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When help is available under the CRA’s Taxpayer Relief Provisions (July 2025)

While most Canadians are familiar with the obligation to file an annual tax return and to pay income taxes owed by the end of April each year, there are in fact many more tax filing and payment deadlines imposed on individuals or businesses throughout the calendar year. Fortunately, the rate of compliance with those requirements is high, as most Canadian taxpayers meet their tax obligations, consistently filing returns and making any required payments on a timely basis. Where such tax filing or payment obligations aren’t met, however, the Canada Revenue Agency has the authority to impose both penalties and interest charges.

The types and amounts of penalties which can be assessed vary widely, depending on the nature of the non-compliance and, frequently, whether the taxpayer is a “repeat offender”. However, interest charges levied are always the same where taxes aren’t paid in full and on time, and those interest charges can be very substantial.

By law, the Canada Revenue Agency charges interest at a rate higher than commercial interest rates. For the third quarter (July, August, and September) of 2025, the CRA charges interest on outstanding tax amounts owed at a rate of 7.0%. More significantly, all such interest charges are compounded daily, meaning that each day the taxpayer is charged interest on both the tax amount owed and on the previous day’s interest charges. In such circumstances, interest charges can accumulate very quickly.

Where a failure to meet one’s tax obligations is simply the result of carelessness or negligence on the part of the taxpayer, it’s really not possible to avoid such charges. Sometimes, however, taxpayers fail to meet their tax obligations for reasons that are entirely outside their control. When that happens, the CRA may be willing to extend relief by forgiving interest and penalty charges, in whole or in part, through the Agency’s Taxpayer Relief Provisions.

It's important to note, at the outset, that while the CRA has issued guidelines on the circumstances in which interest and penalty relief may be provided, the decision to provide such relief is entirely discretionary on the Agency’s part – there is no right to interest and penalty relief. Second, while interest and penalty relief may be made available to the taxpayer, no relief is provided with respect to actual tax amounts owed. No matter the circumstances, tax amounts owed must always be paid.

The guidelines issued by the CRA on when interest and penalty relief may be available fall into two general categories. The first addresses taxpayers who are unable to meet their tax obligations as the result of extraordinary circumstances, including natural or man-made disasters like floods and wildfires. In 2025, tens of thousands of individuals in seven of 10 provinces have already had to leave their homes, sometimes for an extended period, as a consequence of dangerous wildfires. At such times, meeting one’s tax obligations is understandably a very low priority and, in the worst case scenario, the wildfire or other natural disaster which forced an evacuation may also result in the destruction of the taxpayer’s home, including their financial and tax records, making it difficult or impossible to file returns or determine or pay tax amounts owed.

The other extraordinary circumstances in which the CRA is prepared to provide relief from penalty and interest charges are those which are specific to the taxpayer involved. As outlined on the CRA website, such circumstances generally involve either serious illness or accident, or serious emotional or mental distress, such as would result from a death in the taxpayer’s family.

Finally, in a situation which is becoming a reality for an increasing number of Canadians, the CRA is prepared to consider providing interest relief where the taxpayer is experiencing significant financial hardship. The CRA’s guidelines, as outlined on the Agency’s website, indicate that it will consider waiving or cancelling interest charges, in whole or in part, where the taxpayer cannot pay those charges due to financial hardship, where paying interest amounts owed would make it difficult for the taxpayer to provide basic necessities, such as food, medical help, transportation, or shelter for a significant period of time, or where interest charges make up the majority of the amount owed and the taxpayer is unable to make a reasonable payment arrangement with the CRA.

In order to receive relief in situations of financial hardship, a taxpayer must be able to provide the CRA with detailed information on their current financial situation. That financial situation is outlined on a prescribed CRA form (last updated in May 2025) which is available at Form RC376, Taxpayer Relief Request – Statement of Income and Expenses and Assets and Liabilities for Individuals. In addition to the information submitted on that form, the taxpayer must also provide supporting documentation, such as current mortgage statement(s), property assessment(s), rental agreement(s), loans and recurring bills, bank and credit card statements for the most recent three months, and current investment statements

Regardless of the reasons or circumstances which have led the taxpayer to submit an application for relief, the process of filing that application is the same. Taxpayers who have registered for the CRA online service My Account can file their application using that service. Those who are not registered for My Account, or would prefer filing a paper application, can find the current (as of May 2025) version of the required form on the CRA website at Form RC4288, Request for Taxpayer Relief – Cancel or Waive Penalties and Interest. The address to which the completed form should be sent (which will depend on the taxpayer’s place of residence) can be found on the last page of Form RC4288.

Whatever the method by which an application for relief is filed, the CRA will review the information submitted and make a determination of whether to cancel interest and/or penalty amounts owed, in whole or in part. The factors considered by the Agency in determining whether to grant relief will, of course, depend for the most part on the circumstances giving rise to the application. In general, however, the Agency will consider the taxpayer’s tax return filing and payment history, whether the taxpayer knowingly let a balance owing exist (resulting in additional interest charges), whether reasonable care was taken in the management of the taxpayer’s tax affairs, and finally, whether the taxpayer acted quickly to correct any delay or omission.

The CRA’s goal is to make a decision on straightforward applications made under its Taxpayer Relief Provisions within six months (180 days) after the application is received. However, not surprisingly, the Agency is currently receiving a higher than usual number of applications, meaning that the timeline for making decisions on those applications is now closer to eight months (or longer, for complex applications).

Where the taxpayer’s request is denied, they can request that the decision be reviewed. If that decision is also negative, the only recourse is to ask a judge to review the CRA’s decision. In the great majority of cases, however, the cost of taking that step is likely to be greater than the amount of interest and penalties at issue.

In all cases, the best course of action for the taxpayer is to be proactive – to contact the CRA as soon as the taxpayer is aware that filing of a required return, or paying taxes owed in full and on a timely basis, will be not possible. Taking the initiative and moving quickly to resolve the problem will both minimize the amount of interest which will accrue on unpaid taxes and will count in the taxpayer’s favour when the CRA considers whether to allow an application for waiver of those interest and penalty charges.

Taxpayers who are unsure of whether their particular circumstances will qualify for relief under this program can use a self-evaluation tool provided on the CRA website at https://www.canada.ca/en/revenue-agency/services/about-canada-revenue-agency-cra/complaints-disputes/cancel-waive-penalties-interest/self-evaluation-learning-tool.html. To use that feature, the taxpayer provides detailed information (which is not saved or submitted to the CRA) about their situation and is provided with information about whether that situation could qualify for taxpayer relief and/or there are other federal programs which might provide a better option.

