Federal Minister of Families, Children and Social Development Jean-Yves Duclos is seen at a youth homelessness organization in Toronto on Monday, June 11, 2018. THE CANADIAN PRESS/Colin Perkel

As child benefits climb, feds look to get payments in to families missing out

Canada Child benefit increase will miss just over one-fifth of Indigenous families living on reserves

A planned increase in the value of the Canada Child Benefit will miss just over one-fifth of Indigenous families living on reserves, part of the five per cent of families nationwide who don’t receive the monthly payments.

Federal officials plan to visit more than 500 rural and remote Indigenous communities over the next 11 months to get more people to take advantage of the benefit by simply filing their taxes.

The value of the tax-free benefit is based on income plucked from annual tax returns that were due last month.

Government documents obtained by The Canadian Press under the access-to-information law show that in the first year of a three-year outreach plan, officials visited 613 Indigenous communities, 62 per cent of which Employment and Social Development Canada had not previously visited.

READ MORE: Thousands of Canadian families could miss out on planned bump to child benefit

The documents for a meeting last June between officials at ESDC and the Canada Revenue Agency noted challenges including geography, language and weather, but found a positive effect “on service delivery for both clients and staff.”

Social Development Minister Yves Duclos said the numbers of people missing out on the benefit are a concern, despite being an improvement on the system the Canada Child Benefit replaced when it was introduced in July 2016.

Under the previous mix of a universal monthly benefit and assorted tax credits, take-up was about 50 per cent of Indigenous families, Duclos said.

“There is a lot more work to do and it has to do with tax filing, it has to do with reaching out to remote communities, it has to do with working respectfully with Indigenous leaders,” Duclos said in a telephone interview Monday.

“In short, more to do, but I think some progress that we can build on.”

The value of the benefit is increasing this summer for the second year in a row under a plan the Liberals first announced in fall 2017, to peg payments to the rate of inflation, similar to payments from the old-age security and the guaranteed income supplement programs.

The maximum child-benefit payments will be $6,639 for each child up to age five, and up to $5,602 per child aged six to 17 starting on July 20.

There is broad agreement that the child benefit has helped lift some 278,000 children above the official poverty line, with help from good economic conditions, but experts predicted a decline in the effects if the Liberals had waited to index the benefit to the rate of inflation until next year as originally planned.

The concern was that the benefit’s buying power would erode over time as prices increased but benefit payments did not. The parliamentary budget watchdog added another wrinkle in a 2016 report that predicted a decline in the number of families qualifying for the benefit if the payments didn’t adjust to incomes that increased with inflation.

Duclos couldn’t say how many more children may be lifted above the official poverty line with an indexed child benefit. Official poverty numbers for 2019 won’t be available until 2021.

Liberal MPs used social media Monday to tout the increase, often without mentioning that it’s to keep pace with inflation. Duclos said one of the messages was that sound social policy required keeping up with inflation, which wasn’t the case with the previous Conservative government’s universal child-care benefit.

Duclos said he didn’t see his government — even a re-elected one — going back on the decision to index the benefit.

“That would be a terrible thing to do and all the partners and the stakeholders with whom we’ve had the fortune of working the last years have been very strong in advocating that this has to be the case,” Duclos said.

READ MORE: Can the Liberals take all the credit for economic and jobs gains?

Jordan Press, The Canadian Press


Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Homes evacuated in Fairmont due to localized flooding from heavy rainfall

RDEK has issued a state of local emergency, RCMP going door to door in affected areas

Southeast Kootenay school district set to reopen next week

Individual schools have creative timetables and schedules in order to adhere to public health orders

George Morris turns 99

Friends, family and neighbours gathered outside at Terra Lee Terraces in Cranbrook… Continue reading

Rotarians at work at Fred Scott Villas

Members of the Cranbrook Rotary Club, along with some key community volunteers,… Continue reading

The Weed Warrior: an invasive weed, new to the East Kootenay

Wild Parsnip is a plant that most of us don’t want to have a Close Encounter of any Kind with

WATCH: Cranbrook Farmer’s Market kicks off 2020 season

The first market of the year took place on Saturday, May 30.

Toronto Raptors’ Ujiri says conversations about racism can no longer be avoided

Thousands have protested Floyd’s death and repeated police killings of black men across the United States

B.C.’s Central Kootenay region declares state of emergency, issues evacuation orders

The evacuation alert covers all areas except the Cities of Castelgar and Nelson

‘I’m afraid’: Witnesses of wolf attack on senior near Prince Rupert worried about safety

Frank Russ shows where the unprovoked wolf attacked his father

Protesters prepare to rally against racism in front of Vancouver Art Gallery

Rally is in response to the deaths of black Americans and a Toronto woman

Introducing the West Coast Traveller: A voyage of the mind

Top armchair travel content for Alaska, Yukon, BC, Alberta, Washington, Oregon and California!

Protesters rally against anti-black, Indigenous racism in Toronto

Police estimated the crowd to be between 3,500 and 4,000 and said there was no violence

Feds earmark $1.5M to support recovery of B.C., Indigenous tourism

B.C. money will be split between Vancouver Island and Indigenous tourism

‘We’re sick of it’: Anger over police killings shatters U.S.

Tens of thousands marched to protest the death of George Floyd

Most Read