Living with a disability can have a significant impact on your finances. Fortunately, you may qualify for the disability tax credit to help you cover some of the costs that come with living with a disability.
According to the latest data available, there are 1,465,420 people with a valid DTC certificate in Canada.4 The Disability Tax Credit (DTC) recognizes the challenges that come with having a disability or caring for someone who does. It is one of several government benefits the federal government offers to ease the financial burden on people with disabilities and their families.
Below, you will find out who qualifies, what conditions may be eligible, how much the credit is worth, and how to apply.
Key Points
1. The DTC is a non-refundable tax credit, so it lowers the income tax you owe rather than paying out a monthly benefit.
2. For the 2025 tax year, an adult can claim a federal disability amount of $10,138, plus a provincial amount that varies by where you live.
3. If you qualified in the past but never claimed it, you can go back up to 10 years, which can mean a large one-time refund.
4. Getting approved for the DTC also opens the door to other programs, like the RDSP, the Canada Disability Benefit, and the Child Disability Benefit.
What Is The Disability Tax Credit In Canada?
The Disability Tax Credit is a federal non-refundable tax credit that people with disabilities, or their caregivers, can claim to reduce the income tax they owe. The person with the disability can use the credit themselves, or transfer it to a spouse or supporting family member if they do not need all of it.
Because it is a credit and not a deduction, it works a little differently from writing off an expense. If that distinction is new to you, it helps to understand the difference between a tax credit and a tax deduction before you file.
The DTC is more common than many people realize. Well over a million Canadians hold a valid certificate.
Are You Eligible For The Disability Tax Credit In Canada?
To qualify for the DTC, a medical practitioner has to certify that you have a severe and prolonged impairment (one that has lasted, or is expected to last, at least 12 months). You may be eligible if:
- You have a severe and extended impairment in at least one disability category (listed below).
- You are significantly limited in two or more of the disability categories, and the combined effect is as serious as a single marked restriction.
- You need life-sustaining therapy to support a vital function.
Types Of Disability Categories
Several categories of impairment can qualify you for the DTC:
- Vision
- Hearing
- Speaking
- Walking
- Mental functions
- Dressing
- Feeding
- Eliminating (bowel or bladder functions)
- Life-sustaining therapy
What Medical Conditions Qualify For The DTC?
Here is the most important thing to understand: the DTC is not based on your diagnosis. It is based on how your condition affects your ability to do everyday activities. Two people with the same diagnosis can get different answers, because one is markedly restricted and the other is not. For that reason, there is no official list of approved conditions.
That said, when they cause a severe and prolonged restriction, conditions that often lead to approval include:
- Mental functions: autism, ADHD, severe depression or anxiety, bipolar disorder, dementia, and learning disabilities.
- Mobility and physical: multiple sclerosis, Parkinson’s, cerebral palsy, severe arthritis, chronic pain, and spinal cord injuries.
- Vision and hearing: significant vision loss or blindness, and significant hearing loss or deafness.
- Life-sustaining therapy: type 1 diabetes (insulin therapy) and kidney dialysis.
- Digestive and elimination: Crohn’s disease and colitis, when they seriously affect bowel or bladder function.
Type 1 diabetes is worth calling out. Recent rule changes mean that people who manage it with insulin generally now qualify under the life-sustaining therapy category.2
The takeaway: do not rule yourself out based on your diagnosis alone. If your condition seriously affects your daily life most of the time, it is worth applying.
Can You Work And Still Claim The DTC?
Yes. The DTC is based on how your impairment affects your daily life, not on whether you work or how much you earn. Having a job, even a full-time one, does not disqualify you, and there is no income limit to be eligible. This is different from disability assistance programs like the Ontario Disability Support Program or BC disability assistance, which are income-tested and can be reduced if you earn too much.
The one catch is on the tax side, not the eligibility side. Because the credit only reduces tax you owe, you need some taxable income to benefit from it directly. If you work and pay tax, you can put the credit to use. If you do not, you can transfer it to a family member who supports you.
How Much Can You Get Through The Disability Tax Credit?
The DTC does not pay out a monthly benefit. It is a non-refundable tax credit, which means it lowers the income tax you owe. The “disability amount” is the figure you claim on your return, not the cash you get back.