Finally, it should be noted that, where there are events (like this year’s wildfires) which could prevent large numbers of Canadians from meeting their tax obligations, the CRA will sometimes issue a news release acknowledging the situation and indicating that it will give special consideration to providing relief for residents of specific identified locations. The Agency has not, as of the end of June 2025, issued such a press release with respect to this year’s wildfire situation; however, taxpayers affected by those events should understand that, regardless of whether such a news release is issued, they are entitled to apply for interest or penalty relief under the usual provisions of the Taxpayer Relief Program.

Detailed information on the Taxpayer Relief Provisions is available on the CRA website at https://www.canada.ca/en/revenue-agency/services/about-canada-revenue-agency-cra/complaints-disputes/cancel-waive-penalties-interest.html.

The information presented is only of a general nature, may omit many details and special rules, is current only as of its published date, and accordingly cannot be regarded as legal or tax advice. Please contact our office for more information on this subject and how it pertains to your specific tax or financial situation.

Trade war supports for Canadian employees – changes to the Employment Insurance system. (July 2025)

The current trade and tariff dispute between Canada and the United States has affected individuals and businesses in virtually all provinces and industries. On an individual level, those most affected are often employees who work in industries (like steel and aluminum) for which the US tariff barriers are especially high, or those in businesses which import their raw materials from, or export a large percentage of their finished products to, the US. In such industries and businesses, layoffs and even business closures can be the result.

The federal government has provided a number of supports for businesses and individuals who find themselves in such circumstances. On an individual level, changes to the rules governing eligibility for Employment Insurance (EI) benefits have made it easier for employees who have been laid off, temporarily or permanently, to qualify for such benefits and to increase the amount of benefits which may be received.

Under the usual rules, an individual can qualify for EI benefits where they have accumulated a prescribed number of hours of work over the previous 52 weeks. The number of required hours depends on the unemployment rate for the region in which the individual resides. After an application for EI benefits is approved, there is a one-week “waiting period” during which no benefits are payable. Finally, where an individual receives any kind of additional payment like vacation pay or severance allowance when their employment ends, those amounts are considered income to that person and will reduce the amount of EI benefits payable.

Under the changes made recently by the federal government, each of those rules is relaxed for EI claims made during specified time period(s) in 2025. It’s important to note that while the relieving changes to the EI eligibility and benefit amount rules were put in place to address the effects of the current trade and tariff situation, those changes apply to all EI claims made during the specified time period(s). There is no requirement that the EI applicant show that their loss of employment is related to, or the result in any way of, the current trade and tariff realities. The changes made to the EI rules are as follows.

Suspension of waiting period requirement

Effective for all new claims for EI benefits that start between March 30, 2025 and October 11, 2025, the one-week waiting period is waived.

Suspending the allocation of separation earnings

Under the usual EI rules, earnings which are paid because of a temporary or permanent loss of employment are considered to be earnings received by the EI claimant, starting from the week of the loss of employment.

Amounts paid as the result of a loss of employment can include vacation pay, pay in lieu of notice, severance pay, closure bonuses, and sick leave credits.

Effective for EI claims that start between March 30, 2025 and October 11, 2025, amounts received as the result of loss of employment (including, but not limited to, the amounts listed above) are not counted as earnings and do not affect the amount of EI benefits which are paid.

Reducing the minimum requirements to qualify for EI benefits

In order to qualify for EI benefits following the loss of employment, an applicant must have worked a minimum number of hours (known as insurable employment) during the previous 52 weeks. The number of required hours of insurable employment is based on the unemployment rate in the region in which the claimant lives – the higher that unemployment rate, the fewer insurable hours are needed to qualify for EI benefits.

Under the temporary new rules, the actual unemployment rate for the region in which an EI claimant lives will be increased by one percentage point, for purposes of determining the number of required hours of insurable employment. That change means that EI applicants will be required to have between 420 and 630 hours of insurable employment in order to qualify for benefits.

This change to the EI rules has a shorter effective period than the other changes outlined above. Specifically, the change to the number of required hours of insurable employment will apply only to claims starting between April 6, 2025 and July 12, 2025.

More information on the temporary Employment Insurance measures can be found on the federal government website at https://www.canada.ca/en/services/benefits/ei/temporary-measures-for-major-economic-conditions.html.

Getting tax help with summer child care costs (July 2025)

The work-from-home arrangements which were ubiquitous throughout the pandemic and, to a lesser degree, for a couple of years afterwards, are now largely a thing of the past for most Canadians. One of the consequences of the return to the office was the need for parents who work outside the home to arrange for (and pay for) child care – sometimes for the after-school period and sometimes for the entire day.

While arranging child care for just a few hours a day can work for many families during the school year, the need to organize all-day child care for the summer months becomes top of mind for most parents as the school year draws to a close. Parents needing to arrange such care don’t lack for options, as a quick search of online listings and advertisements in local media will produce an almost limitless number of choices. What each of those choices has in common, however, is a price tag – sometimes a steep one. Some options, like playground supervisors or day camps provided by the local recreation authority or municipality, can be relatively inexpensive, while the cost of others, like residential camps that provide room, board, and a range of sports and arts activities, can run to thousands of dollars per week.

The good news for families which incur such expenditures is that in many cases a deduction for part or all of the costs incurred can be claimed on the tax return for the year. And, since eligible expenditures can be deducted from income on a dollar-for-dollar basis, that means that income used to pay eligible child care expenses is income which is not taxed. That tax savings is obtained by claiming the Child Care Expense Deduction, which is not specific to summer child care or summer camp costs, but is available for qualifying child care expenses incurred at any time during the year. As well, the rule determining whether child care costs incurred are deductible is fairly straightforward – parents who incur eligible child care costs in order to work (whether in employment or self-employment), or in some cases to attend school, can deduct those costs from income, within specified limits.

The amount of any available child care deduction is calculated on Form T778 E, and that calculation can seem forbiddingly complex. However, at the end of the day, the amount of child care expenses which can be deducted is simply the least of three figures, and only one of those figures requires a calculation. The steps involved in determining the amount of available child care expense deduction are as follows.

First, the amount of any deduction for child care expenses is limited to two-thirds of the taxpayer’s net income for the year. The income figure used to calculate the two-thirds figure is, generally, the amount shown on Line 23600 of the annual tax return. Where the family incurring child care expenses is a two-income family, it is the spouse with the lower net income who must make the claim and consequently it is their net income which is used to provide that two-thirds of net income figure.

