Employment Status
Auto-calculated credits
Up to $2,000 eligible pension income
Interest on government student loans only
Up to $500 qualifying subscriptions
Total Tax Credits
$4,192.12
Federal Credits
$3,265.01
Provincial Credits
$927.11
What is the difference between non-refundable and refundable credits?
Non-refundable credits (like the BPA, age amount, and disability credit) can only reduce your tax owing to zero -- any excess is lost. Refundable credits (like the GST/HST credit, Canada Workers Benefit, and the Canada Child Benefit) are paid to you even if you owe no tax. Most personal credits shown here are non-refundable, calculated at 15% of the credit amount federally.
What is the Basic Personal Amount (BPA)?
The BPA is the amount of income every Canadian can earn before paying federal tax. For 2025, it is $16,129 (reduced for incomes over $173,205). The tax credit is 15% of the BPA amount, which equals up to $2,419 in tax savings. Each province has its own BPA at different levels.
What are CPP/QPP and EI tax credits?
Your CPP/QPP contributions and EI premiums generate non-refundable tax credits at the federal rate of 15%. For 2025, the maximum CPP employee contribution is $4,034.10, giving a federal credit of about $605. The maximum EI premium is $1,077.48, giving a credit of about $162. These are claimed on lines 30800 (CPP) and 31200 (EI) of your T1 return.
What is the Canada Employment Amount?
The Canada Employment Amount is a $1,471 non-refundable credit for 2025, available to anyone with employment income (T4). It provides a tax credit of $1,471 x 15% = $220.65. This credit helps offset work-related expenses. Self-employed individuals cannot claim this credit. It is claimed on line 31260 of your T1 return.
How does the spousal amount work?
If your spouse or common-law partner earns less than the BPA ($16,129 for 2025), you can claim the difference as a spousal amount. For example, if your spouse earns $5,000, you can claim $16,129 - $5,000 = $11,129, giving you a credit of $11,129 x 15% = $1,669. This credit ensures that the full BPA is used by the household, even if one partner has little or no income.
What is the age amount credit?
If you are 65 or older, you can claim the age amount of $8,790 for 2025. However, this amount is reduced by 15% of net income exceeding $44,325. It is completely eliminated at income above $102,925. The federal credit is $8,790 x 15% = $1,319 maximum. Most provinces also offer a provincial age amount with their own thresholds.
How do charitable donation credits work?
Federal donation credits are calculated at two rates: 15% on the first $200 of donations and 29% (or 33% if taxable income exceeds $235,675) on amounts over $200. This means larger donations receive significantly more generous tax treatment. You can claim donations up to 75% of your net income (100% in the year of death). Unused donations can be carried forward 5 years.
What is the Canada Caregiver Amount?
The Canada Caregiver Amount provides a credit of up to $8,375 (federal) for individuals who support a dependant with a physical or mental impairment. The amount is reduced dollar-for-dollar by the dependant's net income over $19,666. This replaces the former caregiver amount, infirm dependant amount, and family caregiver amount.
How does the Home Buyers' Amount work?
First-time home buyers can claim $10,000 as a non-refundable credit, providing up to $1,500 in tax relief ($10,000 x 15%). To qualify, you must not have owned a home in the year of purchase or the four preceding years. The credit can be split between spouses. It is claimed on line 31270 of your T1 return.
Do provincial credits differ from federal?
Yes. Each province sets its own credit amounts and calculates them at the provincial lowest tax rate instead of the federal 15%. For example, Ontario's age amount is $6,322 (vs federal $8,790), and Alberta's spousal amount is $22,323 (vs federal $16,129). Provincial credits are calculated on your provincial tax form (e.g., ON428, BC428) and appear on your T1 return.
CRA-Aligned: Credit amounts based on 2025 CRA non-refundable tax credit schedule. Provincial credit amounts use 2025 provincial schedules. Consult a tax professional for complete credit calculations.
How federal and provincial tax credits reduce your tax bill
What is the difference between a tax credit and a deduction?
A tax deduction reduces your taxable income — if you earn $80,000 and deduct $5,000, you are taxed on $75,000. A tax credit directly reduces the tax you owe. A non-refundable credit of $1,000 at 15% saves you $150 in tax. A refundable credit pays you even if you owe no tax. Credits are generally more valuable than deductions of the same dollar amount.
What is the basic personal amount?
The basic personal amount (BPA) is the most fundamental tax credit. For 2025, the federal BPA is $16,129, which means the first $16,129 of income is effectively tax-free. The credit is worth $2,419 (15% of $16,129). Each province also has its own BPA. Every Canadian resident who files a tax return automatically receives this credit.
What are the most common non-refundable tax credits?
Common non-refundable credits include the basic personal amount ($16,129), CPP/QPP contributions credit, EI premiums credit, Canada Employment Credit ($1,368), tuition credit, medical expenses credit, charitable donations credit (15% on the first $200, 29% or 33% on amounts above), age amount ($8,790 for those 65+), and the pension income credit ($2,000).
What refundable tax credits are available?
Refundable credits pay you even if you owe no tax. Key ones include the GST/HST Credit (up to $519 for singles), the Canada Workers Benefit (up to $1,590 for singles), the Canada Child Benefit (up to $7,787 per child under 6), and the Climate Action Incentive Payment (varies by province). These credits are usually paid quarterly based on your previous year's tax return.
How do charitable donation credits work?
Donations to registered charities qualify for a two-tier credit. The first $200 of donations gives a 15% federal credit ($30). Donations above $200 give a 29% credit, or 33% if your income is in the top bracket. On a $1,000 total donation, the credit is about $262. Both spouses' donations can be combined on one return to maximise the higher credit rate.
What is the Canada Employment Credit?
The Canada Employment Credit gives employees a non-refundable credit on the first $1,368 of employment income. This provides a federal tax reduction of about $205 (15% of $1,368). It is meant to help cover work-related expenses like uniforms, home computers, and other costs not reimbursed by the employer. You get this credit automatically if you report employment income.
Do tax credits differ by province?
Yes. Each province offers its own set of tax credits on top of the federal credits. For example, Ontario has the Ontario Trillium Benefit, the Ontario Child Benefit, and the Ontario Energy and Property Tax Credit. Quebec has the Quebec Solidarity Tax Credit. The value and eligibility rules for provincial credits vary, so check your province's specific offerings.
CRA-Aligned: Based on 2025 CRA rates and thresholds. For personal advice, speak to a qualified accountant or tax professional.
Disclaimer: This calculator provides estimates based on current CRA rates and thresholds for the 2025 tax year. It does not constitute professional tax, financial, or legal advice. Your actual liability may differ depending on your individual circumstances. Always consult a qualified accountant before making financial decisions. Read our terms
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