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Personal Income Taxes

Deductions, Credits & Expenses

There are many deductions, credits, and expenses you can claim on your tax return to help reduce the amount of tax you have to pay.

Moving Expenses

If you moved at least 40km for work (to be employed or run a business at a new location) or to attend a post-secondary program (as a full-time student), you may qualify to deduct eligible moving expenses.

  • Common moving expenses that can be claimed are:
  • Transportation and storage costs,
  • Travel expenses (vehicle expenses, meals, and accommodation),
  • Limited temporary living expenses,
  • Cost of cancelling the lease for your old home,
  • Incidental costs such as changing your address on legal documents, replacing drivers licence and non-commercial vehicle permits (not including insurance), utility hook-ups and disconnections.

Student Expenses

If you attended a post-secondary, you can claim your tuition fees. You will need a copy of your T2202A Tuition & Enrolment Certificate issued to you from your college or university. You can also claim any interest paid on your student loans. 

Where can I find my tax slips as a student?

Medical Expenses

You can claim only eligible medical expenses on your tax return if you, or your spouse or common-law partner:

  • paid for the medical expenses in any 12-month period ending in the calendar year
  • did not claim them in prior years.


Eligible medical expenses (that have not already been reimbursed by a healthcare plan) can be claimed as a credit to a maximum of:

  • The lesser of 3% of your net income,
  • Or $2,397 (for the 2020 tax year).

What kind of expenses can I claim?

  • caregivers providing child care services
  • day nursery schools and daycare centres
  • educational institutions, for the part of the fees that relate to child care services
  • day camps and day sports schools where the primary goal of the camp is to care for children (an institution offering a sports study program is not a sports school)
  • boarding schools, overnight sports schools, or camps where lodging is involved 

Disability Tax Credit

The disability tax credit (DTC) is a non-refundable tax credit that helps persons with disabilities or their supporting persons reduce the amount of income tax they may have to pay. An individual may claim the disability amount once they are eligible for the DTC.

You are eligible for the DTC only if we approve Form T2201, Disability Tax Credit Certificate. A medical practitioner has to fill out and certify that you have a severe and prolonged impairment and must describe its effects.

Am I eligible for the DTC?

To be eligible for the DTC, you must be significantly restricted, all or substantially all the time (at least 90% of the time), in two or more of the basic activities of daily living or in vision and one or more of the basic activities of daily living, so that the cumulative effect of the restrictions when considered together is equivalent to being markedly restricted in a single basic activity of daily living.

Take a basic DTC questionnaire here to see if you are eligible for the credit.

Childcare Expenses

Child care expenses are amounts you or another person paid to have someone look after an eligible child so that you or the other person could do one of the following:

  • earn income from employment
  • carry on a business either alone or as an active partner
  • attend school under the conditions identified under Educational program
  • carry on research or similar work, for which you or the other person received a grant

     

What kind of expenses can I claim?

  • caregivers providing child care services
  • day nursery schools and daycare centres
  • educational institutions, for the part of the fees that relate to child care services
  • day camps and day sports schools where the primary goal of the camp is to care for children (an institution offering a sports study program is not a sports school)
  • boarding schools, overnight sports schools, or camps where lodging is involved 

Employment Expenses

You may be able to claim certain employment expenses on your income tax and benefit return if your employer certifies that had to pay for the expenses in question.

Your employer must fill out and sign Form T2200, Declaration of Conditions of Employment, and give it to you so you can deduct employment expenses from your income. By signing the form, your employer certifies that you have met the conditions of employment and had to pay for the expenses.

As an employee, you may be able to claim certain home office expenses (work-space-in-the-home expenses, office supplies, and certain phone expenses). The new temporary flat rate method simplifies your claim for home office expenses. You are eligible to use this new method if you worked more than 50% of the time from home for a period of at least four consecutive weeks in 2020 due to the COVID-19 pandemic. You can claim $2 for each day you worked from home during that period plus any additional days you worked at home in 2020 due to the COVID-19 pandemic. The maximum you can claim using the new temporary flat rate method is $400 (200 working days) per individual.

 

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