The second figure to be determined is the amount actually paid for eligible child care costs during the year. While virtually any licenced child care arrangement will qualify for purposes of the deduction, some more informal arrangements may not. Specifically, no deduction is available for amounts paid to most family members to provide child care. Consequently, it’s not possible for a working spouse to pay the stay-at-home parent to provide child care, nor is it possible to pay an older sibling who is under the age of 18 to provide such services and to claim a deduction for those expenses incurred. As well, where a claim is made for a deduction for child care expenses on the annual return, the claimant must obtain (and be prepared to provide to the tax authorities) the social insurance number of the individual providing the care as well as a receipt showing the amounts paid, whether to an individual or an organization.

The third figure to be determined is the one which requires some calculation. Basically, the rules governing the deduction of child care expenses impose a maximum deduction per child per year (referred to as the “basic limit”), with that basic limit dependent on the age and health of the particular child. As well, where expenses are incurred for overnight camps or overnight sports schools, the amount deductible for such costs is similarly capped.

For 2025, the following overall limits apply:

$5,000 in costs per year for a child who was born in 2009 to 2018;
$8,000 in costs per year for a child who was born after 2018;
$11,000 in costs per year for a child who was born in 2025 or earlier and for whom the disability tax credit can be claimed.

The limits which are placed on the amount of costs which can be deducted for overnight camp or overnight sports schools fees are as follows:

$125 per week for a child who was born in 2009 to 2018;
$200 per week for a child who was born after 2018; and
$275 per week for a child who was born in 2025 or earlier and for whom the disability amount can be claimed.

Taking all of these figures into account, the computation of a deduction for summer day camp expenses for a typical Canadian family would look like this.

A two-income family has two children and both parents work outside the home. One spouse earns $72,000 per year, while the other earns $57,000. In 2025, one child is age 9 and the other is age 5. Neither child is disabled. During July and August, both of the children attend a local full-day summer camp, for which the cost is $500 per week per child.

The first step is to determine the two-thirds of income figure. Since it is the lower-income spouse who must make the deduction claim, that figure is two-thirds of $57,000, or $37,996. Consequently, any deduction for child care expenses for the year cannot exceed $37,996.
The second calculation is the total amount of child care expenses paid for each child:

$500 per week for eight weeks of summer camp, or $4,000.

Total child care expenses for each child are therefore $4,000.
The last step is to determine the basic limit for child care expenses for each child, as follows:
- the basic limit for the 5-year-old (who was born after 2018) is $8,000, and so the entire $4,000 in summer day camp costs incurred can be deducted.
- the basic limit for the 9-year-old (who was born between 2009 and 2018) is $5,000, and so once again the entire $4,000 incurred for summer day camp costs can be deducted.

As well, since the camp is a day camp, the dollar amount cost limitations which apply with respect to overnight camps does not apply to limit the amount of expenses claimed by the family.

The total deduction available for child care expenses incurred for the 2025 tax year will therefore be $8,000. That deduction is claimed on Line 21400 of the tax return filed by the lower-income spouse for the year, reducing their taxable income from $57,000 to $49,000, and resulting in a federal tax savings of $1,160. A similar tax deduction is claimed as well for provincial tax purposes; the amount of provincial tax saved will depend on the tax rates imposed by the province in which the family lives.

When parents are choosing summer activities/care for their children, that decision involves a number of factors, including the child’s interests and abilities, the availability of programs which match those interests and abilities, the work schedules of one or both parents, and, of course, the cost of the program or activity. While the availability of a “subsidy” through the tax system should never be the sole determinant of what activity or camp is the best choice, there’s no denying that being able to claim a deduction for the costs involved can tip the balance toward one or choice or another, or can bring a formerly unavailable option within a family’s financial reach.

Parents wishing to find out more about the child care expense deduction, and perhaps to calculate the maximum deduction which will be available to them for the 2025 tax year, should consult Form T778 E (23). The form, which is currently on the CRA website at https://www.canada.ca/en/revenue-agency/services/forms-publications/forms/t778.html, is from the 2024 tax year, and consequently the age limits must be adjusted by one year for child care expense claims for 2025. (The actual form for 2025 will be posted on the CRA website early in 2026.) The currently available form does, however, provide a detailed explanation of the rules governing the child care expense deduction, and those rules (as well as the applicable dollar limits, which are not indexed to inflation and have not changed since 2014) will likely continue to apply for the 2025 tax year.

The cost of moving – what’s deductible and what’s not (July 2025)

As of the end of May 2025, there were just under 202,000 properties listed for sale on the Canadian Real Estate Association’s Multiple Listing Service. While each of those properties and each property sale is different, all of them involve a move to a new location – sometimes a move up to a bigger and better property in the same town or city, sometimes a downsizing move, and sometimes a move to a new city or even another province. As well, earlier this year thousands of university and college students made the annual trek from their university or college residences or apartments to move back to the family home for the summer.

Whatever the reason for the move or the distance to the new location, all moves have two things in common – stress and cost. Even where the move is a desired one, moving inevitably means upheaval of one’s life, and the costs involved can run to tens of thousands of dollars, especially where those costs include real estate commissions paid in connection with the sale of the current home. There is not much that the tax system can do to reduce the stress of moving, but the associated costs can be offset somewhat by a tax deduction which may be claimed for many of those costs.

While it’s common to refer to the “moving expense deduction” as though it were available to all taxpayers in all circumstances, the fact is that there is actually no universally available deduction claimable for moving costs. In order to be deductible from income for tax purposes, such moving costs must be incurred in specific (and relatively narrow) circumstances. Our tax system allows taxpayers to claim a deduction only where the move is made to get the taxpayer closer to their new place of work, whether that work is a transfer within the same company, a change in employers, moving to set up a new business, or moving to take a summer job. Specifically, moving expenses can be deducted where the move is made to bring the taxpayer at least 40 kilometres closer to their new place of work. That requirement is satisfied where, for instance, a taxpayer moves from Ottawa to Halifax to take that new job, or where a student returns from university in Vancouver to work at a summer job back home in Calgary. It’s also met where a taxpayer is transferred by their employer to another job in a different location and the taxpayer’s move will bring them at least 40 kilometres (as measured by what the Canada Revenue Agency (CRA) terms “the shortest public route”) closer to the new work location. It’s not met where an individual or family move up (or down) the property ladder by selling and/or purchasing a new home in the same town or city.