For the 2025 tax year, here is the federal amount you can claim, based on your age on the last day of the year:1
| Age | Federal Disability Amount You Can Claim (2025) |
|---|---|
| 18 years and older | $10,138 |
| 17 years and under | $16,052 ($10,138 base plus a $5,914 children’s supplement) |
Because the credit is applied at the lowest tax rate, the actual federal tax savings work out to roughly 15% of the amount claimed, so about $1,500 for an adult. On top of that comes a provincial credit, which is why the total value depends on where you live.
How Much Can You Claim By Province?
The federal amount above is the same across the country. What changes is the provincial disability amount, claimed on your provincial return, which each province and territory sets on its own. Here is the adult amount for 2025:5
| Province / Territory | Provincial Disability Amount (Age 18+, 2025) |
|---|---|
| Alberta | $16,882 |
| Nunavut | $15,973 |
| Northwest Territories | $14,088 |
| Saskatchewan | $10,894 |
| Ontario | $10,017 |
| New Brunswick | $9,747 |
| British Columbia | $9,435 |
| Nova Scotia | $7,341 |
| Newfoundland and Labrador | $7,299 |
| Prince Edward Island | $6,890 |
| Manitoba | $6,180 |
| Quebec | $4,009 |
| Yukon | Calculated using a worksheet |
A bigger amount does not always mean a bigger refund, because each province applies its own tax rate to that amount. Alberta’s amount is the highest and it uses a 10% rate, so it produces one of the largest provincial credits in the country. Quebec’s amount looks small, but Quebec runs a separate provincial system, and residents file Form TP-752.0.14 with Revenu Quebec.
How To Calculate Your Disability Tax Credit
The credit is worth a percentage of the amount you claim, not the full amount. To estimate your yearly savings, multiply the federal amount by the lowest federal tax rate (about 15%), then add your provincial amount multiplied by your province’s lowest rate.
Take an adult in Ontario for 2025:
- Federal: $10,138 x 15% = about $1,521
- Provincial: $10,017 x 5.05% = about $506
- Total: roughly $2,027 a year
An adult in Alberta comes out higher, because Alberta’s larger amount ($16,882) at a 10% rate produces a bigger provincial credit, for a total closer to $3,200 a year. Most provinces land somewhere in the middle, around $2,000. If a child qualifies, the children’s supplement adds more on top.
Claiming The DTC Retroactively (Up To 10 Years)
You are not limited to the current tax year. If you qualified in earlier years but never claimed the disability amount, you can ask the CRA to reassess up to 10 previous years, which can produce a sizeable one-time refund.2
You may have seen ads promising “up to $40,000.” Here is where that figure comes from. Combined federal and provincial credits can be worth up to roughly $4,000 a year when a child qualifies (the base amount plus the supplement), so ten years of back-claims can approach $40,000 in the highest cases. For an adult, the retroactive total is usually closer to $20,000 or less. Treat these as best-case ceilings, not typical amounts. What you get back depends on how many years you qualified and how much tax you paid in each of them.
To backdate the credit, file a T1 Adjustment Request (Form T1-ADJ) for each year you want to claim, or complete the relevant section of Form T2201 when you apply.
How The DTC Affects Your Taxes And How To Claim It
Because the DTC is non-refundable, it can lower the income tax you owe all the way to zero, but it will not create a refund on its own if you owe no tax. In short, you need taxable income for the credit to do something. If the person with the disability does not owe enough tax to use the full amount, the unused part can be transferred to a spouse, common-law partner, or another supporting family member who does owe tax.
Once the CRA has approved your Form T2201, here is how you claim it at tax time:
- Claim the disability amount for yourself on line 31600 of your return.
- If you are claiming it for a dependant, use line 31800. An amount transferred from a spouse or common-law partner flows through Schedule 2.
- If you file online, most tax software handles this automatically once your DTC is approved.
You only need to be approved once. As long as your certificate is valid, you claim the amount each year you file, and you do not reapply unless the CRA gave your approval an expiry date.
How Do You Apply For The Disability Tax Credit In Canada?
The DTC application has a reputation for being complicated, so much so that some people never apply. It is more manageable than it looks if you take it step by step, and you can apply on your own or with help.
Applying By Yourself
If you have the information you need, you can complete the application yourself. You start by submitting Form T2201, on paper or online.
