More for you and your family

Know how to benefit from all the credits and deductions that are offered to you

Children’s art tax credit

Families may be able to claim a non-refundable tax credit of up to $75 per child for eligible expenses (maximum $500) for enrolling in a prescribed program of artistic, cultural, recreational or developmental activity.

Children’s fitness tax credit

A non-refundable tax credit of up to $75 per child for eligible expenses (maximum $500) of enrolling in a prescribed program of physical activity.

Child care tax credit

Child care expenses are payments made by a parent to a child care provider. These expenses are eligible to a deduction by one of the child’s parents.

Age amount

Those who are 65 years of age or older on December 31, 2012 and have a net income of less than $33,884can claim the Age amount deduction of $6,720. Those who have a net revenue of $78,684 or less also have access to an Age amount deduction.

Pension income splitting

Pensioners can split up to 50% of eligible pension income with their spouse or common-law partner and reduce their overall tax paid.

Increase in the age limit for RRSPs

The age limit for contributing to an RRSP has gone from 69 to 71. This means 71 also becomes the age at which you must withdraw funds invested in RRSPs or transfer them to an RRIF.

Federal Medical Expense Tax Credit (METC)

This credit can be claimed for eligible medical expenses that were paid over any period of twelve months ending in the taxable year. You can claim medical expenses incurred by you, your spouse and your children under the age of 18. You can also claim medical expenses paid on behalf of a dependent relative.

Medical expenses incurred abroad are also eligible, as well as some equipment if it is prescribed by a practicing physician.


To consult the list of credits or obtain your 2012 tax return package, visit: www.cra.gc.ca

Caregivers: we can help you take care of your dependants

You undoubtedly know that taking care of a disabled person can be difficult. Thankfully, there are tax credits that can help. If you are caring for a person who is neither a spouse nor a common-law partner, in a household in which you both reside, you can claim up to $4402.

In addition, caregivers can file for the family caregiver tax credit, which is a 15% credit in the amount of $2,000. You may use it for your spouse, common-law partner or children under the age of 18.

Reduced Mobility

Many Canadian citizens are entitled to a disability tax credit. Eligibility is based on the degree of difficulty that you experience carrying out daily tasks, like getting around, eating, seeing, hearing, and controlling your bladder and bowels.

You may request a review if you forgot to file this tax credit in the past, and make retroactive claims for up to 10 years.

Workers & tradespersons

Due to their expense, it is not always easy for workers to obtain the tools they need, despite requiring them to carry out their trade.

There is a construction worker tax credit, which aims to help those who work hard to make a living to work with safe tools. Don’t forget to apply!

First home

In the current economic climate, it is not easy to purchase a new home. There is a tax credit for first-time buyers, which allows Canadians to save hundreds of dollars on eligible homes that were purchased after January 27, 2009.

And if you already own a home and are entitled to the Disability Tax Credit, you may be granted this credit in order to make your home accessible or more functional.

Students

More and more students need to work while studying, in order to make ends meet. Even those work often end up with significant debt when they finish university. Thankfully, there is a tax credit for textbooks, to make postsecondary education more affordable.

In addition, it is possible for students who achieve good grades to subtract the scholarships they receive from their tax burden.

Did you know?
  1. There is a tax credit for volunteer firefighters.

    This credit recognizes those who volunteer at least 200 hours per year.

  2. The TFSA allows you to put aside $5,500 in tax-free savings.

    You will not be taxed on the capital gains generated from this investment or for withdraws.

  3. Take public transport, it pays off for everyone!

    Monthly public transit pass holders can claim a tax credit equivalent to 15% of the purchase price.