As well, it’s not necessary to be a homeowner in order to claim a deduction for moving expenses. The list of moving-related expenses which may be deducted is basically the same for everyone – homeowner or tenant – who meets the 40 kilometre requirement. It's important to remember, however, that even where the 40 kilometre requirement is met, moving costs can be deducted only from income earned from employment or self-employment (business) – such costs cannot be deducted from other types of income, like investment income or employment insurance benefits.

The general rule is that a taxpayer can claim reasonable amounts that were paid for moving themself, their family members, and household effects. In all cases, the moving expenses can be deducted only from employment or self-employment income earned at the new location. Where the move takes place late in the year and/or moving costs are significant, it’s possible that the amount of income earned at the new location in the year of the move will be less than deductible moving expenses incurred. In such instances, those expenses can be carried over and deducted from income earned at the new location in any future year.

Within that general rule, there are a number of specific inclusions, exclusions, and limitations. The following is a list of expenses which can be claimed by the taxpayer without specific dollar figure restrictions (but always subject to the overriding requirement of “reasonableness”):

travel expenses, including vehicle expenses and meals and accommodation, to move the taxpayer and members of their household to their new residence (note that not all members of the household have to travel together or at the same time);
transportation and storage costs (such as packing, hauling, movers, in-transit storage, and insurance) for household effects, including such items as boats and trailers;
costs for meals and temporary accommodation for up to 15 days for the taxpayer and members of the household, near the old or the new residences;
lease cancellation charges (but not rent) on the old residence;
legal or notary fees incurred for the purchase of the new residence, together with any taxes paid for the transfer or registration of title to the new residence (excluding GST or HST);
the cost of selling the old residence, including advertising, notary or legal fees, real estate commissions, and any mortgage penalties paid when a mortgage is paid off before maturity; and
the cost of changing an address on legal documents, replacing driving licences and non-commercial vehicle permits (not including insurance), and costs related to utility hook-ups and disconnections.

A few years ago properties often sold almost as soon as they were put on the market, but that’s not the real estate market reality in 2025 when, for a number of reasons, it can take weeks or even months to find a buyer. When that’s the case, the homeowner might have to move to start that new job before the “old” house has sold. In those circumstances, the taxpayer is entitled to deduct up to $5,000 in costs incurred for the maintenance of the old house while it is vacant and on the market. Specifically, costs including interest, property taxes, insurance premiums, and heat and utilities expenses paid to maintain the old residence while it is vacant and efforts are being made to sell it may be deducted. If any family members are still living at the old residence, or it is being rented, no such deduction is available.

It may seem from the forgoing that virtually all moving-related costs will be deductible – however, there are some costs for which the CRA will not permit a deduction to be claimed, as follows:

expenses for work done to make the old residence more saleable;
any loss incurred on the sale of the old residence;
expenses for job-hunting or house-hunting trips to another city (for example, costs to travel to job interviews or meet with real estate agents);
expenses incurred to clean or repair a rental residence to meet the landlord’s standards;
costs to replace such personal-use items as drapery and carpets;
mail forwarding costs;
mortgage default insurance; and
costs incurred in the sale of the old home if selling was delayed for investment purposes or until the real estate market improved.

To claim a deduction for any eligible costs incurred, supporting receipts must be obtained. While the receipts do not have to be filed with the return on which the related deduction is claimed, they must be kept in case the CRA wants to review them.

Anyone who has ever moved knows that there are a seemingly endless number of details to be dealt with. For some types of costs, the administrative burden of keeping track of (and retaining receipts for) such moving-related expenses can be minimized by choosing instead to claim a standardized amount. Specifically, the CRA allows taxpayers to claim a fixed amount, without the need for detailed receipts, for travel and meal expenses related to a move. Taxpayers should keep in mind, however, that while detailed receipts are not required, the CRA may still ask the taxpayer to provide some documentation to support their claim.

Using the standardized, or flat rate method, taxpayers may claim up to $23 per meal, to a maximum of $69 per day, for each person in the household. Similarly, the taxpayer can claim a set per-kilometre amount for kilometres driven in connection with the move; that per-kilometre amount ranges from 54.5 cents for Alberta and Manitoba to 71.5 cents for the Yukon. In all cases, it is the province or territory in which the travel begins which determines the applicable rate.

These standardized travel and meal expense rates are those which were in effect for the 2024 taxation year – the CRA will be posting the rates for 2025 on its website early in 2026, in time for tax filing season.

Once eligibility for the moving expense deduction is established, the rules which govern the calculation of the available deduction are not complex, but they are very detailed. The best summary of those rules is found on the form used to claim such expenses – the T1-M. The current version of that form (which was last updated in 2024) can be found on the CRA’s website at T1-M Moving Expenses Deduction - Canada.ca, and more information (including a link to rates for standardized meal and travel cost claims) is available at Line 21900 – Moving expenses - Canada.ca.

The start of a new benefit year – what can you receive in 2025-26? (June 2025)

Most Canadians, understandably, think of our income tax system as a government “program” that takes money out of their paycheques and out of their pockets. And, while it’s certainly true that virtually every Canadian who earns an income must allocate a portion of that income to paying federal and provincial personal income taxes, that’s not the whole picture. Our tax system does, in fact, provide Canadians with a number of direct benefits, through a variety of tax credit and benefit programs which actually put money into the hands of Canadians. And since that money can be obtained with minimal effort (and be received tax-free) it’s a win-win for the recipient.

Those attributes describe the basic child and family benefits paid by the federal government to eligible Canadians throughout each year. However, a substantial number of eligible recipients don’t receive benefits to which they are entitled simply because they haven’t claimed them, leaving potentially hundreds or thousands of dollars in tax-free income unclaimed each year. As well, many Canadians who do receive such benefits but who then fail to claim them annually can see their benefit payments stop, even though they remain eligible to receive those benefits.

While there are quite a number of such benefits, the process of “claiming” each of them is the same – simply filing a tax return each year. Eligibility for those benefits and/or the amount of benefit obtainable is based, in part, on the income of the recipient. When each Canadian files a tax return, the Canada Revenue Agency determines, based on the information provided in that return, the benefits to which the taxpayer is entitled and in what amounts. In making that determination, the income figure used is that from the previous year. In other words, a taxpayer’s eligibility for benefits during the 2025-26 benefit year is based on their income for 2024. And that information was provided to the Canada Revenue Agency on the tax returns for 2024 which were filed by taxpayers earlier this year.