- T2201, Part A. You fill out your personal details.
- T2201, Part B. Your medical practitioner fills this out and certifies that you have a severe and prolonged impairment that affects your daily functioning. Practitioners can now complete Part B digitally on your behalf, so you no longer have to print the form and carry it in.
Attach any supporting documents you have. The more evidence you provide that you meet the criteria, the smoother the review tends to go. A few things to keep in mind:
- The CRA must approve your application before the credit applies.
- Approval may be open-ended, or granted only for a set number of years, after which you reapply.
Applying With A Disability Tax Credit Consultant
As mentioned, getting approved for the DTC isn’t an easy task. If you’re not confident with navigating the approval process on your own, consider seeking the help of a DTC consultant to guide you. These experts specialize in aiding people with qualifying ailments to obtain the DTC.
There are many reasons why hiring a DTC consultant is a good option:
- DTC consultants can ensure you get the maximum amount you’re entitled to under your circumstances.
- The application is long, confusing, and detailed. A consultant can provide advice and help you understand the process.
- Application errors can lead to rejection or a lower tax credit amount. Many medical professionals themselves don’t understand the rules and may assume you don’t qualify, when in fact, you do. A consultant will know the rules and regulations surrounding the DTC very well.
How Long Does The DTC Take To Get Approved?
The CRA needs time to review your application. As long as nothing is missing, you should get a notice of determination about eight weeks after the CRA receives it. If you send your application together with your income tax return, the CRA reviews the application first, then assesses your return.
Other Benefits The DTC Unlocks
Approval for the DTC does more than lower your taxes. It is the key that unlocks several other programs, which is a big reason to apply even if your own tax savings would be small.
- Registered Disability Savings Plan (RDSP). The RDSP is a long-term savings plan for people approved for the DTC. The government adds to it through the Canada Disability Savings Grant, which matches your contributions by up to 300% (to a maximum of $3,500 a year), and the Canada Disability Savings Bond, which pays up to $1,000 a year to lower-income Canadians even if you contribute nothing yourself.
- Child Disability Benefit. A tax-free monthly payment for families caring for a child under 18 who qualifies for the DTC, worth up to $284.25 a month ($3,411 a year) for the 2025 to 2026 period, and paid together with the Canada Child Benefit.7
- Canada Disability Benefit. A newer federal payment of up to $200 a month for working-age adults (18 to 64) who have the DTC. The amount is income-tested.6
- Canada Workers Benefit disability supplement. An extra amount on top of the Canada Workers Benefit for lower-income workers who have the DTC.
- Canada Caregiver Credit. A tax credit for family members who support a dependant with a physical or mental impairment.
Between the RDSP grants and the monthly benefits, being approved for the DTC can be worth far more than the tax credit itself.
DTC vs The Canada Disability Benefit vs The Child Disability Benefit
These three often get mixed up, partly because two of them share the initials “CDB.” Here is how they differ:
| Program | What It Is | Who It Is For | What You Get |
|---|---|---|---|
| Disability Tax Credit (DTC) | A non-refundable tax credit | Anyone approved, at any age | Lowers the income tax you owe, about $1,500 to $3,200 a year for an adult |
| Canada Disability Benefit | A monthly cash benefit | Adults aged 18 to 64 with the DTC | Up to $200 a month, reduced at higher incomes |
| Child Disability Benefit | A monthly cash top-up to the Canada Child Benefit | Families with a child under 18 who has the DTC | Up to $284.25 a month |
The key thing to remember is that the DTC is the foundation. You generally need it approved first, and it is what makes you eligible for both the Canada Disability Benefit and the Child Disability Benefit. The DTC is a tax break, while the other two are monthly payments, one for adults and one for children.
Disability Support Available Across Canada
- The Child Disability Benefit (CDB)
- The Veterans Affairs Canada (VAC) Disability Program
- The British Columbia Disability Assistance Program
- The Ontario Disability Support Program (ODSP)
- The Nova Scotia Disability Support Program (DSP)
- New Brunswick Disability Support Program
- The Manitoba Children’s disABILITY Services (CDS) Program
- Alberta Family Support For Children With Disabilities (FSCD)
- Alberta Aids To Daily Living (AADL)
- Saskatchewan Assured Income For Disability (SAID)
Disability Statistics In Canada
A few notable findings from Statistics Canada’s most recent survey on disability help put the DTC in context:3
- 27% of Canadians aged 15 and older (about 8.0 million people) had at least one disability in 2022.
