Tax Credits and Benefits

The Ontario government provides several tax-free credits and benefits to families – including couples, single parents and seniors.

Did you know?

You must file your personal income tax return to receive these credits and benefits - even if you did not earn income.

Proposed Healthy Homes Renovation Tax Credit

The Ontario government recently proposed a new tax credit called the Healthy Homes Renovation Tax Credit. If passed, this permanent, refundable tax credit of up to $1,500 per year would help seniors with the cost of eligible home renovations that improve accessibility or help seniors to be more functional or mobile at home. It could be claimed by senior homeowners and tenants, and people who share a home with a senior relative.

Ontario Trillium Benefit

Low- to moderate-income Ontarians can now get money every month to help as the bills come in. This means people get their benefit earlier and more frequently than before. Starting in July 2012, the Ontario Sales Tax Credit, the Ontario Energy and Property Tax Credit and the Northern Ontario Energy Credit payments will be combined into a single payment, called the Ontario Trillium Benefit, which will be paid monthly.

Eligible Ontarians must file their income tax return each year – even if they don't have any income to report – in order to apply for the Ontario Trillium Benefit. You must qualify for at least one of these credits to receive the Ontario Trillium Benefit:

• Ontario Sales Tax Credit
  Lower-income families can get up to $273[1] between July 2012 and June 2013 for each member of the family to help with the sales tax they pay on the things they buy.
• Ontario Energy and Property Tax Credit
  If you pay rent or property tax, you may be able to get up to $946[1] between July 2012 and June 2013. Seniors can receive up to $1,078[1] during the same time period.
• Northern Ontario Energy Credit
  If you live in Northern Ontario, eligible families may qualify for up to $210[1] between July 2012 and June 2013 to help with the higher cost of heating your home. Northern Ontario means the districts of Algoma, Cochrane, Kenora, Manitoulin, Nipissing, Parry Sound, Rainy River, Sudbury, Thunder Bay and Timiskaming.

Ontario Sales Tax Transition Benefit

Many single people in Ontario received three tax-free Ontario Sales Tax Transition Benefit payments in June 2010, December 2010 and June 2011 for a total of up to $300. The transition benefit was in addition to any Ontario Sales Tax Credit payments which lower-income individuals may have been eligible for when they filed their 2009 and 2010 personal income tax returns.

The deadline to be eligible for the first two Ontario Sales Tax Transition Benefit payments has now passed. However, if you did not receive the third and final payment, you may still apply by filing your 2010 income tax return by June 30, 2012.

Non-Refundable Tax Credits

Ontario also provides a number of non-refundable tax credits that eligible Ontarians may claim to reduce their Ontario taxes. Credits are based on factors such as age, dependent spouse or common-law partner, pension income, disability, tuition and education fees and medical expenses.

Need More Info?

The personal income tax and benefit package for Ontario residents provides additional tax credit and benefit information.

For a complete list of Ontario tax credits and benefits, visit ontario.ca/finance.

If you have questions about your Ontario tax credit and benefit payments go to www.cra.gc.ca/benefits or call the Canada Revenue Agency (CRA) at 1 877 627-6645.

Tax Filing Assistance

Need a hand to prepare your tax return? There are several ways to file your personal income tax return for free.

If you are unable to prepare your income tax and benefit return yourself, the Community Volunteer Income Tax Program may be able to help you. If you have questions about the volunteer tax preparation clinics call the CRA's individual income tax enquiries line at 1 800 959-8281.