Once the CRA receives the needed income information (usually by April 30, 2025) and determines a taxpayer’s benefit eligibility, those benefits are paid to eligible recipients throughout the 2025-26 benefit year, which starts on July 1, 2025 and ends on June 30, 2026.

It should be noted, as well, that while the federal government refers to these benefits under the umbrella term “child and family benefits”, it’s wrong to conclude that benefits are only available to parents and/or married individuals. Of the three benefit programs outlined below which will be in place during the upcoming benefit year, only the Canada Child Benefit program requires that a taxpayer be a parent, and none of the benefit programs require that a taxpayer be married or in a common-law relationship.

GST/HST Credit

The GST/HST credit is a non-taxable amount paid four times a year (on the 5^th of July, October, January, and April) to lower- and middle-income individuals and families, to help offset the cost of the goods and services tax/harmonized sales tax (GST/HST) that they pay. Generally, the credit is available to Canadian residents who meet any one of the following criteria:

aged 19 years of age or older;
have or had a spouse or common-law partner; or
are or were a parent and live (or lived) with their child.

The amount of benefit which may be received is determined by both family size and income level. For the upcoming (July 2025 to June 2026) benefit year, the maximum annual GST/HST benefit is as follows:

$533 if you are single;
$698 if you are married or have a common-law partner; and
$184 for each child under the age of 19.

Eligibility for the GST/HST credit for the 2025-26 benefit year is determined automatically by the CRA for each taxpayer who filed a return for 2024. There is, therefore, no need to indicate on the return that the taxpayer is applying for the GST/HST credit.

Detailed information on the GST/HST tax credit can be found on the CRA website at https://www.canada.ca/en/revenue-agency/services/child-family-benefits/goods-services-tax-harmonized-sales-tax-gst-hst-credit.html.

Canada Workers Benefit

The Canada Workers Benefit (CWB) is a refundable tax credit paid to lower-income Canadian residents who are aged 19 or older or are married or have a common-law spouse or child with whom they live, and who have “working income” of at least $3,000 which was earned from employment or self-employment.

The amount of CWB which an individual or family can receive depends on marital status and net income. The basic amounts payable for the 2025-26 benefit year, and the net income levels at which eligibility for that basic benefit is eroded, are as follows.

$1,633 for single individuals
The single individual benefit is reduced if adjusted net income is more than $26,855.
$2,813 for families
The family benefit amount is reduced if adjusted family net income is more than $30,639.

In order to apply for the CWB, a recipient must file their tax return electronically and follow the instructions provided for the particular tax return preparation software or, if filing a paper return, must complete and file a Schedule 6 with that tax return.

More detailed information on the CWB can be found at https://www.canada.ca/en/revenue-agency/services/child-family-benefits/canada-workers-benefit.html.

Canada Child Benefit

The Canada child benefit (CCB) is a tax-free monthly payment made to eligible families to help with the cost of raising children under 18 years of age. The CCB is paid to the parent who is primarily responsible for the care and upbringing of the child or children, and the amount varies with the age and number of children.

The CCB is also a means-tested benefit, with the benefit amount being reduced as family net income increases. CCB amounts paid during the 2025-26 benefit year are based on family net income for 2024.

The maximum amounts payable for the benefit year running from July 2025 to June 2026 are as follows.

For each child:

under 6 years of age: $7,997 per year ($666.41 per month);
6 to 17 years of age: $6,748 per year ($562.33 per month).

Where family net income for 2024 is less than $37,487, recipients will receive the maximum amount outlined above for 2025-26, with no reductions.

Individuals and families who may be eligible for the CCB will have their eligibility automatically assessed when they file their tax return for 2024; there is no requirement to file a particular schedule or other application. More information on the CCB is available on the federal government website at https://www.canada.ca/en/revenue-agency/services/child-family-benefits/canada-child-benefit-overview.html.

Finally, there is one federal tax credit program – the Canada Carbon Rebate (CCR) – which was received in previous years by many Canadians but is no longer available. The CCR was created to help offset the cost to Canadians of the federal consumer carbon tax, and when that tax was repealed earlier this year, the Canada Carbon Rebate program was also cancelled. The last payment of the CCR was made in April of 2025.

While the number and variety of federal child and family benefits, and the varying eligibility criteria for each, can be confusing, the necessary determinations and calculations are done by the federal government. The only step which need be taken by an individual is the filing of an annual tax return. Taxpayers who wish to find information on the benefits for which they may be eligible (and to obtain an online estimate of the amount of those benefits) can refer to the Canada Revenue Agency website at https://www.canada.ca/en/revenue-agency/services/child-family-benefits.html, where detailed information on each such benefit is provided.

Coming clean with the tax authorities – making a voluntary disclosure (June 2025)

While it’s unlikely that they do so with any great degree of enthusiasm, the vast majority of Canadians prepare their annual tax return each spring and file that return on time. That’s necessary, because the Canadian tax system is a “self-assessing” one, in which the onus is completely on the taxpayer to ensure that a return in prescribed form is completed and provided to the tax authorities. On that return, the taxpayer provides a listing of income earned during the previous calendar year as well as any claims made for tax deductions and credits. The end result of that process is a determination of the amount of tax owed for the year; any such amount must then, of course, be paid on or before April 30.

The number of taxpayers who don’t file a return as and when required, or who file a return in which income amounts aren’t reported or incorrect tax deduction or credit claims are made, is, as a percentage of the overall number of tax filers, very small. However, even a very low non-compliance rate of 1% or less still means hundreds of thousands of returns not filed or filed with incomplete or inaccurate information.

There are a number of reasons why taxpayers don’t file a return – sometimes it’s just procrastination, or a lack of knowledge of how and when to get the return filed. In other cases, taxpayers don’t believe that they are required to file a return – for instance, where they have little or no income for the year.

However, in many instances in which taxpayers don’t file a return, it’s likely because taxes are owed and they are unable to pay those taxes on time or in full – or at all. In such situations, it’s tempting to conclude that it’s better not to file in the hope, perhaps, that the CRA will overlook or somehow not notice the delinquency. That’s not, however, a realistic conclusion. Where a Canadian resident earns income, the payor of that income must file an income slip (T4 for employment income, T5 for interest income, etc.) with the Canada Revenue Agency, on which the recipient of that income is identified by name, address, and social insurance number. As well, beginning with the 2024 tax year, e-commerce sites are required to provide the tax authorities with identifying information for individuals who sell goods through those online marketplaces. And, where information provided to the tax authorities doesn’t match up with income reported on a return for the year by the taxpayer (or no return was filed at all), the omission will probably come to light.

