Table of Contents
- The Spouse or Common-Law Partner Amount
- The Amount for an Eligible Dependant Credit
- The Canada Caregiver Amount
- The Canada Caregiver Amount – Supplementary Amounts
The Spouse or Common-Law Partner Amount
When you’re preparing an income tax return in Canada, one of the first things you learn is that every individual is entitled to claim the Basic Personal Amount—a non-refundable tax credit that allows a certain portion of income to be earned tax-free.
But what happens if a taxpayer’s spouse or common-law partner has little or no income? In that case, the taxpayer may be able to claim an additional credit called the Spouse or Common-Law Partner Amount.
This credit helps reduce the overall family tax burden when one partner financially supports the other.
What Is the Spouse or Common-Law Partner Amount?
The Spouse or Common-Law Partner Amount is a non-refundable tax credit available to taxpayers who support a spouse or common-law partner with a low or no income.
In simple terms, it works like this:
- If your spouse or partner had no income, you can claim the full amount.
- If they had some income, the credit is reduced dollar-for-dollar based on that income.
- If their income is above a certain threshold, you cannot claim this credit.
Who Can Claim This Credit?
To qualify for this credit, all of the following must be true:
- You were married or living common-law on December 31 of the tax year.
- Your spouse or partner was financially dependent on you because of low or no income.
- You supported them during the year.
- You were not separated due to a breakdown in the relationship for more than 90 days at the end of the year.
How the Credit Is Calculated
The maximum claimable amount for this credit is the same as the Basic Personal Amount for the tax year.
Let’s look at how it works step by step:
- Start with the Basic Personal Amount
Each year, the CRA updates this number to account for inflation.
(For example, in earlier years, it was around $11,635.) - Subtract your spouse’s net income
The credit is reduced by every dollar your spouse or partner earned. - Result = Spouse or Common-Law Partner Amount
If the result is zero or negative, no credit is available.
Example:
Let’s say:
- The Basic Personal Amount for the year = $11,635
- Your spouse’s income = $5,000
Calculation:
$11,635 − $5,000 = $6,635
You would be able to claim a spousal amount of $6,635.
If your spouse’s income had been more than $11,635, you would not be eligible for this credit.
Why This Credit Exists
This credit recognizes that when one partner earns little or no income, the other is effectively supporting two people on one income.
By allowing the higher-income spouse to claim this amount, the tax system provides some relief to single-income families or families with one low-income earner.
Important Points to Remember
- You must report all income accurately for both partners.
If your spouse’s income is underreported, the CRA may later adjust and reduce the credit. - This is a non-refundable credit, meaning it can reduce tax owing to zero, but it will not create a refund on its own.
- You cannot claim both the Spouse or Common-Law Partner Amount and the Amount for an Eligible Dependant in the same year — you must choose one, depending on your situation.
Summary
| Condition | Impact on Credit |
|---|---|
| Spouse/partner has no income | Full credit allowed |
| Spouse/partner has low income | Credit reduced dollar-for-dollar |
| Spouse/partner income above threshold (Basic Personal Amount) | No credit allowed |
In Short
The Spouse or Common-Law Partner Amount is one of the key credits to check for when preparing a tax return for a couple.
If one partner earned little or no income, this credit can make a noticeable difference in reducing the overall taxes owed.
Always verify both partners’ incomes carefully and use the correct year’s Basic Personal Amount to ensure the claim is accurate.
The Amount for an Eligible Dependant Credit
When preparing Canadian income tax returns, one of the most common non-refundable tax credits for single individuals with dependants is the Amount for an Eligible Dependant.
This credit is sometimes called the “Single Parent Credit” because it often applies to single parents who support and live with their children. However, it’s not limited to parents and children — it can also apply to other family members who are financially dependent on the taxpayer.
What Is the Amount for an Eligible Dependant?
The Amount for an Eligible Dependant is a non-refundable tax credit that helps reduce the amount of income tax owed when you support a dependant who relies on you financially.
In essence, it acts as an alternative to the Spouse or Common-Law Partner Amount for taxpayers who do not have a spouse or common-law partner, but who are still supporting another person.
This credit recognizes that single individuals supporting dependants face similar financial responsibilities to married couples where one partner has little or no income.
Who Can Claim This Credit?
To claim the Amount for an Eligible Dependant, all of the following must be true:
- You did not have a spouse or common-law partner during the tax year.
- You cannot claim this credit if you are married or living common-law, or if you claimed the Spouse or Common-Law Partner Amount for the same year.
- You supported and lived with your dependant in your home during the tax year.
