👵👴 Tax Benefits for Seniors in Canada: What You Can Claim After 65

👵👴 Tax Benefits for Seniors in Canada

If you’re 65 or older, you may be eligible for several tax breaks and credits that can help reduce your tax bill or increase your income. Here's a breakdown of the most common ones to claim during tax season:

✅ 1. Age Amount

📉 If your net income is below a set threshold, you may claim the Age Amount tax credit.
👉 For 2024, the maximum federal amount is ~$8,700.

✅ 2. Pension Income Amount

💳 Claim up to $2,000 of eligible pension income as a non-refundable tax credit, even if you're already drawing retirement funds.

✅ 3. Pension Income Splitting

👫 You may split up to 50% of eligible pension income with your spouse or common-law partner.
💡 This strategy can lower your combined taxable income and reduce the total tax owed.

✅ 4. Guaranteed Income Supplement (GIS)

💰 If you receive Old Age Security (OAS) and have low income, you may qualify for GIS — a monthly, non-taxable government benefit.

✅ 5. Medical Expenses Credit

🏥 Claim out-of-pocket medical expenses such as:

• Prescription medications

• Dental care

• Home care support

• Hearing aids and mobility aids

  
  

✅ 6. Home Accessibility Tax Credit (HATC)

• 🏡 Claim up to $20,000 in eligible home renovations that improve accessibility or safety.
  🔧 Examples: walk-in tubs, wheelchair ramps, grab bars, etc.

💡 Pro Tip:
Keep all receipts and records, especially for medical and home renovation expenses. These credits can add up and reduce your taxes significantly.