Ontario Personal Tax Return 2024: Claiming Expenses Related to Children

A happy father enjoying a day outdoors with his two young children, symbolizing the support available for child care expenses claims.

Tax season is here, and if you're a parent in Ontario, you might be wondering what expenses related to your children you can claim on your 2024 personal tax return. Knowing what you can claim could help you pay less tax or get a bigger refund. Here’s a simple guide to what you can and can't claim for your kids.

What you can claim:

1. Child Care Expenses

One of the most significant claims parents can make is for child care expenses. These costs can be claimed if you paid for care so you could work, attend school, or conduct research. Eligible expenses include:

• Daycare and preschool fees

• Babysitting services

• Summer camps (if they provide child care and not recreational services)

• Before or after-school programs

It's important to note that the maximum claim limits vary based on the age of the child and the amount you paid for care. For example:

• Children under 7 years old: Up to $8,000 in child care expenses can be claimed per child.

• Children between 7 and 16 years old: You can claim up to $5,000 in child care expenses per child.

2. Medical Expenses

Parents can also claim medical expenses for their children. The child must be under 18 years of age to qualify for this claim. Some examples of eligible medical expenses include:

• Prescription medications

• Dental care (such as orthodontics)

• Physiotherapy, psychological services, and other medical treatments

• Eye exams and prescription glasses

Keep in mind that these expenses must be paid during the year, and you should keep detailed receipts. Also, medical expenses are only claimed when the total exceeds a certain percentage of your income (3% of your net income or $2,479, whichever is less for 2024).

3. Education-Related Expenses

You can claim education costs if your child is in post-secondary school (like college or university). This includes:

• Tuition fees for university or college courses

• Textbooks (usually included with tuition)

You can’t claim tuition fees for kids attending elementary or high school.

What you can’t claim:

There are some common expenses related to children that cannot be claimed on your tax return. These include:

• General household expenses: Costs like groceries, utilities, and rent/mortgage payments cannot be claimed, even if they are for the benefit of your child.

• Extracurricular activities (unless they qualify as child care): While you may be paying for your child’s soccer league, music lessons, or other activities, these do not qualify unless they are a direct child care cost.

• Clothing: Regular clothing and shoes for your child are not tax-deductible.

• Personal care products: Diapers, toiletries, and other personal care items for your child are not claimable on your taxes.

Other Tips for Parents Filing Their Taxes

• Keep Detailed Records: Ensure you keep accurate receipts and documentation for any eligible expenses. This is essential in case you are audited or asked for proof.

• Income Splitting: If both parents are claiming child care expenses, be sure to split the expenses correctly. Generally, the lower-income parent should claim the expenses.

• Use Tax Software or Consult a Professional: Tax software can help ensure you are maximizing all your eligible claims, or consider consulting a tax professional for guidance.

Conclusion

By claiming the right expenses for your kids, you could reduce the amount of tax you have to pay or get a larger refund. Make sure you know what you can and can’t claim and keep all your receipts organized. If you have questions or need help with your tax return, don't hesitate to reach out.

For more help with your tax return, contact our CPA firm. We can guide you through the process and help you make the most of your tax deductions.