What’s new for Canadian taxes in 2024

Every year, there are changes to Canadian taxes that might impact your return. The following list contains some major federal and provincial changes announced in 2024.

Use these links to jump to each section for more information:

Federal tax changes

Alberta tax changes

Ontario tax changes

Québec tax changes

Prince Edward Island tax changes

Nova Scotia tax changes

Manitoba tax changes

British Columbia tax changes

Yukon tax changes


The CRA’s services The CRA has introduced a new real-time identity validation option for registering for the CRA sign-in services. This new and secure option gives you full and intermediate access to your online account. It also eliminates the need for the CRA to mail you a security code to sign in. For more information, visit canada.ca/cra-registration.
Alternative minimum tax Proposed changes may impact the alternative minimum tax (AMT) calculation for 2024 and later tax years. These changes will include an increase in tax rate and basic exemption, reduction in the allowed non-refundable tax credits, and changes to the calculation of adjusted taxable income, special foreign tax credit, and minimum tax carryover. For a full list of changes, go to canada.ca/line-41700. To calculate your federal tax payable under AMT for 2024, see Form T691, Alternative Minimum Tax.
Canada child benefit Starting in 2025, the Canada child benefit (CCB) will extend its eligibility to individuals claiming for a deceased child. Eligible individual can receive the CCB for six months after a child's death. They will be required to notify the CRA of the child’s passing before the end of the month following the death. The extended period will also apply to the child disability benefit. For more information about the CCB and child disability benefit, go to canada.ca/canada-child-benefit.
Canada pension plan (CPP) and Québec pension plan (QPP) improvements Starting in January 2024, a second additional contribution of 4% is required by the employee and employer on pensionable earnings. This applies if the year's pensionable earnings are more than the maximum and less than the additional minimum. This amount is reported in box 16A (CPP) or box 17A (QPP) of your T4 slip. For self-employment income and other earnings, the rate for second additional contributions is 8%. For more information, see Schedule 8 of your tax package or go to canada.ca/fed-tax-information.
Québec pension plan As of January 1, 2024, 65 years and older workers who receive a QPP or CPP retirement pension can choose to stop contributing to the QPP. In addition, workers 72 years and older will no longer be required to contribute to QPP in the year they turn 73 years of age. All wages paid and earnings received as of January 1 of the year a worker turns 73 years will be exempt from QPP contributions.
Disability supports deduction Under proposed changes, the list of eligible expenses for disability supports deduction was expanded for individuals with certain conditions. Now, it's possible to claim the expenses for service animals in the disability supports deduction. The eligible tax payers can choose to claim expenses for service animals under the disability supports deduction or the medical expense tax credit. For more information about the disability supports deduction, see Guide RC4064, Disability-Related Information.
Home Buyers’ Plan withdrawals The Home Buyers’ Plan withdrawal limit increased from $35,000 to $60,000 for withdrawals made after April 16, 2024. Additionally, a temporary repayment relief was introduced to help participants repaying their withdrawal. This will add three additional years to the 15-year repayment period, and it will start in the fifth year after the year of the first withdrawal. The temporary relief is only valid for participants that made the first withdrawal between January 1, 2022, and December 31, 2025.
Medical expenses tax credit The list of expenses eligible for the medical expense tax credit has been expanded. It now includes navigation devices for low vision for individuals with visual impairment. For more information, see Guide RC4065, Medical Expenses.
Mineral exploration tax credit The eligibility for mineral exploration tax credit has been extended to flow-through share agreements entered before April 2025 (for expenses incurred or deemed to have incurred before 2026). For more information, go to canada.ca/line-41200.
Short-term rentals As of January 1, 2024, individuals are no longer able to deduct expenses related to non-compliant short-term rentals. This applies to all expenses, including interest expenses, incurred after 2023 to earn income from operating non-compliant short-term rentals. For more information about these changes, see Guide T4036, Rental Income.
Volunteer firefighters’ amount and search and rescue volunteers’ amount The volunteer firefighters’ amount (VFA) and search and rescue volunteers’ amount (SRVA) have increased from $3,000 to $6,000. This amount is for eligible individuals with at least 200 hours of combined eligible volunteer service during the year.

