Are there tax breaks for parents in Canada?

Tax breaks for parents

As a parent, you will be able to claim various tax credits and deductions on your tax return. 

This infographic summarizes them for you.

Canada child benefits

  • Tax-free payments based on total family income from previous years
  • Usually apply for this when you register the baby’s birth

Adoption expense tax credit

  • You can claim the amount for adoption expenses related to adopting a child under the age of 18
  • Maximum per child is $16,563 in 2020

Deduction for childcare expenses

You can claim payments for:

  • A childcare provider who is not a relative of the child and is at least 18 years of age
  • Childcare services: nursery, daycare centre or educational institutions
  • Day camps or boarding schools 

You can claim lower of:

  • 2⁄3 of your income
  • Actual $ you paid for childcare

Maximum you can claim per child each year:

  • $8,000 for children under 7
  • $5,000 for other eligible children
  • $11,000 for children who qualify for the disability tax credit

How to claim:

  • The spouse or common-law partner with the lower income must claim the deduction
  • Make sure to keep receipts for proof of claim

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