The Climate Action Incentive (CAI) payment was introduced in 2018 by the Government of Canada to offset the impact of carbon pollution tax increases on Canadians.
For 2020 and later tax years, the CAI is available to residents of Ontario, Manitoba, Saskatchewan, and (since 2019) Alberta.
Residents of other provinces pay a provincial carbon tax, or their province is part of the federal carbon pollution pricing system. These Canadians aren't eligible to receive the payment. New Brunswick residents are also no longer entitled to the CAI.
Note: For tax year 2021, the delivery of CAI payments has changed from a refundable credit claimed each year to quarterly payments made through the benefit system.