- The dependant must have lived with you at some point during the year and relied on you for support.
- Your dependant was related to you and met at least one of the following conditions:
- Your child, grandchild, brother, or sister (by blood, marriage, or common-law relationship), and was under 18 years old; or
- A parent, grandparent, or other qualifying relative who was a Canadian resident and dependent on you because of a low income or an impairment.
How the Credit Works
The maximum claimable amount for the eligible dependant credit is the same as the Basic Personal Amount for that tax year.
This amount is reduced dollar-for-dollar by the dependant’s own net income.
Example:
Let’s use an example to make this clear:
- Basic Personal Amount for the year: $12,000
- Dependant’s income: $3,000
Calculation:
$12,000 − $3,000 = $9,000
You would be able to claim $9,000 as the Amount for an Eligible Dependant.
If the dependant’s income is equal to or greater than the Basic Personal Amount (for example, $12,000 or more), then no credit can be claimed.
Common Situations Where This Credit Applies
Here are the most frequent cases where this credit is used:
- Single Parent Supporting a Child
- The most common scenario.
- If you are separated, divorced, or widowed and have custody of a child under 18 who lives with you, you may qualify.
- Supporting a Disabled or Dependent Adult Relative
- You may claim this credit for an adult child, sibling, or other relative who depends on you because of a mental or physical impairment and lives with you.
- Supporting a Low-Income Parent or Grandparent
- If your parent or grandparent lives with you in Canada and depends on you financially (for example, because they have very little pension income), you may qualify to claim them as an eligible dependant.
Important Rules to Remember
- You cannot claim both the Spouse or Common-Law Partner Amount and the Amount for an Eligible Dependant in the same year.
- You must choose one or the other, depending on your situation.
- Only one person per household can claim this credit for the same dependant.
- For example, if two separated parents share custody of a child, only one of them can claim the child for this credit in a given tax year.
- The dependant’s net income must be reported accurately.
- If their income is higher than reported, the CRA may adjust or deny the credit after reviewing the tax return.
- The credit is non-refundable.
- This means it can reduce taxes owed to zero, but it will not create a refund by itself.
Summary Table
| Condition | Eligible to Claim? |
|---|---|
| Taxpayer has a spouse or common-law partner | ❌ No |
| Taxpayer supports and lives with a dependant | ✅ Yes |
| Dependant’s income is below Basic Personal Amount | ✅ Yes (credit reduced by income) |
| Dependant’s income above threshold | ❌ No |
| Dependant lives elsewhere (not with taxpayer) | ❌ No |
In Summary
The Amount for an Eligible Dependant Credit is designed to provide tax relief to single individuals who are supporting dependants — most commonly single parents with children.
It works similarly to the Spouse or Common-Law Partner Amount, but it’s specifically meant for people who do not have a spouse or partner.
If you’re preparing a tax return for someone who is single and supporting a child or another family member with low or no income, this credit is one of the most important non-refundable tax credits to look for.
The Canada Caregiver Amount
The Canada Caregiver Amount (CCA) is a non-refundable tax credit designed to support Canadians who care for a dependent family member with a physical or mental impairment.
This credit recognizes that caregiving often brings extra expenses and responsibilities. It provides tax relief to those supporting a relative who relies on them due to a disability or infirmity.
Background: Why This Credit Exists
Before 2017, there were three separate caregiver-related credits:
- The Caregiver Amount
- The Infirm Dependant Amount
- The Family Caregiver Amount
These three credits were merged and simplified into one credit — the Canada Caregiver Amount — starting with the 2017 tax year.
The goal was to make things clearer and easier: instead of figuring out which of the three applied, taxpayers now use one set of rules under the CCA.
Who Can You Claim the Credit For?
You may be able to claim the Canada Caregiver Amount for a dependent who:
- Is physically or mentally impaired, and
- Relies on you for support with daily living, and
- Is a resident of Canada.
The dependant must also be related to you — this includes:
- Your or your spouse’s child, grandchild, parent, grandparent, brother, sister, aunt, uncle, niece, or nephew.
So, as you can see, this covers a wide range of family relationships.
Important: Who You Cannot Claim for
You cannot claim the Canada Caregiver Amount for:
- Your spouse or common-law partner directly. (They are covered under the Spouse or Common-Law Partner Amount and possibly an additional caregiver supplement.)
- A person you are already claiming under the Amount for an Eligible Dependant (also known as the “single parent credit”).
- Someone who is not impaired or disabled — this is one of the biggest changes from the old caregiver credit rules.
In short:
✅ The dependant must have a physical or mental impairment.