- That rate is up 5 percentage points from 22% in 2017.
- The rate was higher among women (30%) than men (24%).
- Youth saw the largest jump, reaching 20% of those aged 15 to 24.
- 24% of working-age adults and 40% of seniors reported a disability.
The Financial Strain
Living with a disability can cost anywhere from hundreds to thousands of dollars a year on top of regular living expenses, and many people go without aids, medication, or other needs as a result. About 26% of people with disabilities in Canada, over 1.6 million people, report unmet needs because of cost.3 That gap is exactly what the DTC and related programs are meant to help narrow. If a shortfall ever pushes you toward borrowing while you wait on a refund, a CRA tax loan is one way to bridge it, though it is worth weighing the cost against lower-interest options first.
Final Thoughts
The DTC is a genuinely useful tool if you have a severe disability or support someone who does. It eases the tax you owe, it can pay out years of back-refunds if you qualified in the past, and it unlocks other programs that add up to real relief. If there is any chance you or a family member qualifies, it is worth the application, because the biggest mistake is assuming you do not qualify and never applying.
Disability Tax Credit FAQs
Yes. If you qualified in the past but did not claim the disability amount, you can ask the CRA to go back up to 10 years. That can result in a large one-time refund, depending on how many years you qualified and how much tax you paid.
The federal disability amount you claim is $10,138 for an adult in 2025, but that is not what you receive. Because it is a non-refundable credit, the federal savings are about 15% of that (roughly $1,500), plus a provincial credit. All in, most approved adults save around $1,500 to $2,000 a year, and closer to $3,200 in Alberta.
Yes. Eligibility is based on how your impairment affects daily life, not on your job or income, so there is no income limit and working does not disqualify you. You just need some taxable income to use the credit, or you can transfer it to a family member who supports you.
It can. ADHD may qualify if it causes a marked restriction in mental functions that is severe and lasts at least 12 months. Milder cases may not meet the bar. It comes down to how much the condition limits daily activities, not the diagnosis itself.
Autism often qualifies, because it can significantly affect mental functions and daily living. As with any condition, approval depends on how severely it restricts everyday activities, as certified by a medical practitioner.
Usually not on its own. Sleep apnea rarely meets the “markedly restricted” bar by itself, though it may contribute if it combines with other significant limitations. Each application is assessed on how the conditions together affect daily functioning.
If you have never worked, you have not paid income tax, so there is nothing for a non-refundable credit to reduce. However, you may be able to transfer the credit to a family member who supports you and pays tax.
If your condition improves so that you no longer meet the criteria, you must let the CRA know. That said, you may still be able to claim past years if your impairment was continuously present for at least 12 months at some point in the last 10 years.
References
- Canada Revenue Agency. (2025). Line 31600, Disability amount for self. Government of Canada. https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/deductions-credits-expenses/line-31600-disability-amount-self.html
- Canada Revenue Agency. (2025). Disability tax credit (DTC). Government of Canada. https://www.canada.ca/en/revenue-agency/services/tax/individuals/segments/tax-credits-deductions-persons-disabilities/disability-tax-credit.html
- Statistics Canada. (2023). Canadian Survey on Disability, 2017 to 2022. Government of Canada. https://www150.statcan.gc.ca/n1/daily-quotidien/231201/dq231201b-eng.htm
- Canada Revenue Agency. Disability Tax Credit statistics. Government of Canada. https://www.canada.ca/en/revenue-agency/programs/about-canada-revenue-agency-cra/income-statistics-gst-hst-statistics/disability-tax-credit-statistics.html
- Canada Revenue Agency. (2025). Disability-related information (RC4064). Government of Canada. https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/rc4064/disability-related-information.html
- Employment and Social Development Canada. (2025). Canada disability benefit. Government of Canada. https://www.canada.ca/en/services/benefits/disability/canada-disability-benefit.html
- Canada Revenue Agency. (2025). Child disability benefit. Government of Canada. https://www.canada.ca/en/revenue-agency/services/child-family-benefits/child-disability-benefit.html
