Tax season is here. We all dread it, but it is inevitable. When claiming your taxes, certain tax credits help you save on taxes you would otherwise pay on your income.
There may be some tax credits that you are eligible for and don’t know about, like the digital news subscription tax credit.
If you subscribe to a qualified Canadian journalism organization, you may be able to claim this tax credit.
The Digital News Subscription Tax Credit Explained
The digital news subscription tax credit is a non-refundable tax credit for individuals who subscribe to a qualified Canadian journalism organization (QCJO).
This credit is valid for qualifying subscription costs from 2019 to 2025, with a primary focus on “original news written content.”
This tax credit was introduced in 2019 as a bill to support Canadian journalism. More specifically, to support Canadian digital news media organizations to achieve a more financially sustainable business model.
This tax credit is non-refundable, meaning it only reduces your federal tax.
The credit must be larger than the tax you owe, and you won’t get any money back from the government.
This is What Qualifies for the Digital News Subscription Tax Credit
A qualifying subscription expense is an amount a subscriber paid in one year for a digital news subscription with a QCJO that does not have a license defined in subsection 2(1) of the Broadcasting Act.
To qualify for the tax credit, the digital news subscription must be in a digital form that is primarily written news.
If you have a subscription with a QCJO that does broadcasting (as defined in the Broadcasting Act), it will not qualify for this credit.
Qualified Canadian journalism organizations must confirm with the CRA if the subscriptions they offer qualify for the digital news subscription tax credit.
They can submit Form T622, Digital News Subscription Tax Credit – Eligible Subscription to request confirmation.
How Much is the Digital News Subscription Tax Credit?
This digital news subscription tax credit is a 15% credit. You can claim up to $500 in costs paid towards eligible subscriptions during a tax year for a maximum annual tax credit of $75.
If you have both digital and newsprint subscriptions, you can only claim the cost of a stand-alone digital news subscription.
The maximum credit you can get is calculated by multiplying the lowest personal income tax rate (15%) by the total amounts paid for the qualifying subscription expenses that year, up to $500.
How To Claim the Digital News Subscription Tax Credit
From 2020 to 2024, you can claim the digital news subscription tax credit for eligible subscriptions on Line 31350 of your T1 Income Tax and Benefit Return.
Only the individual who purchased a qualifying subscription can claim the credit.
If more than one individual is entitled to claim the subscription expense for the year, then the total amount can be split between them (as long as the total amount claimed is less than the maximum amount allowed if only one person has made the claim).
Related: When Do You Get Your Tax Refund?
Digital News Subscription Tax Credit List
Some of the most popular publications in Canada that are eligible for the tax credit include:
- The Globe and Mail
- Toronto Star
- Calgary Sun
- Calgary Herald
- Alberta Today
- The Guardian
- Ottawa Sun
- Journal de Montreal
- Journal de Quebec
- Montreal Gazette
- National Post
- The Vancouver Sun
- Winnipeg Sun
- Winnipeg Free Press
- Telegraph Journal
- London Free Press
- Times Colonist
- Regina Leader-Post
- Brandon Sun
- Medicine Hat News
- Le Canada Français
- The Daily Courrier
- Acadie Nouvelle
- Hamilton Spectator
- Niagara Falls Review
- L’actualité
- Edmonton Journal
- Edmonton Sun
- Ottawa Citizen
- Toronto Sun
For a complete list of qualifying digital news subscriptions, click here.
Digital News Subscription Tax Credit FAQs
Yes, the Globe and Mail is a qualified Canadian journalism organization and is eligible for the digital news tax credit. It is on the list of qualifying digital news subscriptions for this tax credit.
No, Apple News is not tax-deductible in Canada. It is not considered a qualified Canadian journalism organization.
You can claim the digital news tax credit if you have purchased a qualifying subscription for a digital newspaper. Qualifying subscriptions are from 2019 to 2025 and can be claimed until 2025.
QJCO stands for qualified Canadian journalism organization. It is the official designation for Canadian newspapers to claim the Canadian journalism labour tax credit, and for the subscription costs to be considered as qualifying expenses for the digital news subscription tax credit.
Conclusion
If you have purchased one or more subscriptions to a digital Canadian newspaper, you should check to see if it is part of the QJCO, and if it is, claim the digital news subscription tax credit.
This is one of the newer and, for some people, more unknown tax credits they can claim.
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I was not aware of this tax credit. Thanks for sharing, Enoch!
Steve
@Steve: Great to hear this was useful. Thanks for stopping by!
This “Qualified Canadian Journalism Organization license” is absolutely appalling. The government will deem what they believe qualifies as news. It completely censors independent and free journalism in Canada and if granted, those “qualified” outlets will receive government funding. How can a news organization, which is granted a government license and given government funding, report fairly and honestly with a government hand? It some countries this is called state run media. Journalism is supposed to be the Fourth Estate, which challenge institutions to let the citizens decide. With this government “license”, only outlets who do not challenge the government and are compliant with Trudeau’s pro-liberal, left-wing point of view will be granted access. We have already seen some journalistic outlets that challenge government policies have already been barred from political press conferences. A free and independent press, where different voices and perspectives are heard (whether one agrees with them or not), is a fundamental part of a free democracy.
I have a qualifying print subscription which includes a digital component. How do I determine the digital deduction? I can see what the cost is (claimable part) at any individual time but the fee may fluctuate during the year. In spite of the fact that you would think this deduction would be a big marketing feature when selling subscriptions, my publication does not show the deduction for the year anywhere. As the deductible is the same for all their subscribers, you would think they (Halifax Chronicle Herald) would show it clearly somewhere but they do not.
@Bernie: In this case, it would be best to contact them to ask. I agree that this should be a feature they promote, not bury as it could help them drive more subscriptions.