❌ You cannot claim this credit just because you live with or financially support an elderly relative who is not infirm.
Age and Living Arrangement
In general, the Canada Caregiver Amount applies to dependants who are 18 or older.
If the dependant is under 18, the credit may still apply only if the child is infirm — meaning the child has a physical or mental condition that limits their ability to function independently and requires ongoing support.
Unlike the Eligible Dependant Credit (which is for minor children or other dependants without a disability), the CCA specifically focuses on those with impairments, regardless of age.
How the Credit Works
The maximum claim amount depends on the relationship and the level of support provided, but generally, it’s similar to other major credits like the Basic Personal Amount.
Here’s how it works in simple terms:
- The caregiver can claim an amount (around $7,000 in recent years) for each eligible dependant with a disability.
- The credit is reduced dollar-for-dollar by the dependant’s net income above a certain threshold.
- The exact amount changes annually — check the CRA’s official amounts for the tax year you’re working on.
Example:
Let’s assume the maximum Canada Caregiver Amount is $7,000 and the dependant (say, your disabled parent) earned $2,000 in pension income.
Your eligible claim would be:
$7,000 − $2,000 = $5,000
You could claim a $5,000 caregiver amount for that parent.
If the dependant’s income was higher than the allowable limit (around the Basic Personal Amount), the credit would no longer apply.
Multiple Dependants
You can claim this credit for more than one dependant, as long as each person meets the eligibility criteria.
For example:
- If you care for your disabled mother and your disabled adult brother, you could claim the Canada Caregiver Amount for both, provided they are Canadian residents and financially dependent on you.
This can result in significant tax savings for households supporting multiple dependants.
Documentation and CRA Requirements
Since this credit applies to people with physical or mental impairments, the CRA may request proof that the condition exists.
Acceptable documentation may include:
- A completed Form T2201 – Disability Tax Credit Certificate, or
- A medical note or letter from a qualified practitioner describing the impairment and confirming that the person depends on the taxpayer for care and support.
Always ensure that your client (or yourself, if you’re claiming this credit) keeps these documents handy in case the CRA reviews the claim.
Quick Comparison to Other Dependant Credits
| Credit Name | Who It’s For | Key Feature |
|---|---|---|
| Spouse or Common-Law Partner Amount | Low-income spouse or partner | Applies if you’re married or in a common-law relationship |
| Amount for an Eligible Dependant | Single parent or individual supporting a dependant under 18 (or low-income adult) | Applies only if you have no spouse or partner |
| Canada Caregiver Amount | Dependant (18+) or infirm child/relative who is physically or mentally impaired | Focused on supporting people with disabilities or impairments |
Key Takeaways
- The Canada Caregiver Amount helps taxpayers who care for impaired or disabled relatives.
- The dependant must be related, living in Canada, and dependent on the taxpayer for support.
- You cannot claim it for someone who is not impaired, even if they are elderly or live with you.
- The credit is non-refundable — it reduces tax payable but doesn’t result in a cash refund.
- You may claim it for multiple qualifying dependants.
- Always ensure you have proof of impairment if the CRA asks.
In Summary
The Canada Caregiver Amount simplifies what used to be three separate caregiver-related credits into one clear rule:
If you’re caring for a physically or mentally impaired family member who depends on you, you may be eligible for this credit.
It’s an important recognition of the financial and emotional responsibilities of caregiving — and a key credit for any tax preparer to understand when helping clients with family dependants.
The Canada Caregiver Amount – Supplementary Amounts
The Canada Caregiver Amount (CCA) is a non-refundable tax credit that helps taxpayers who support a family member with a physical or mental impairment.
In addition to the main caregiver credit, there are supplementary (or additional) amounts that apply when the person being supported is a spouse, common-law partner, or eligible dependant who is also infirm or disabled.
These supplementary credits give extra tax relief to families caring for loved ones with disabilities, recognizing the added emotional and financial responsibilities involved.
Background: From “Family Caregiver” to “Supplementary Amounts”
In past tax years, there was a separate credit known as the Family Caregiver Amount.
That older credit gave taxpayers an extra $2,000 (approximately) on top of other dependant-related credits if the dependant had a physical or mental infirmity.
Today, that benefit still exists — it’s simply built into the Canada Caregiver Amount system as an additional or supplementary amount rather than being a separate credit.
So if you hear older tax preparers or materials mention the “Family Caregiver Amount,” know that it’s now included within the Canada Caregiver Amount – Supplementary Amounts.
Who Can Claim the Supplementary Amounts?
