News for 2018 Tax Filing Season

Michael Huang
| 2/20/2018
Looking for what is new for the 2019 tax filing season? Check out the updated version of this post here. The 2018 tax filing season comes with several new changes which can impact your tax return. Here are some of the important updates that you need to know:

Medical Expense Tax Credit for Reproductive Expenses

The medical expense tax credit provides relief for individuals who have paid significant medical expenses for themselves or certain dependants. The medical expense tax credit is a non-refundable credit that reduces owed taxes.

Effective for 2017, amounts paid for reproductive technologies for the purpose of conceiving a child can be claimed as a medical expense tax credit, even if the individual does not have a medical condition preventing them from conceiving a child. Previously, the medical expense tax credit was available if the use of the reproductive technologies directly related to a medical infertility condition.

A request can be made to the Canada Revenue Agency to claim reproductive technologies expenses unclaimed in the last 10 calendar years. Learn more on the site, clicking here and here.

Certification of Disability Tax Credit Certificate

The disability tax credit program provides relief for individuals who have a severe and prolonged impairment in physical and mental functions by providing a non-refundable tax credit that can reduce taxes owing.

Generally, a medical doctor would be able to complete and certify Form T2201, Disability Tax Credit Certificate. However, as a result of the 2017 Federal Budget, nurse practitioners are able to certify Form T2201 effective March 22, 2017.  Read more about the certification requirements for the Disability Tax Credit here.

Federal Public Transit Credit

After June 30, 2017, amounts paid for eligible transit passes no longer qualify for a non-refundable tax credit. You can claim a non-refundable tax credit in your 2017 income tax and benefit return for eligible transit passes paid from January 1, 2017 to June 30, 2017. Read more about the changes to the Transit Credit here.

Ontario Senior’s Public Transit Tax Credit

As a result of the changes made to the Federal Public Transit Credit, the Ontario government introduced a new refundable tax credit effective July 1, 2017. To be eligible to claim this credit, you must meet the following criteria:
  • Be 65 years of age at the beginning of the year;
  • Reside in Ontario at the end of the year; and
  • Paid for eligible transit service from July 1, 2017 to December 31, 2017 (receipts should be retained).
The maximum refundable credit that can be claimed for 2017 is $225. For subsequent years, the maximum refundable credit is $450.

Tuition, Education and Textbook Credit

Effective January 1, 2017, the Federal, education and textbook credits were eliminated. Unused credits from previous years can be carried-forward. Read more here.

As a result of the 2016 Ontario Budget, changes were made to the Ontario tuition and education non-refundable tax credits. Credit is available for eligible tuition fees paid for studies before September 5, 2017. In addition, credit for the education amount is available for months of study before September 2017. Unused credits from previous years can be carried forward. More details on those changes can be found here.

This article has been prepared for the general information of our clients. Specific professional advice should be obtained prior to the implementation of any suggestion contained in this article. Please note that this publication should not be considered a substitute for personalized tax advice related to your particular situation

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Michael Huang
Michael Huang
Partner, Tax
Michael Huang Professional Corporation