Medical expense tax credit: what qualifies in Canada

What the credit does and how the threshold works

The medical expense tax credit is a non-refundable credit. You total the eligible expenses, subtract a threshold, and the remainder is the amount used to calculate the credit. The threshold is the lesser of 3% of your net income and a fixed dollar amount that CRA adjusts for inflation each year.

CRA’s indexation table shows the fixed amount as $2,890 for 2026, up from $2,834 for 2025. The 3% test is the lower one when net income is under roughly $96,000, so for most people a lower net income means a lower threshold. Confirm the figure again when you file in 2027, since it is indexed each year.

The 12-month period you can choose

You are not limited to January through December. CRA allows eligible expenses paid in any 12-month period ending in the tax year, provided you did not already claim them for the previous year. So a claim for 2026 could cover expenses paid from, for example, October 2025 to September 2026, or any other 12 months that end in 2026.

This matters when costs fall across two calendar years. Because only the amount above the threshold counts, a period that gathers more of your larger expenses can give a better result. Add up the expenses for a few candidate periods, then pick the one that works best. Whatever you claim in one year cannot be claimed again in the next.

Common eligible expenses

CRA publishes a list of common medical expenses. It is not exhaustive, and it shows whether an item needs a prescription, written certification or an approved Form T2201. Items listed as eligible include medical services from doctors and other practitioners, dental services, dentures and implants, orthodontic work, prescription drugs, eyeglasses and contact lenses with a prescription, laser eye surgery, hearing aids, ambulance service, hospital services, laboratory tests, and premiums paid to private health services plans.

Medical devices and equipment can qualify too, such as CPAP machines, insulin and injection pens, wheelchairs, walking aids and mobility equipment. Several of these require a prescription. A few items, such as attendant care or cosmetic surgery, are marked “see details” because the answer depends on the circumstances. Check the current list for the specific item before you rely on it.

Common expenses that do not qualify

CRA’s list marks several everyday health-related costs as not eligible. These include gym and fitness club fees, over-the-counter medications, supplements and vitamins, organic food, blood pressure monitors, radon testing, and non-prescription birth control devices. Premiums for provincial or territorial health care plans are also not eligible. Neither are health plan premiums paid by an employer that were not included in your income.

Cosmetic procedures done solely for appearance, such as liposuction, filler injections or teeth whitening, are not eligible. Vitamin B12 is a reminder that the list can be specific: it is eligible with a prescription, while general supplements are not. If an item is not on the list, the CRA folio on the credit is the next place to look, and an accountant can help with grey areas.

Reimbursements and who paid

The expense generally must be one you or your spouse or common-law partner paid. You can claim only the part that neither you nor anyone else has been or will be reimbursed for, for example under a private health services plan or an insurance plan. The exception is a reimbursement that is included in income, such as a benefit shown on a T4, and not deducted elsewhere on the return.

If your insurer covers 80% of a dental bill, only the portion you actually bear is a candidate for the claim. Keep the claim statement from the plan alongside the receipt. Employer-paid premiums that were not included in your income are not claimable, but premiums you paid yourself to a private health services plan are listed as eligible.

Claiming for a spouse and dependants

There are two separate claims. Line 33099 covers eligible expenses for you, your spouse or common-law partner, and your or their children who were under 18 at the end of the year. You can combine them in one total.

Line 33199 covers other dependants who relied on you for support, such as children 18 or older, grandchildren, and certain relatives who were residents of Canada at some point in the year, including parents, grandparents, siblings, aunts, uncles, nieces and nephews. That claim is worked out separately for each dependant, and the 3% is based on the dependant’s net income. Provincial credits are claimed separately on the provincial form.

Either spouse can claim the family’s expenses. CRA notes it can be better for the spouse with the lower net income to claim, because the threshold is lower. As an illustration only, using the 2025 fixed amount: if one spouse has net income of $40,000, the threshold is $1,200, and if the other has $60,000, it is $1,800. On $5,000 of expenses, the lower-income spouse could claim $3,800 rather than $3,200. Other credits can change the outcome, so test both returns.

Travel and attendant expenses

Travel to get medical care can qualify, but there are conditions. CRA’s folio describes a 40-kilometre test for transportation by a commercial provider, and an 80-kilometre test for other reasonable travel expenses such as meals, accommodation and parking. In both cases, equivalent services must not be available locally, the route must be reasonably direct, and the trip must be reasonable in the circumstances. Travel under 40 km is not eligible.

When you drive instead, CRA allows reasonable vehicle expenses if a commercial transport provider is not readily available. A person accompanying the patient may be included if a medical practitioner certifies in writing that the patient cannot travel without an attendant. Keep lodging and parking receipts, and a log of dates, distances and the reason for the trip.

Receipts, records and when to ask for help

You do not send receipts with your return, but keep them in case CRA asks, including when you file online. CRA’s folio says a receipt should show the purpose and date of payment, the patient, and the practitioner who gave the service or prescribed the purchase. A cancelled cheque is not accepted in place of a proper receipt. Where the list calls for it, keep the prescription or the practitioner’s written certification, and a CRA-approved Form T2201 if one is needed.

A simple routine works well: keep a folder or spreadsheet by patient, record the date, payee and amount, and note any insurer reimbursement. For a person who died, CRA allows expenses paid in any 24-month period that includes the date of death. If your situation involves attendant care, a disability claim, travel or a deceased person, raise it with your accountant before you file. Our personal tax checklist lists the other items to bring.