Although each such instance of non-compliance can represent lost revenue to the Canadian government, the resources needed to track down each and every such occurrence simply aren’t available, especially since in many cases the amount recovered may be less than the costs which must be incurred to recover that amount.

With all of that in mind, the Canada Revenue Agency provides a program – the Voluntary Disclosures Program (VDP) – intended to encourage non-compliant taxpayers to come forward and put their tax affairs in order. The incentive to do so arises from the fact that in most cases, while taxpayers who participate in the VDP program will still have to pay outstanding tax amounts owed, plus some interest, they can avoid some other interest charges, penalties which would normally be imposed, and the risk of criminal prosecution.

There are five criteria which must be satisfied for an application to qualify for such relief under the VDP. Generally, any such application must:

Be voluntary (meaning that it is made before the CRA contacts the taxpayer or initiates any enforcement action related to the information to be disclosed);
Be complete (meaning that it includes all relevant information and documentation);
Involve the application or potential application of a penalty;
Include information that is at least one year or one reporting period past due (as of June 2025 that would include individual income tax returns for tax years up to and including 2023); and
Include payment of the estimated tax owing (taxpayers who are unable to do so can request a payment arrangement).

The VDP program includes two separate “tracks” for income tax disclosures – the Limited Program and the General Program – and the kind and extent of relief available depends on the track to which a particular application is assigned.

While the Canada Revenue Agency will ultimately make the determination of whether an application should proceed under the Limited or the General Program on a case-by-case basis, there are guidelines in place. The CRA’s intention is to restrict the Limited Program to instances in which taxpayers intentionally avoided their tax obligations (as distinct from inadvertence), or there is conduct on the part of the taxpayer which amounts to gross negligence. In making its determination of the appropriate track for a disclosure, the factors which the CRA will consider include the following:

the dollar amounts involved;
the number of years of non-compliance;
the sophistication of the taxpayer;
how quickly the taxpayer acted to correct their non-compliance after becoming aware of it;
whether the disclosure was made after the taxpayer became aware of the CRA’s intended specific focus on that particular area of taxpayer compliance; and
whether efforts were made to avoid detection through the use of offshore vehicles or other means.

Those whose applications are accepted under the Limited Program will be required to pay outstanding tax balances owed, plus interest, and will be subject to penalties. They will not, however, be subject to criminal prosecution and will be exempted from the more stringent penalties which usually apply in cases of gross negligence on the part of the taxpayer.

Taxpayers whose conduct does not consign them to the Limited Program will instead be considered under the General Program. Under that Program, no penalties will be charged and no criminal prosecutions will take place. As well, the CRA will provide partial interest relief for the years preceding the three most recent years of non-compliance. For example, a taxpayer who makes an application to the VDP after having failed to file returns or pay tax owing, or who filed returns which omitted information or included incorrect information, for the 2018 through 2023 taxation years may be provided with partial interest relief with respect to tax arrears owed for the 2018, 2019 and 2020 taxation years. Such relief is generally equal to 50% of interest normally owed – in other words, the taxpayer will be required to pay only half of the interest charges which would otherwise be levied for those years. No interest relief will, however, be provided on tax amounts owed for the three most recent taxation years (2021, 2022, and 2023). Since interest charges levied by the CRA are, by law, higher than current commercial rates (for instance, the rate levied for April, May and June 2025 is 8%) and interest charged is compounded daily, having interest amounts forgiven, even in part, can make a significant difference to the overall tax bill faced by the taxpayer.

The decision to apply to the VDP and to “come clean” about all previous tax transgressions is something that most taxpayers will likely consider with considerable trepidation. Those who are unsure about whether they want to move forward with a VDP application do have the option of using the CRA’s “pre-disclosure discussion service”. As the name implies, that service allows taxpayers to participate in preliminary discussions with a CRA official, on an anonymous basis, to gain some knowledge about the VDP program, the process involved, and the potential relief available.

Whether or not they choose to avail themselves of the pre-disclosure discussion service, taxpayers who decide to apply to the VDP should complete and file Form RC199 Voluntary Disclosures Program Application, which is available on the CRA website at https://www.canada.ca/en/revenue-agency/services/forms-publications/forms/rc199.html. (While it’s possible to apply to the VDP by drafting a letter to the CRA, using the prescribed form is generally the better approach. Doing so will ensure both that all required information is included and that that information is presented in a format which will be familiar to the CRA officials assessing the application.) Once the application is received, the CRA will check to make certain that it meets all the criteria required for a valid application, and that all of the required information, documentation, and payment have been sent. Once the application has been accepted, the next step is for the CRA to determine the program (Limited or General) to which it should be assigned and the taxation year(s) for which relief is being considered. At each step the taxpayer will be provided with written notice of the CRA’s decisions.

If the decision made is that the application is not eligible for the VDP, the taxpayer will also be advised in writing, with reasons, of the CRA’s decision to deny the application.

Where the decision made by the Agency is one with which the taxpayer disagrees, they are entitled to ask for a second administrative review of the application by the CRA. It is also possible for a taxpayer to ask the Federal Court to provide judicial review of the Agency’s decision. However, a taxpayer who wishes to pursue their application to the extent of filing such a Federal Court application is well advised to obtain legal advice before doing so.

Finally, taxpayers should recognize that the VDP Program can’t be used as a kind of “get out of jail free card” with respect to repeated failures to meet tax filing and payment obligations. The CRA’s expectations are that taxpayers who have benefitted from the VDP will thereafter meet their tax obligations, and a second review will be provided for the same taxpayer only in situations where the second application relates to a different matter than the first, and where the circumstances giving rise to the second application were beyond the taxpayer’s control.

Detailed information on the VDP can be found on the CRA website at https://www.canada.ca/en/revenue-agency/programs/about-canada-revenue-agency-cra/voluntary-disclosures-program-overview.html. Additional details with respect to the Program are also outlined in the CRA’s Information Circular IC00-1R6, Voluntary Disclosures Program, which is available on the same website at IC00-1R6 - Voluntary Disclosures Program - Canada.ca.

A mid-year check-up on your taxes for 2025 (June 2025)

By mid to late June 2025, most taxpayers have filed their tax return for the 2024 tax year and a Notice of Assessment has been issued by the Canada Revenue Agency outlining the Agency’s conclusions with respect to the taxpayer’s income, tax deduction, and tax credit claims and the amount of tax payable for 2024. Most taxpayers hope for (and in fact do receive) a refund while others are disappointed to find out that they owe additional taxes for 2024 and therefore have a tax bill (on which interest may be accumulating) to pay.

