Everything You Need to Know About the Canada Caregiver Credit (CCC)

What is the Canada caregiver credit?

The Canada caregiver credit (CCC) is a non-refundable tax credit that you can claim if you support a spouse, common-law partner, or dependant with a physical or mental impairment.

The CCC combines and replaces three previous credits: 

• The caregiver credit
• The infirm dependant credit
• The family caregiver benefit

The rules for claiming each of these credits were very different from each other. For example, the caregiver credit required that the person you were supporting lives with you, while the infirm dependant credit did not. The family caregiver benefit was the only credit available for children up to the age of 18.

Now, with the Canada Caregiver Credit, you simply have to check one set of requirements to figure out if you qualify for the credit or not.

Who is eligible for the Canada caregiver amount?

You can claim the caregiver allowance in Canada if, at any time during the tax year, you provide support to your spouse or common-law partner who has an impairment in physical or mental functions.

Additionally, you can claim the CCC if one or more of the following individuals depend on you because of infirmity such as a physical or mental impairment:

• Your or your spouse’s/common-law partner’s child or grandchild who needs more help with personal needs and care compared to children of the same age.
• Your or your spouse’s/common-law partner’s parent, grandparent, brother, sister, uncle, aunt, niece, or nephew (if they resided in Canada for a period of time in the year).

Note: To qualify as a dependant, an individual must rely on you regularly and consistently to provide them with the basic necessities of life, such as food, shelter, and clothing.  

Can I claim the caregiver amount for my parents?

You can claim the current CCC for a parent only if all of the following conditions are met:

• They were a resident of Canada at any time during the year.
• They have a prolonged and indefinite impairment in physical or mental functions.
• You support them with some or all of the basic life necessities, including food, shelter, and clothing.

Can I split the Canada caregiver benefit with another person?

If you and another person support the same dependant age 18 or older, you can split the claim on line 30450 of your tax return. However, the total amount of your claim and the other person’s claim should not exceed the maximum limit allowed for that dependant.

What amount can I claim for the Canada caregiver tax credit?

The amount you can claim for the CCC is subject to specific conditions, including your relationship with the dependant, your circumstances, the dependant’s net income, and other credits being claimed for that person. 

Let’s see how the Canada caregiver amounts work for different scenarios in 2023:

1. For your spouse/common-law partner:

• You can claim $2,499 in the calculation of line 30300 (if the net annual income of the person you’re caring for is less than your basic personal amount).
• Additionally, you can claim up to $7,999 on line 30425 (if their net annual income is between $8,021 and $26,782).

2. For an eligible dependant 18 years of age or older:

• You can claim an eligible dependant credit of $2,499 in the calculation of line 30400.
• You might also be entitled to claim up to $7,999 on line 30425 (if the net annual income of the dependant is between $8,021 and $26,782).

3. For an eligible dependant under 18 years of age:

• You can claim $2,499 in the calculation of line 30400.

4. For each of your or your spouse’s/common-law partner’s children under age 18:

• You may be entitled to claim $2,499 per child on line 30500.

5. For additional infirm dependants age 18 or older:

• You can also claim an amount for more than one dependant on line 30450, if each one meets the specific criteria.

To keep up with the change in amounts every year, you should check Schedule 5 for the required information and calculations.

When am I not able to claim the CCC for an eligible dependant?

Below, we list the situations in which you cannot claim the CCC.

• If another person is already claiming a spouse or common-law partner amount for the same dependant on line 30300, you are not eligible for the CCC.
• If someone else in your household is making a claim on line 30400, you may not be eligible to claim for the same dependant (only one claim per dependant is allowed for each household). 
• If you have shared custody of an infirm child under 18 years of age you and the other caregiver have to agree on who will make the claim, otherwise it will be denied to you both.
• If you were the only person who had to make support payments for the child, you may not be eligible to claim the Canada caregiver benefit for that child.

How to file taxes as a caregiver

If you claim the CCC on line 30300, line 30425, line 30400, and/or line 30450, complete the appropriate parts of Schedule 5 – Amounts for Spouse or Common-Law Partner and Dependants. You also need to give certain details about your dependant, such as their net income from line 23600 of their return.

If you are supporting children under the age of 18, enter the number of children you are claiming this amount for on line 30499 of your return and enter the amount on line 30500.

The CRA may ask for a signed document from a doctor or medical practitioner as proof of when the impairment began and how long it is expected to last. For children under age 18, the statement should also show that the child, because of infirmity, is and will continue to be dependent on others for an indefinite duration. However, you do not need a statement from a doctor or practitioner if your dependant already has an approved Form T2201 — Disability Tax Credit Certificate on file with the CRA.