With the 2022 personal tax deadline approaching, it’s important to understand the changes to existing tax credits, as well as new tax credits that exist for Ontario residents. This will help ensure you take advantage of all the deductions to which you are entitled.
In this blog post, we summarize some of the changes to previously existing credits and outline new tax credits that are available to residents of Ontario for the 2022 personal tax season.
The Ontario Seniors Care at Home Tax Credit (OSCHTC)
The Ontario Seniors Care at Home Tax Credit is a refundable tax credit to help seniors cover eligible medical expenses, including expenses that support aging at home. The credit is equal to 25% of your eligible medical expenses up to $6,000, for a maximum credit of $1,500.
The credit can be claimed in addition to the non‐refundable federal and Ontario medical expense tax credits for the same eligible expenses.
Who is eligible
If you turned 70 years of age or older in the year – or have a spouse or common‐law partner who turned 70 years of age or older in the year – and are a resident in Ontario at the end of the tax year, you may be eligible for the credit.
The Ontario Staycation Credit (OSC)
The Ontario Staycation Credit is a one-time tax credit that allows residents of Ontario to claim 20% of their stay in an Ontario hotel, cottage, or campground during 2022, up to $1,000 individually or $2,000 as a family.
Who is eligible
You are eligible to claim the credit if you were an Ontario resident on December 31, 2022.
Only one individual per family can claim the credit for the year. Your claim can include the eligible expenses of your spouse or common-law partner and your eligible children. An eligible child is not entitled to claim the credit.
The Seniors’ Home Safety Tax Credit (SHSTC)
The Seniors’ Home Safety Tax Credit is a new credit which help support seniors making their home safer and more accessible. The credit is equal to 25% of your eligible expenses up to $10,000, resulting in a maximum credit of $2,500 per year.
Note: You may be able to claim the same expenses as a medical expense tax credit and the federal home accessibility expenses tax credit.
Who is eligible
You are eligible if you:
- are 65 or older by the end of the year, or
- live with a senior relative, or
- will live with a senior relative within 24 months after the end of the year.
Examples of eligible expenditures:
- grab bars and related reinforcements around the toilet, tub, and shower
- wheelchair ramps, stair/wheelchair lifts and elevators
- certain renovations to permit first floor occupancy or a secondary suite for a senior
- handrails in corridors
- walk-in bathtubs
- wheel-in showers
If you have any questions about any of the tax credits above, or are looking for help in filing your 2022 personal taxes, contact the Armstrong Jones LLP team online or call us at 613-695-9087.