Personal income levels The personal income levels used to calculate your Alberta tax have changed.
Provincial non-refundable tax credits The amounts for most provincial non-refundable tax credits have changed.
Alberta investor tax credit You cannot carry forward your unused Alberta investor tax credit to the following tax year.
Personal income levels The personal income levels used to calculate your Ontario tax have changed.
Provincial non-refundable tax credits The amounts for most provincial non-refundable tax credits have changed.
Alternative minimum tax rate The alternative minimum tax rate was reduced.
Québec Pension Plan (QPP) contributions Changes to QPP contributions effective on January 1, 2024.
Second additional QPP contribution You must pay a second additional QPP contribution on the part of your self-employment income, salary, or wages if it exceeds the maximum of pensionable earnings for the year. From $68,500 up to $73,200 in 2024, the additional maximum pensionable earnings in the year.
Self-employed person 60 years or over who receives a disability pension under the QPP If you are 60 years or over and receive both disability pension and a retirement pension under the QPP, you should continue paying the QPP contributions based on your salary, wages, or self-employment income.
Self-employed person aged 65 or over who elects to stop making QPP contributions You can stop contributing to QPP if you are 65-72 years older (must be less than 73 at the end of the year) and receive retirement pension under the QPP or CPP.
Self-employed person who turns 73 during the year You no longer have to contribute to QPP as of January 1 of the year you turn 73.
Home Buyers’ Plan (HBP) On April 17, 2024, the maximum you can withdraw from a registered retirement savings plan (RRSP) under the HBP was increased from $35,000 to $60,000.
Tax credit for home-support services for seniors For 2024, the tax credit rate increased from 37% to 38%.
Cryptoasset return Starting in 2024, if you acquire, hold, or use cryptoassets during a taxation year, you must complete a Cryptoasset Return (form TP-21.4.39-V) and file it with your income tax return.
Increase in the capital gains inclusion rate On June 25, 2024, the capital gains inclusion rate increased from 50% to 66.67% If you noticed any capital gains after June 24, 2024, you may be able to claim a reduction on line 138. This reduces the inclusion rate from 66.67% to 50% for your first $250,000 in capital gains. If you are eligible for certain tax benefits, you may have to adjust the reduction (line 298.2).
Changes in the rate of certain deductions

On June 25, 2024, the rate used to calculate the following deductions went from 50% to 33.33%:

  • the security option deduction (line 297, point 2);
  • the deduction for shares received in exchange for mining property (line 297, point 17);
  • the deduction for a single payment that includes a share received from an employer (line 297, point 26).

You may be eligible for an additional deduction if the 33.33% rate applies (line 297.1).

Capital gains deduction for a qualifying business transfer Starting in 2024, you can claim a deduction of up to $10 million if you have capital gains from disposition (sale, transfer, exchange, or donation) of shares after December 31, 2023. This deduction applies to shares that are part of a qualifying business transfer to an employee ownership trust.
Disability supports deduction New expenses are now eligible.
Income Tax Two additional income tax brackets have been introduced, and the 10% surtax eliminated. The personal income tax rates and thresholds also changed.
Basic personal amounts The amounts for basic personal, spouse or common-law partner, eligible dependant, and the age amount have changed.
Income threshold The income threshold for the age amount and the low-income tax reduction calculation have increased.
Children’s wellness tax credit The Children’s wellness tax credit has increased from $500 to $1,000.
Prince Edward Island child benefit (PEICB) The new Prince Edward Island child benefit (PEICB) has been introduced.
Innovation equity tax credit The innovation equity tax credit has been extended until March 1, 2029.
Venture capital tax credit The venture capital tax credit has been extended until March 30, 2029.
Personal income levels The personal income levels used to calculate your Manitoba tax have changed.
Basic personal amount The basic personal amount has changed.
Fertility treatment tax credit The maximum annual amount of eligible expenses for fertility treatment tax credit has changed.
Education property tax credit and School tax credit for homeowner The calculation for education property tax credit and school tax credit for mobile homeowners has changed.
Personal income levels The personal income levels used to calculate your British Columbia tax have changed.
Provincial non-refundable tax credits The amounts for most provincial non-refundable tax credits have changed.
Training tax credit for individuals The training tax credit for individuals has been extended until December 31, 2025.
Training tax credit for employers The training tax credit for employers has been extended until December 31, 2027.
Shipbuilding and ship repair industry tax credit The shipbuilding and ship repair industry tax credit has been extended until December 31, 2026.
Mining exploration tax credit As of February 23, 2024, oil and gas exploration expenditures no longer qualify for the mining exploration tax credit.
BC Family Benefit From July 2024 to June 2025, eligible families will receive a BC Family Benefit Bonus with their monthly BC Family Benefit payment.
Personal income levels The personal income levels used to calculate your Yukon tax have changed.
Provincial non-refundable tax credits The amounts for most territorial non-refundable tax credits have changed.
Yukon Business Carbon Price Rebate The remote supplement for the Yukon government carbon price rebate for individuals has increased from 10% to 20%.
Yukon Mining Carbon Price Rebate The placer mining adjustment factor for the mining business rebate changed from 4 to 2 for tax years ending after March 31, 2024.