Non-refundable tax credits for medical expenses

Under the personal income tax system, households are entitled to claim non-refundable tax credits for medical expenses.

There are three non-refundable tax credits for medical expenses:

• a 20% tax credit for medical expenses, where the medical expenses eligible for the credit are equal to that portion of expenses exceeding 3% of family income;
• a 20% tax credit for expenses relating to medical care not available in the area of residence;
• a 20% tax credit for moving expenses relating to medical care.

Currently, only taxpayers who file under the general tax system are eligible for this measure.

As of 2003, these credits will also be made available to taxpayers who use the simplified tax system.

Over 260 000 households will thus benefit from tax cuts of $49 million, for an average reduction of $188.