Northwest Territories Cost of Living Tax Credit

As a resident of the Northwest Territories, you can claim the cost of living tax credit – a refundable credit that you can claim regardless of your income. This tax credit is calculated as a percentage of your adjusted net income and might include a supplement for you and your spouse or common-law partner, if applicable.

You can receive the supplement if you’re over the age of 18 on December 31. It ensures that families receive a minimum credit of $700. If both you and your spouse qualify for the cost of living tax credit supplement, you’ll need to decide which of one of you will claim the credit as only one claim is allowed per family.


Where do I claim this?

Follow these steps in H&R Block's tax software to file your 2016 taxes:

Before you begin, make sure you told us you lived in NORTHWEST TERRITORIES on December 31, 2016.

If you’re single, divorced, separated, or widowed, H&R Block’s tax software will automatically apply the tax credit to your return.

If, however, you’re married or have a common-law partner you need to decide which one of you will be claiming the credit. To do this:

  1. Under the WRAP-UP tab, click the OPTIMIZATION icon. You'll find yourself here:


  2. In the section labelled Here are the additional credits we've claimed for you, answer Yes to the question Would you like to change who'll be claiming the following credit(s)?.

  3. In the drop-down menu next to the question, Who do you want to claim the Northwest Territories cost of living credit and the Northwest Territories cost of living supplement?, choose the person who will claim this credit.