You can claim the supplementary amount if:
- You are already claiming one of the following credits:
- The Spouse or Common-Law Partner Amount (Line 30300 on the tax return), or
- The Amount for an Eligible Dependant (Line 30400 on the tax return, sometimes called the “equivalent-to-spouse” amount),
AND
- The person you are claiming has a physical or mental infirmity (i.e., a medical condition that limits their ability to function independently).
What This Means in Practice
Let’s break this down with examples.
Example 1: Spouse or Common-Law Partner
If you are claiming the Spouse or Common-Law Partner Amount because your spouse has a low income, you may be entitled to an additional $2,000 or so under the Canada Caregiver Amount if your spouse is also disabled or infirm.
This is often the case when a spouse cannot work or has a long-term medical condition requiring care.
Example 2: Eligible Dependant
If you are a single parent or supporting a relative (for example, an adult child, sibling, or parent) and are claiming the Amount for an Eligible Dependant, you can also claim the supplementary caregiver amount if that dependant is physically or mentally impaired.
So the extra credit applies in two main cases:
- Claiming a spouse who is disabled
- Claiming an eligible dependant who is disabled
How the Supplementary Amount Is Applied
You don’t claim the supplementary amount on a separate line.
Instead, it is added to the main credit on the same line of the tax return.
- For a spouse or common-law partner, the extra caregiver amount is added to Line 30300.
- For an eligible dependant, the extra caregiver amount is added to Line 30400.
In other words, you don’t see a separate “caregiver” line on the tax return for this extra $2,000 — it’s included automatically in the calculation when eligibility is met.
Form Required: Schedule 5
When claiming the spousal or dependant amounts, taxpayers must complete Schedule 5 – Amounts for Spouse or Common-Law Partner and Dependants.
This schedule is used to:
- Report your dependant’s name, relationship, and net income,
- Confirm whether the dependant is infirm or disabled,
- Calculate the total amount of credit available, including the supplementary caregiver amount.
Even though the extra $2,000 doesn’t have its own separate line, Schedule 5 ensures that it’s included in the correct total when you fill out your return.
Approximate Value
The supplementary amount is worth roughly $2,000 to $2,200 (depending on the tax year).
Because it is a non-refundable tax credit, it reduces the tax you owe, not your refund directly.
For example, a $2,000 credit at the federal rate (15%) provides up to $300 in tax savings ($2,000 × 15%).
Provincial tax savings may also apply, as most provinces have similar caregiver credit structures.
Eligibility Summary
| Eligibility Area | Condition | Claim Location |
|---|---|---|
| Supporting a disabled spouse/common-law partner | Spouse has a physical or mental impairment | Line 30300 |
| Supporting an eligible dependant (e.g., child, parent) who is disabled | Dependant has a physical or mental impairment | Line 30400 |
| Dependant’s income | Credit amount may be reduced based on their net income | Schedule 5 |
| Documentation | May require proof of disability or infirmity (e.g., medical note, Form T2201) | Keep on file for CRA |
Documentation and CRA Proof
If your dependant’s impairment is not already certified under the Disability Tax Credit (Form T2201), the CRA may ask for other medical evidence.
A doctor’s note stating that the dependant has a prolonged physical or mental impairment and depends on the taxpayer for care is often sufficient.
Always keep this documentation on file — you do not need to send it unless the CRA requests it.
Why This Credit Matters
Caregiving is not only emotionally demanding — it can also be financially challenging.
The supplementary caregiver amount provides an extra measure of tax relief to families who are already eligible for spousal or dependant credits and are also caring for someone with a disability.
Even though it may seem small (about $2,000), it can make a difference — especially when combined with other credits like the Disability Tax Credit or Medical Expense Credit.
Key Takeaways
- The supplementary caregiver amount is an extra $2,000 (approx.) added to the spousal or eligible dependant credit when the dependant is infirm or disabled.
- It applies to claims made on Line 30300 (spouse) or Line 30400 (eligible dependant).
- You must complete Schedule 5 when claiming these credits.
- The credit is non-refundable — it reduces taxes payable, not refunds.
- The CRA may require medical proof of impairment if not already on record.
In Summary
The Canada Caregiver Amount – Supplementary Amounts is an extension of the main caregiver credit.
It allows taxpayers to claim an additional amount (around $2,000) for a spouse or eligible dependant who has a mental or physical infirmity.
There’s no separate line for this credit — it’s built into existing dependant credits and calculated on Schedule 5.
For a tax preparer, knowing when to apply this supplementary amount ensures that clients who support infirm loved ones receive the full tax relief they’re entitled to.
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