefits rather than a tax bill.

Which Credits You Can Expect

Several refundable credits go to low-income Ontario residents who file. Most arrive as recurring payments during the year rather than a single cheque at tax time.

Canada Child Benefit

If you have kids, this is usually the biggest one. For July 2025 through June 2026, the maximum is $7,997 per year for each child under six and $6,748 per year for each child aged six through seventeen. You get the full amount when adjusted family net income is below $37,487, which covers essentially all Ontario Works households.3Canada Revenue Agency. How Much You Can Get – Canada Child Benefit Payments are monthly, tax-free, and depend on continuing to file each year.4City of Toronto. Monthly Ontario Works Amounts

GST/HST Credit

This one offsets sales tax on everyday purchases. For the July 2025 to June 2026 payment period, the maximum annual amounts are $533 for a single person, $698 with a spouse or common-law partner, and $184 for each child under 19.5Canada Revenue Agency. How Much You Can Get – GST/HST Credit It arrives quarterly. No separate application; filing triggers it.

Ontario Trillium Benefit

The Trillium Benefit combines three provincial credits into one monthly payment. The Ontario Sales Tax Credit provides up to $378 per adult and per child.6Canada Revenue Agency. Ontario Sales Tax Credit – Seniors’ Income Threshold Questions and Answers The Ontario Energy and Property Tax Credit reaches up to $1,307 if you’re between 18 and 64, or $1,488 if you’re 65 or older, and it covers a share of rent, property tax, or energy costs.7Canada Revenue Agency. Ontario Energy and Property Tax Credit Questions and Answers The Northern Ontario Energy Credit adds up to $189 for a single person or $290 for a family if you live in Northern Ontario.8Government of Ontario. Ontario Trillium Benefit

To claim the property tax and energy portion, you need to report your rent or property tax on the return, so hang onto rent receipts or property tax statements.

Canada Carbon Rebate

The Canada Carbon Rebate (previously the Climate Action Incentive Payment) helps with federal carbon pricing costs. For Ontario, the most recently published base amount was $151 per individual quarterly, plus $75.50 for a spouse and $37.75 per child under 19. A 20% rural supplement applies if you live outside a census metropolitan area.9Canada Revenue Agency. How Much the Payment Amounts Were Federal carbon pricing has been changing, so check the CRA site for the current schedule.

Canada Workers Benefit (Only If You Work)

The Canada Workers Benefit is worth flagging because some people combine part-time work with Ontario Works. You need earned income from a job or self-employment to qualify.10Canada Revenue Agency. Who Is Eligible For 2025, the maximum basic amount is up to $1,633 for a single person and $2,813 for a family, with a disability supplement of up to $821 for those eligible for the disability tax credit.11Canada Revenue Agency. Canada Workers Benefit With no employment income, this one doesn’t apply.

Will Ontario Works Claw Back Your Refund?

No. Ontario Regulation 134/98 exempts payments received under the federal Income Tax Act or Ontario’s Taxation Act as income for Ontario Works purposes. That covers tax refunds, the Canada Child Benefit, the GST/HST credit, and the Ontario Trillium Benefit.12Government of Ontario. Ontario Regulation 134/98 – General Your caseworker doesn’t count them when calculating your monthly cheque, and you can spend the money however you need.

One boundary to be aware of: Ontario Works has asset limits. A single person without dependents can hold up to $10,000 in total assets, a couple up to $15,000, plus $500 for each additional dependent.13Government of Ontario. Ontario Works Policy Directives – 4.2 Asset Limits If refund and credit payments build up in your bank account past those limits, that could become a problem. For most recipients the amounts are well under the ceiling, but if you receive large CCB payments and save rather than spend them, keep an eye on the balance.

What You Need to File

Your main document is the T5007 Statement of Benefits, which your Ontario Works office issues each year showing the total assistance you received.14Canada Revenue Agency. Statement of Benefits T5007 The amount from Box 11 goes on Line 14500, with a matching deduction on Line 25000 so nothing gets taxed.2Canada Revenue Agency. Line 14500 – Social Assistance Payments If the paper slip hasn’t arrived or you lost it, you can usually pull it from CRA My Account once the issuer submits it.15Canada Revenue Agency. Get a Copy of Your Tax Slips

Beyond the T5007, gather:

  • Rent receipts or property tax statements, needed for the Ontario Energy and Property Tax Credit.
  • Your Social Insurance Number.
  • Names, dates of birth, and SINs for any children if you’re claiming the Canada Child Benefit.
  • Any T4 or other income slips, if you had part-time work or interest income during the year.

How and When to File

The deadline for your 2025 return is April 30, 2026.16Canada Revenue Agency. Due Dates and Payment Dates – Personal Income Tax Filing on time keeps your benefit payments flowing without a gap.

Free options cover almost every situation:

  • NETFILE-certified free tax software. NETFILE for the 2025 tax year opened on February 23, 2026, and several certified programs are free for simple returns.17Canada Revenue Agency. Find Certified Tax Software
  • Auto-fill my return, through CRA My Account, which pulls your slips into the return automatically.18Canada Revenue Agency. Auto-fill My Return
  • The Community Volunteer Income Tax Program, where trained volunteers at free clinics across Ontario prepare returns for people with modest income and straightforward tax situations.

Once your return is processed you’ll get a Notice of Assessment showing any refund. The CRA aims to process 95% of electronically filed returns within four weeks; paper returns take about eight.19Canada Revenue Agency. Check CRA Processing Times With direct deposit set up, any refund lands in your bank account when processing wraps.

If You Skip a Year

Not filing has real consequences even without any tax owing. The CRA calculates the GST/HST credit, Canada Child Benefit, and Canada Carbon Rebate from your most recent return. Miss a year and those payments stop until you catch up.1Canada Revenue Agency. Tax Credits and Benefits for Individuals The Ontario Trillium Benefit works the same way. For a single parent with two young children, losing the CCB alone could mean giving up more than $1,300 a month.

Your caseworker may also flag a missed filing. Families with children under 18 are expected to file to stay assessed for the Ontario Child Benefit.4City of Toronto. Monthly Ontario Works Amounts Late filing carries no penalty when you owe nothing, but the delay pushes back your benefit payments. Filing as soon as NETFILE opens each year, well before April 30, is the simplest way to keep everything on schedule.