Common credits, deductions, and expenses
As a Canadian taxpayer, you can claim certain tax credits, deductions, and expenses on your tax return to reduce your tax payable. Depending on your situation, here are some of the common amounts you might be able to claim:
- Child care expenses
These are expenses you paid to have someone look after your child so that you could work, go to school, carry on a business, or conduct research or similar work for which you received a grant. You’ll need receipts from your child care provider to claim this amount on your return.
- Moving expenses
If, during the year, you moved at least 40 kilometres closer (by the shortest usual public route) to a new location to work, to run a business, or to take courses as a full-time student in a post-secondary program, you might be able to claim a moving expenses deduction on your return. Be sure to have all the receipts for your moving expenses on hand, as you’ll need these to complete your return.
- Interest paid on your student loans
You can claim the interest you paid on your government student loans to lower your income tax payable. You can find your interest payment amounts on the monthly or annual statement(s) issued by your government loan provider. Depending on the province you live in, you might get separate federal and provincial statements. You can add the interest you paid federally and provincially and enter the total in H&R Block’s tax software.
- Your tuition amounts
You can claim a tuition tax credit on eligible fees you paid to an educational institution during the year. To do so, you must have received a tax certificate from your educational institution (such as a T2202, TL11A, or TL11C) stating the fees you paid during the year. You can also claim fees paid to an educational institution to take an occupational, trade, or professional exam to obtain a license or certification as a tradesperson or a professional status, as long as you have the receipt.
- Disability amount
If you suffer from a mental or physical impairment, you can claim the disability amount provided the Canada Revenue Agency (CRA) has an approved T2201 certificate on file for you. If your dependant or your spouse is eligible for the disability amount, you might be able to claim a transfer of this amount from them, as long as they don’t need all of it to reduce their taxes and you’re listed on their approved T2201 as the person who can claim the transfer.
- Charitable donations
When you donate to an eligible charity you’re entitled to a tax credit equal to 15% on the first $200 you donate, and a tax credit of 29% on the remainder (up to a maximum of 75% of your income). The CRA lets you hold on to your donation amounts (up to 5 years) and claim them all on a single return so that you can maximize your donations’ impact on your return. You’ll need the official donation receipt(s) to claim these amounts on your return.
- RRSP and PRPP deduction
Your RRSP contributions reduce your tax payable when you claim the RRSP deduction on your return. To claim the RRSP deduction on your return, you’ll need an RRSP contribution receipt from the issuer of the RRSP (such as a financial institution like a bank, insurance company, or credit union).
- Medical expenses
You can claim the cost of medical expenses you paid for yourself, your spouse, and your dependants. Some common eligible medical expenses include:
- Medical services provided by qualified medical practitioners
- Dentist and dental services
- Prescription drugs and medications
- Premiums you paid during the year for private medical coverage.
Be sure to keep receipts for all medical expenses you paid for during the year.
- Annual union or professional dues
You can claim the any annual dues you paid that were related to your employment. These can include union dues, professional board dues, professional membership dues, and more. If these amounts were paid through your payroll, the amount you paid will be on your T4 slip. If you paid these amounts directly to a union hall, you’ll be issued a receipt.
- Employment expenses
If you’re an employee and your employer requires you to pay for certain expenses as a condition of your employment, you can claim these expenses on your return. Be sure to keep records for each year you claim employment expenses. These include:
- A completed and signed T2200: Declaration of conditions of employment form from your employer indicating the expenses you were required to pay as part of your conditions of employment
- a daily record of your expenses, together with your receipts and any cancelled cheques
- any ticket stubs for travel
- any invoices and monthly credit card statements
- a record of each motor vehicle you used for employment with the total kilometres you drove and the kilometres you drove for employment purposes.
- a record of musical instruments you bought and sold (if applicable) since you might be able to claim capital cost allowance (CCA)
- Provincial and territorial credits (excluding Québec)
Each province/territory has their own tax laws. In addition to the above federal tax credits, deductions, and expenses, you might be able to claim provincial credits specific to the province where you live to reduce your provincial tax payable. The Canada Revenue Agency (CRA) administers provincial and territorial credits (excluding Québec).
- Québec tax credits, deductions, and expenses
As a Québec resident, you can claim Québec-specific tax credits, deductions, and expenses that apply to you to reduce your provincial tax payable. Refer to the Revenu Québec website for a complete list of amounts you can claim on your Québec return.
Note: This is not a complete list. Refer to the CRA website for a complete list of amounts you can claim.