What to take away
- For 2026, the federal age amount is $9,208 and is available in full when net income is $46,432 or less; it is reduced above that.
- The Ontario energy and property tax credit and the senior homeowners’ property tax grant are requested on Form ON-BEN with your return, not claimed automatically.
- Net income drives most of these rules, so how you draw income from savings, a pension or a corporation can change what you receive.
Credits claimed on the return and payments you receive
It helps to separate two groups. The first are non-refundable credits that reduce the tax you owe when you file, such as the age amount and the pension income amount. If the credit is larger than your tax, the extra is not refunded. The second are Ontario payments that CRA delivers if your return shows you qualify, such as the Ontario energy and property tax credit and the Ontario sales tax credit.
The ages are not the same everywhere. The federal age amount starts at 65. Several of the Ontario programs use 64 as the senior threshold, measured on December 31 of the relevant year. If you are 64 or turning 65 this year, check each program separately instead of assuming one birthday applies to all of them.
The age amount
You generally qualify for the federal age amount if you are 65 or older on December 31 and your net income, the figure on line 23600, is below the ceiling. For 2026, CRA lists the amount as $9,208, available in full when net income is $46,432 or less. Above that, it is reduced using the chart on the federal worksheet until it disappears. Special rules apply if you went bankrupt or moved to or from Canada during the year.
Because the lowest federal rate for 2026 is 14%, a full claim is worth about $1,289 in federal tax. This is an illustration only: someone with net income of $40,000 would claim the full amount, while someone with $75,000 would claim a reduced amount and see a smaller credit. Ontario has its own age amount on Form ON428 at line 58080, with its own income thresholds. CRA’s published Ontario figures for 2025 were $6,223 at net income of $46,330 or less, so check the Ontario numbers for the year you are filing.
The pension income amount
The pension income amount is a second non-refundable credit that is often missed. In general, you claim it if you reported eligible pension or annuity income on lines 11500, 11600 or 12900. At 65 or older, income from a registered pension plan and, in most cases, RRIF income can qualify. For the 2025 return, CRA’s limit was $2,000 federally and $1,762 for Ontario, or less if your eligible income was lower, so confirm the figure for the year you file.
The list of what does not qualify is as important as the list of what does. Old Age Security, Canada Pension Plan benefits, death benefits and retiring allowances are not eligible, and neither are amounts moved into an RRSP, another RRIF or an annuity. Someone whose only retirement income is CPP and OAS will not generate this credit. If you are considering a RRIF or annuity, ask how its payments will report before you plan around the credit.
Transferring credits between spouses
If you cannot use all of your age amount because your tax is low, you may be able to transfer the unused part to a spouse or common-law partner. In some cases you can claim all or part of theirs instead. The transfer is made on the return, so the decision involves two returns at once.
Pension income splitting can shift the numbers in either direction, because an elected split changes each spouse’s net income. That in turn changes how much of the age amount is reduced. Test the combinations before choosing; see our guide on pension income splitting for retirees for how the election works.
Ontario payments: what you apply for and what is automatic
Ontario programs are paid on a July to June cycle based on the prior year’s return. Payments from July 2026 to June 2027 rely on your 2025 return, and the Ontario Trillium Benefit is usually paid on the 10th of each month. If your yearly entitlement is more than $500, you could instead have chosen a single payment in June 2027 by ticking box 61060 on Form ON-BEN, but that choice is made only when you first file the return and has to be repeated each year.
The Ontario sales tax credit needs no application; CRA works it out from your return. If you or your spouse is 64 or older, the amount may be worked out using a seniors’ income threshold. The Ontario energy and property tax credit, which helps with rent, property tax and in some cases energy costs, is requested on Form ON-BEN. If only one spouse is a senior, that spouse applies for the family. Owners aged 64 or older who paid property tax on their home may also apply for the Ontario senior homeowners’ property tax grant on the same form; CRA lists the maximum as $500.
Credits that are not age-based but matter later in life
Several valuable claims depend on circumstances rather than birthdays. The medical expense credit is often larger in later life, and CRA lists the 2026 ceiling for the 3% net income test as $2,890; our article on what qualifies explains the 12-month period and records. The disability amount is $10,341 for 2026 and depends on being approved for the disability tax credit. The Canada caregiver amount can apply if you support an infirm spouse or relative.
Home safety work is a separate claim: the home accessibility tax credit can apply to qualifying renovations for people 65 or older. It is not repeated here, so see the article on that credit for what counts and the $20,000 annual limit.
When income reduces what you keep
Net income sits behind almost every figure above, so it is worth knowing what moves it. RRIF withdrawals, pension income, investment income and taxable dividends all count. Dividends are grossed up when reported, so net income can be higher than the cash you actually received, which matters if you run a corporation and pay yourself in dividends.
Old Age Security has its own recovery tax: 15% of income above a threshold, which CRA lists as $93,454 for 2025 income and $95,323 for 2026 income. It is a repayment, not a credit, but it follows the same income, so a year with a large withdrawal or a business sale can affect several benefits at once. Ask your accountant to model a few income levels before you decide when to draw.
What to bring and when to ask for help
Bring your last notice of assessment, all pension and retirement slips, your property tax bill or rent receipts, medical receipts with insurer statements, and any disability tax credit approval. If you own a corporation, bring its financial statements and a note of how you are paid. If you are married, bring your spouse’s return as well, since many of these choices are made across two returns.
The rules are generally straightforward for a single source of income. They get complicated when there are several, such as a corporate pension, rental income, RRIF withdrawals and a spouse who still works. That is the point at which a short planning conversation tends to save more than it costs.
Sources & editorial notes
Sources checked October 24, 2026. The examples are illustrative and provide general information. Discuss how the guidance applies to your circumstances with your accountant.
- Line 30100 – Age amountCanada Revenue Agency
- Pension income amountCanada Revenue Agency
- Old Age Security pension recovery taxGovernment of Canada
- Ontario trillium benefit questions and answersCanada Revenue Agency
- Province of Ontario: credits and benefitsCanada Revenue Agency
- CRA: Indexation adjustment for personal income tax and benefit amountsCanada Revenue Agency
- 2026 personal income tax rates and bracketsCanada Revenue Agency
- Lines 12000 and 12010 – Taxable amount of dividends (eligible and other than eligible) from taxable Canadian corporationsCanada Revenue Agency
Rules and guidance can change. Use the current official source and confirm the treatment for your facts. To flag an error, contact Sora.