Tax Credits Available to Canadian Taxpayers

How Canadian Tax Credits Work (And Why They Matter)

Non-refundable credits reduce tax you owe but cannot take you below zero, while refundable credits can create or increase a refund. Understanding the difference helps you prioritize claims, plan timing, and avoid leaving valuable money unclaimed on the table.

How Canadian Tax Credits Work (And Why They Matter)

Key examples include the Basic Personal Amount, Disability Tax Credit, Canada Workers Benefit, Medical Expense Tax Credit, Tuition Tax Credit, and caregiver-related credits. Each plays a different role, and combining them strategically can make a meaningful, measurable difference to your yearly outcome.

Eligibility depends on marked and prolonged impairment in physical or mental functions, certified by an authorized medical practitioner on Form T2201. Take time to describe real, day-to-day impacts. If approved, the credit can reduce taxes annually and provide meaningful, ongoing relief.

Disability Tax Credit: A Cornerstone of Support

If the person with the impairment has little or no tax payable, part or all of the DTC may transfer to a supporting spouse, common-law partner, or certain relatives. In many cases, adjustments can be requested for prior years, potentially unlocking substantial retroactive benefits.

Disability Tax Credit: A Cornerstone of Support

Canada Workers Benefit: A Boost for Low-to-Modest Incomes

Eligibility depends on working income, family situation, and where your income sits within specific thresholds. The benefit phases in and out as income changes. Even if you owe no tax, the refundable amount may still be paid, offering vital flexibility when budgets feel tight.

Canada Workers Benefit: A Boost for Low-to-Modest Incomes

CWB has different calculations for single individuals and families. If eligible for the Disability Tax Credit, you may also qualify for a valuable disability supplement within CWB. Always review both individual and family options to ensure you select the structure that maximizes your benefit.

Canada Workers Benefit: A Boost for Low-to-Modest Incomes

A quick eligibility review can translate into real dollars. Use your most recent pay information and family details to test scenarios. Tell us your situation—student worker, new parent, or second job—and subscribe for reminders so you never miss changes that could increase your benefit.

Learning and Skills: Tuition and the Canada Training Credit

Tuition Tax Credit basics

If you received a T2202 or equivalent from your school, eligible tuition usually creates a non-refundable credit. Unused amounts can be carried forward or, in many cases, transferred to a spouse, common-law partner, or parent. Keep official slips, track carryforwards, and plan multi-year tuition carefully.

Canada Training Credit in practice

The Canada Training Credit is a refundable credit tied to your personal annual accumulation and eligible course or exam fees. Many adults quietly build this balance year by year. When you finally enroll, it can cover a meaningful slice of costs, effectively paying you back for investing in yourself.

Story: a mid-career pivot that paid off

Maya, a retail manager exploring data analytics, combined the Tuition Tax Credit with the Canada Training Credit to shrink her expenses dramatically. She documented fees, confirmed eligible courses, and coordinated timing with her carryforwards. Share your learning goal below, and join our list for new credit tips.

Home-Related Credits for Accessibility and New Beginnings

This non-refundable credit helps eligible first-time buyers with closing costs. Certain disability-related exceptions can apply even if you previously owned. Pair it with other home programs when possible. Considering a purchase? Ask questions in the comments, and we’ll share a practical pre-closing checklist.

Home-Related Credits for Accessibility and New Beginnings

Accessibility changes—like ramps, lifts, or safer bathrooms—may qualify for the Home Accessibility Tax Credit. A separate refundable credit supports building a secondary unit for a qualifying relative in a multigenerational home. Keep detailed invoices, photos, and permits to confirm eligibility and protect your claim.

Family, Community, and Everyday Relief

If you support an infirm spouse, common-law partner, or certain relatives, the Canada Caregiver Credit may reduce your tax. Documentation matters: medical notes, details of living arrangements, and how you provide support. Tell us your caregiving scenario, and we’ll help you map potential eligibility areas.

Family, Community, and Everyday Relief

Volunteer firefighters and search and rescue volunteers may claim a non-refundable amount if they meet minimum service hours. Eligible educators may access a refundable credit for certain classroom supplies. Track hours, keep receipts, and coordinate with your employer to document roles and responsibilities properly.