ONTARIO TRILLIUM BENEFIT - ENERGY AND PROPERTY TAX CREDIT

What is the Energy and Property Tax Credit (OEPTC)?

The OEPTC is a refundable tax credit designed to help offset part of the cost of:

• Property tax, and
• Sales tax on energy costs (such as electricity, gas, or heating).

Homeowners pay these costs directly, while tenants, long-term care residents, and students in school residences may pay them indirectly through rent, accommodation, or residence fees.

Because the credit is aimed at low- to moderate-income households, it is gradually reduced once family net income passes a certain threshold.

Eligibility: 

To qualify for the July 2025 to June 2026 benefit year, a person must:

• File a 2024 tax return
• Be a resident of Ontario on December 31, 2024, and
• Before June 1, 2026, be either:

• 18 years or older, or
• Under 18 but currently or previously had a spouse, or lived with their child.

In addition, for the Energy component, at least one of the following must apply for 2024:

• Paid rent on their principal residence;
• Paid property tax directly (or someone else paid it for them).
• Lived in a public or non-profit long-term care home and paid (or had someone else pay) accommodation costs.

For the Property Tax component, one of the following must apply for 2024:

• Paid rent on their principal residence
• Paid property tax directly (or someone paid it for them)
• Lived in a designated Ontario university, college or private school residence.

Benefit amount for rental units and long-term care homes:

The benefit is calculated for the family as a whole. The exact amount depends on several factors, including:

• Whether the person (or one member of a couple) is a senior,
• The amount of rent, property tax, or accommodation fees paid,
• Adjusted net family income, and
• Whether the household received an Ontario Senior Homeowners’ Property Tax Grant.

Because of these variables, the calculation is complex and not fully explained here.

The maximum for a single person or couple, where neither is a senior, is $1,248 ($277 for energy + $971 for property tax).

The maximum for a single person or couple, where one or both are seniors, is $1,421 ($277 for energy + $1,144 for property tax).

Example benefit calculations:

Consider four low-income individuals in 2023, each paying $15,000 for accommodation:

• Person 1: Paid rent to a private landlord.
• Person 2: Paid rent to a landlord who does not pay property tax.
• Person 3: Paid accommodation fees to a private long-term care (LTC) home, with no breakdown of costs provided on the receipt.
• Person 4: Paid accommodation fees to a public LTC home.

The Energy and Property Tax Credit (OEPTC) entitlement for each person, based on the 2023 tax year, would be as follows:^[1]

Benefit amount for student residence:

The OEPTC benefit amount is $25 ($0 energy component and $25 property tax component).

Applying in UFile:

To apply for the benefit a person must file a tax return and include the ON-BEN application form. UFile generates this form if the correct boxes are completed.

Steps in UFile:

1. Go to Ontario tax credits.
2. Click the plus sign (+) next to ON-BEN – Application for the 2025 Ontario
   Trillium Benefit.
3. In the ON-BEN section, answer “Yes” to: Do you want to apply for the 2025 OEPTC?
4. In the ON-BEN Declaration section, click the plus sign (+) next to the appropriate declaration (e.g., rent paid, property tax paid, or another applicable declaration) and complete the details.

When benefits are paid:

The OEPTC is combined with the Ontario Sales Tax Credit. If $360 or less it is paid  in July after the tax year. If more than $360 it is paid in 12 monthly installments beginning in July. A person must be a resident of Ontario at the beginning of a month to receive that month's payment.

Note: The Ontario Senior Homeowners’ Property Tax Grant is issued separately, but the amount received can affect the OEPTC calculation.

Issues regarding “rent”:

See the document dedicated to this issue.

Person is unsure whether the place they lived in is a student residence:

The Ontario government maintains a list of residences that can be checked.

Spouses living in separate residences for medical reasons:

Both spouses can claim their own credit, but this requires extra steps in UFile. For example, if the head of household lives independently while their spouse resides in a long-term care (LTC) home:

1. Spouse Identification

• Answer “No” to the question: “Do you have the same address as your spouse?”

2. Spouse’s Current Address

• Enter whichever mailing address the spouse prefers (either the head’s address or the LTC home address).
• If you use the head’s address, then answer “No” to: “Is your home address the same as your mailing address?”

3. ON-BEN Section (Head and Spouse)

• Answer “yes” to the question, “Do you want to apply for the [year] OEPTC?”
• In the Involuntary separation subsection, answer “Yes” to: “Do you want to apply individually?”

4. Ontario Tax Credits Section (Head and Spouse)

• Click Ontario tax credits on the left.
• Under Separate residences, answer “Yes” to: “Do you live at a different address from your spouse?”

5. Spouse’s Rent Declaration

• If the spouse’s current address was entered as the head’s address, then in the ON-BEN rent declaration section, record the LTC home address instead.

6. Verification

• Review the benefit calculations and check both ON-BEN forms.
• Confirm that Parts B and C are completed correctly with the proper addresses.

Child pays their parent’s property tax:

Assuming the child is not a beneficial owner of the property, the child cannot declare the property tax. However, the parent can declare the property tax since the tax was paid on their behalf.

References:

• Ontario Taxation Act, 1997, Part IV.1
• Ontario website - Ontario Trillium Benefit
• Ontario website - Energy and Property Tax Credit Questions and Answers
• ON-BEN form
• List of student residences
• List of Properties and Tax Status