A need to pay additional taxes at the time of filing always means that taxes for the prior year have been underpaid. While the only option open to the taxpayer on receiving a tax bill for the 2024 tax year is to pay it in full as soon as possible, a mid-year review of one’s tax situation for 2025 can ensure that a similar result does not arise when the return for 2025 is filed with the CRA next spring.

Many (if not most) taxpayers think of such tax reviews as a year-end exercise, one to be carried out in the last few weeks of the calendar year, in order to take the steps needed to minimize the tax bill for that year. And it’s true that almost all strategies needed to both minimize the tax hit for the current year and to ensure that there won’t be a big tax bill come next spring must be put in place by December 31(the making of registered retirement savings plan (RRSP) contributions being the notable exception).

Nonetheless, there’s a lot to recommend carrying out a mid-year review of one’s tax situation for the current year, for several reasons, First, by this point in the year, most taxpayers have a good sense of how much income they will earn in 2025, the tax deductions and tax credit claims which they will be able to make, and, perhaps most important, the amount which they have already paid to the CRA for 2025 income taxes, whether through deductions from their paycheque or by instalment payments. As well, doing a mid-year review, instead of waiting until December, gives the taxpayer the chance to put into place any adjustments needed to help ensure that there are no unpleasant tax surprises when the return for 2025 is filed next spring. And, while the deadline for implementing most tax saving strategies may be December 31, it’s also the case that opportunities to make a significant difference to one’s current-year tax situation diminishes as the calendar year progresses.

The first step in doing that review is figuring out how much one’s tax bill for 2025 is likely to be. For most Canadians, income amounts and available deductions and credits don’t vary significantly from one year to the next. Where that’s the case, the amount of tax owed by the taxpayer for 2024 (a figure that can be found on Line 43500 of the Notice of Assessment) is likely to be very close to one’s tax liability for 2025.

Where income for 2025 is likely to be significantly different than that received in 2024, taxpayers can use the tax return preparation software used to prepare the 2024 return to get an idea of how much tax will be payable for 2025. Although the tax brackets and tax credit amounts used by tax return preparation software for 2024 will differ from those in effect for 2025, those differences won’t make a significant difference to the total tax bill. If anything, using 2024 tax return software to calculate the tax bill for 2025 will result in a slight overestimate of that tax bill, owing to the indexation of tax brackets and credit amounts.

After getting a sense of how much tax is likely to be payable for the 2025 tax year, the next step in doing a review is to determine how much income tax has already been paid to the CRA for 2025 (remembering that by this point in the year, approximately one-half of the tax bill for 2025 should already have been remitted to the CRA).

There are two ways of paying income taxes throughout the year. The majority of Canadians (including all employees) have income taxes deducted from their paycheques and remitted to the federal government on their behalf – a process known as source deductions. Taxpayers who do not have income tax deducted at source – which would include self-employed individuals and, frequently, retired taxpayers – make tax payments directly to the federal government (four times a year, in March, June, September, and December) through the tax instalment system.

Where the individual involved pays tax by instalments, the solution is simple. They can simply increase the amount of remaining instalment payments made in 2025 so that the total instalment payments made over the course of this year accurately reflect the total tax payable for the year.

The situation is a little more complex for employees, or anyone who has tax deducted at source. Where a taxpayer finds that source deductions being made will not be sufficient to cover their tax liability for the year (meaning a tax bill to be paid next spring) the solution is to have those source deductions increased. No one likes paying more taxes, but where taxes are owed the only choice involved is to pay them now or pay them later. Spreading out that payment over the rest of the tax year is much less painful than being hit with a large tax bill (as well as interest charges when that tax bill can’t be paid in full and on time) when the return for the year is filed next spring.

Take, for example, an employee who, after filing the return for 2024, received a bill indicating that an additional $1,000 in taxes was owed. Assuming that their income, and the amount of tax deducted from their paycheque don’t change, it’s likely that a similar amount will be owed when the return for 2025 is filed. If that taxpayer is paid biweekly, there will be about 13 paycheques between the end of June and the end of the year. Increasing the amount of tax deducted from those paycheques by about $75 per paycheque will mean that the $1,000 in taxes owing is paid to the Canada Revenue Agency by the end of the year – thereby avoiding that large tax bill when the return for 2025 is filed in the spring of 2026.

To increase the amount of tax deducted from their paycheque, the employee needs to obtain a TD1 form for 2025, which can be found on the CRA website at https://www.canada.ca/en/revenue-agency/services/forms-publications/td1-personal-tax-credits-returns/td1-forms-pay-received-on-january-1-later.html. On the reverse side of that Form TD1, there is a section entitled “Additional tax to be deducted”, in which the employee can direct their employer to deduct additional amounts at source for income tax, and can specify the dollar amount which is to be deducted from each paycheque, on a go-forward basis.

No one particularly likes thinking about taxes at any time of year, but ignoring the issue definitely won’t make it go away. The investment of a few hours of time now, and putting in place any needed adjustments, can mean avoiding a nasty surprise in the form of a large tax bill which must be paid when the return for 2025 is completed and filed next spring.

Caregivers – getting help through the tax system. (June 2025)

Regardless of their particular circumstances, Canadians who act as unpaid caregivers for disabled, elderly, or chronically ill relatives carry a heavy physical and emotional burden. The weight of those responsibilities is often made greater by financial stresses, particularly where the situation requires full-time caregiving, to the extent that the caregiver is unable to work outside the home in paid employment. In addition, caring for someone who is disabled or chronically ill often means incurring additional out-of-pocket expenses, whether for medical supplies or equipment, or for making alterations to a home in order to make it possible for the individual being cared for to stay in that home.

The good news is that there a number of tax deductions, credits, and benefits made available through our tax system to help mitigate the burden of those additional costs. The bad news is that the rules governing which credits or benefits can be claimed and in which circumstances can, unfortunately, be confusing. The complexity of those rules likely means that many caregivers who may be eligible to claim such credits or benefits are unaware that they can do so, or don’t know how to claim those credits and benefits in the most tax-effective way possible.

Generally speaking, the tax credits available to caregivers (and to those for whom they care) can be divided into three categories. The first type of credit is claimable by individuals who have a condition or disability which significantly limits their ability to live, work, or care for themselves without assistance. The second kind of credit is provided to a family member who supports or acts in a caregiving capacity to that ill or disabled individual. Finally, the third category of credit can be claimed, by either the disabled individual or their caregiver, to help offset costs incurred costs for specific purposes related to the need for caregiving.

