CVITP Assist: Seniors
SENIORS
Common income sources for seniors:
- Canada Pension Plan benefits - T4A(P)
- Old Age Security and possibly the Guaranteed Income Supplement - T4A(OAS)
- Private pension income - T4A
- RRSP Withdrawals – T4RSP
- RRIF Withdrawals – T4RIF
- Investment income – T5 or T3
- U.S. Social Security – SSA-1042S
- Foreign private or public pension (other than U.S. Social Security)
Refundable tax credits special geared for seniors:
Ontario Seniors Homeowners Property Tax Grant
- Available to seniors 65 or older (including those who turned 65 during the tax year).
- Benefit is the lesser of $500 or property tax paid, reduced by a percentage of net family income.
- UFile: Apply under ON-BEN – Application for Tax Credits and enter property tax.
Ontario Seniors Care at Home Tax Credit
- Available to seniors 70 or older, or to those with a spouse age 70+.
- Credit is 25% of eligible medical expenses, up to $6,000 (maximum $1,500).
- Reduced by 5% of family net income over $35,000, fully phased out at $65,000.
- Eligible expenses are the same as those for the federal Medical Expense Tax Credit (portion of claimable expenses that exceeds 3% of net income)
- Expenses can be claimed for this and medical expense credit.
- UFile automatically calculates this credit when medical expenses are entered.
Ontario Seniors Public Transit Credit
- Available to individuals 65 or older at the beginning of the tax year.
- Credit is the lesser of 15% of transit expenses or $450.
- No income-based reduction.
- Only public transit expenses qualify (not taxis or Uber).
- UFile: Go to Interview Setup → Other Topics → Other deductions and credits.
Non-Refundable tax credits special to seniors:
Age Amount
- Available to individuals 65 or older by December 31st.
- For 2024, the age amount is $8,790.
- Combined with the basic personal amount ($15,705), seniors pay no federal tax on the first $24,495 of taxable income.
- UFile applies it automatically.
Pension Income Amount
- Up to $2,000 for private pension income, RRIF withdrawals, or annuity payments from an RRSP
- Not available for regular RRSP withdrawals.
- UFile applies automatically.
- Credit is available for a person of any age
Canada Home Accessibility Tax Credit
- Available to individuals 65 or older (or their spouse or certain relatives).
- Covers eligible home renovation expenses made for accessibility (e.g., ramps, grab bars).
- Disability Tax Credit certification or disability certification is not required.
Pension Splitting Between Spouses:
- Allowed for private pension income and RRIF withdrawals.
- Not allowed for CPP or OAS.
- UFile applies pension splitting automatically; special steps are required if spouses choose not to split.
Seniors not receiving OAS:
If an individual is 65 or older and does not report OAS, UFile requires confirmation before e-filing.
Some seniors are not eligible for OAS, often due to:
- Having immigrated to Canada within the last 10 years.
- Extended absences from Canada, making it difficult to prove residency to Service Canada and resulting in a denied application.
To qualify for OAS:
- Must be 65 or older, and
- Have lived in Canada for at least 10 years after age 18.
The client may benefit from advice or assistance.
Seniors not receiving GIS: