Frequently asked questions

CRA Separation Rules FAQ

1) When does CRA consider you “separated”?
For CRA purposes, you’re considered separated when you have lived separate and apart for at least 90 consecutive days due to a breakdown in the relationship. Once the 90 days have passed, the effective date of separation is the day you started living separate and apart. Canada+1

2) Do I report the separation immediately?
No. CRA specifically says do not tell them about your separation until you have been separated for more than 90 days. Canada+1

3) After 90 days, how soon do I have to update CRA?
CRA requires you to report a marital status change by the end of the month following the month your status changed (once the separation is reportable). Canada+1

4) How do I update CRA?
You can update through CRA My Account (“Change my marital status”), by submitting Form RC65, or (for benefit recipients) by phone. Canada+1

5) What if we live in the same home but are “separated”?
CRA’s focus is on whether you are living separate and apart due to a relationship breakdown (not just your address). If you are unsure, it is prudent to confirm directly with CRA or a qualified tax professional. Canada+1

6) What if I’m filing taxes and the 90-day period isn’t over yet?
CRA instructs that if you file before the 90-day period is over and it includes December 31, you generally enter your status as married/common-law (as applicable). Canada

Short disclaimer (OAFM-safe):
This information is provided for general informational purposes only and does not constitute legal or tax advice. For guidance on your specific circumstances, consult CRA or an appropriately qualified professional. Canada+1

Canada Child Benefit After Separation

Why this matters: CRA marital status and parenting-time arrangements can affect CCB and other benefits/credits.

Shared custody (CRA definition):
CRA generally considers “shared custody” when the child lives with you 40% to 60% of the time (on a more or less equal basis), typically at a different address for each parent. Canada+1

Who applies in shared custody:
In shared custody, both individuals should apply for the CCB. Canada

How payments work in shared custody:
Each parent with shared custody receives 50% of what they would have received if they had full custody, and the amount is calculated based on their own adjusted family net income. CRA will not split using other percentages or pay the full amount to one parent if CRA considers it shared custody. Canada

Practical reminder:
If parenting time changes (moving into or out of shared custody), update CRA promptly once your separation is reportable, to reduce the risk of overpayments and later adjustments. Canada+1

Common CRA Mistakes After Separation

1) Reporting “separated” too early
A frequent error is updating CRA immediately upon moving apart. CRA says don’t report separation until it has lasted more than 90 consecutive days. Canada+1

2) Missing the reporting deadline after it becomes reportable
Once your status has changed (and your separation is reportable), CRA expects you to notify them by the end of the following month. Canada+1

3) Assuming “same address” means “not separated”
People may delay updating because they are still cohabiting for financial/parenting reasons. CRA’s test is living separate and apart due to breakdown, not simply address. Canada+1

4) Not aligning CCB with actual parenting time
If your parenting schedule shifts into shared custody (40–60%) but CRA isn’t updated correctly, benefits can be miscalculated. Canada+1

5) Expecting CRA to split CCB in any percentage you choose
CRA’s shared custody payments are 50/50 (based on each parent’s income), not 60/40 or another split if CRA deems it shared custody. Canada

6) Thinking “divorce” updates everything automatically
CRA requires you to report marital status changes; it’s not automatically updated because you separated, signed an agreement, or started divorce paperwork. Canada+1

This information is provided for general informational purposes only and does not constitute legal or tax advice. Individuals are encouraged to consult the CRA directly or seek independent professional advice regarding their specific circumstances.