No matter which credits are or are not available in a particular situation, the first – and perhaps most important – “strategy” to maximize the available tax assistance is for both the caregiver and the person receiving care to file a tax return every year. Disabled individuals are, unfortunately, often among the lowest-income Canadians, and it’s sometimes assumed that where income is low, and no tax is payable, there’s no point in filing a tax return. However, the reality is exactly the opposite. Eligibility for many, if not most, federal tax credits and benefits is based on income, and lower- and middle-income Canadians are the ones most likely to qualify for such benefits. As stated on the Canada Revenue Agency (CRA) website: “[E]ven if you do not owe tax, are tax-exempt, or have no income to report, you should do your taxes every year to avoid missing out on benefit and credit payments and tax refunds. The information from your tax return is used to calculate payments.”

Credits claimable by a person needing care

Disability supports deduction

In many instances, individuals who have some form of disability can nonetheless attend school or engage in paid employment where needed accommodations or supports are provided. Where those supports involve an expenditure on the part of the individual, they may be able to claim a deduction from income for those costs.

The disability supports deduction allows an individual to claim a deduction for any of a specified list of eligible expenses including, for example, the cost of Braille printers, large print-on-screen devices, or voice recognition software. In some, but not all, cases, a prescription and/or certification from a medical practitioner are needed to enable the deduction to be claimed. A full listing of disability supports which can qualify for the deduction, together with detailed information on the disability supports deduction itself, can be found on the CRA website at https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/deductions-credits-expenses/line-21500-disability-supports-deduction.html#wb-auto-4.

Disability tax credit

In monetary terms, the disability tax credit (DTC) is the most significant federal tax credit which can be claimed by a disabled individual. In order to claim that credit, however, it is necessary to first submit an application to the Canada Revenue Agency. That application will include a detailed assessment by a medical professional indicating whether the individual has a medical condition which significantly or markedly restricts that person’s ability to carry out daily activities like walking, dressing, feeding, speaking, or hearing, and that such restriction is likely to last at least 12 months.

The criteria for approval of an application for the DTC are detailed and specific and the wait time to have a decision on an application made by the CRA can be lengthy. However, where such application is approved, the individual can claim a non-refundable tax credit amount of $10,138 (for 2025), meaning that income up to that amount can effectively be received without paying federal tax. As well, the claim for the DTC credit can be transferred, in whole or in part, to one or more family members who support the disabled relative, to reduce their tax payable for the year.

Details of the DTC can be found on the CRA website at https://www.canada.ca/en/revenue-agency/services/tax/individuals/segments/tax-credits-deductions-persons-disabilities/disability-tax-credit.html.

Credits claimable by caregivers

There are a number of tax credits which can be claimed by an individual who acts as a caregiver to another family member, or on whom a family member depends for support. Each such credit has its own set of eligibility criteria which must be met, by both the caregiver and the person receiving care or support. Regrettably, the rules governing the interaction of these credits can be very confusing – for instance, in some circumstances claiming a particular credit can mean losing eligibility for a similar credit. As well, eligibility for and the amount of credit claimable can vary depending on several factors, including the age and income of the dependant or person receiving care, as well as the nature of the relationship (i.e., spouse versus non-spouse dependant) between the caregiver and the person receiving care.

The CRA website does include a comprehensive listing of all of the credits which may be claimed by an individual who provides care for or supports a family member. That listing includes details of the eligibility criteria for each credit, the circumstances in which such credit can or cannot be claimed, and how each credit interacts with the others. The full listing on the Agency’s website is as follows.

Tax credits for home renovation expenses

Home accessibility tax credit

Frequently, when someone becomes ill or disabled, changes must be made to that person’s home in order to enable them to continue living there, or to increase their safety or mobility in that home. Such changes may be as small as a grab bar installed in the shower or as large as a chairlift for the stairs or even a renovation to provide a ground floor bedroom or bathroom. For many such renovations, a home accessibility tax credit can be claimed

In order for any claim for the home accessibility tax credit to be made, the person for whose benefit the changes are being made must be either aged 65 and older or be eligible for the disability tax credit. In order to qualify, the home to which the renovations are being made can be owned by that person or jointly owned by that person and a supporting relative. In all cases, however, the person for whose benefit the renovations are being carried out must live in that home.

Regardless of who owns the home, the credit can be claimed by the elderly or disabled individual or by their spouse. It can also be claimed by another family member who is the individual’s caregiver, as long as that caregiver has claimed any one of a specified list of tax credits for providing support for that person – and that list includes the caregiver tax credit.

Where those eligibility criteria are met, either the person requiring care or their spouse or caregiver can claim a non-refundable tax credit of up to $3,000 for up to $20,000 in eligible expenses incurred during the year, or the credit can be shared among them. Detailed information on eligible expenses and how to claim the credit can be found on the CRA website at https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/deductions-credits-expenses/line-31285-home-accessibility-expenses.html.

Multi-generational home renovation tax credit

In some circumstances, an individual who requires family support can no longer live safely in their own home and the solution is often for that person to move in with another family member – usually one of their children. Making that change often means a need to renovate to provide living space for the disabled or elderly individual and, once again, a tax credit can be claimed for eligible expenses incurred to do so. That tax credit – the multigenerational home renovation tax credit – provides a non-refundable credit of up to $7,500 for up to $50,000 in eligible renovation expenses. For purposes of the credit, eligible renovation expenses are those incurred to provide a self-contained secondary housing unit for a relative who is 65 years of age or older, or who is eligible for the disability tax credit. Details of the multigenerational home renovation tax credit can be found on the CRA website at https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/deductions-credits-expenses/multigenerational-home-renovation.html

The availability of support for ill or disabled individuals and/or their caregivers through our tax system is clearly a good thing. However, the sheer number of tax credits and deductions which can be claimed and, in particular, the complexity involved in determining both which credits are available in which circumstances and which credit claims will produce the best tax result can be overwhelming. The CRA has brought together on a single webpage information on each of the different aspects of our tax system which may be utilized by caregivers and their dependants, and that webpage can be found at https://www.canada.ca/en/revenue-agency/services/tax/individuals/segments/tax-credits-deductions-persons-disabilities.html.

New Quarterly Newsletters (Q1 2025)

Two quarterly newsletters have been added – one dealing with personal issues, and one dealing with corporate issues.