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Line 365 Federal Children's Fitness Amount Tax
Reduced for 2016, eliminated for 2017 taxation year
Income Tax Act s. 118.03, Regulations s. 9400
2016 Budget proposes to reduce the 2016 Children's Fitness Amount Tax Credit
to $500 from $1,000, and eliminate the tax credit for 2017 and subsequent
years. The additional tax credit for a child with a disability will remain
at $500 for the 2016 taxation year.
There is a federal refundable tax credit (non-refundable
for 2014 and earlier years) available to individuals for registration and membership costs of up to
$500 per child ($1,000 for 2014/15, $500 for 2007 to 2013
taxation years), not indexed for inflation.
A refundable tax credit is available even if no income tax has been paid - if it
exceeds taxes payable, it will be refunded to the taxpayer. This tax credit has been available since
the 2007 taxation year.
October 9, 2014, the federal government announced in a news
release that the amount that can be claimed under this credit for 2014 and
subsequent years is doubled to $1,000 per child, and that the credit is refundable effective for the
2015 and subsequent
taxation years. See above for change re 2016.
The tax credit is available for registration and membership costs
for prescribed programs of physical activity for their children who are,
at the beginning of the taxation year
under 16 years of age, or
under 18 for a child with a disability (i.e., when any
person is able to claim a disability amount tax credit for the child on
line 318 of the federal tax return)
The tax credit is calculated using the lowest tax rate of
15%, so the maximum tax
credit per child for 2014 and later years will be $150 (previously $75).
tax credit is available to an individual for a child with a disability. The additional
credit will be $500 x the lowest tax rate, if the total of eligible fitness costs
for that child in the year is $100 or more. This brings the maximum tax
credit to $150 for a child with a disability. There is no change to this
additional amount for 2014, so the maximum for a child with a disability in
2014 and later years will be $1,500.
Example of calculation of child fitness tax credit for 2014
and 2015, refundable in 2015:
Total cost for prescribed programs for the child
Child fitness tax credit @15% to maximum
Additional tax credit for child with disability $500 x 15%
Total tax credit for child with disability
The tax credit may be claimed by either spouse, or
apportioned between them.
A prescribed program of physical activity includes the
following, which are not part of a school's curriculum:
a weekly program of 8 or more consecutive weeks in which
all or substantially all of the activities include a significant amount of
a program of 5 or more consecutive days, if more than
50% of the daily activities include a significant amount of physical activity;
a program of 8 or more consecutive weeks, offered to
children by an organization where participants in the program may select
from a variety of activities if
more than 50% of the activities include a
significant amount of physical activity, or
more than 50% of the time scheduled in the program
is scheduled for activities that include a significant amount of
membership in an organization for 8 or more consecutive
weeks if more than 50% of the activities offered to children by the
organization include a significant amount of physical activity
for a program of 8 or more consecutive weeks, which does
not meet the 50% requirement of (c) above, offered to children by an
organization where participants in the program may select from a variety of
activities, the portion
that is the percentage of those activities that include a
significant amount of physical activity, or
that is the percentage of time scheduled in the program
that is scheduled for activities that include a significant amount of
for membership in an organization for 8 or more
consecutive weeks, where the 50% requirement of (d) above is not met, the
portion of membership that is the percentage of all the activities
offered to children by the organization that are activities that include a
significant amount of physical activity
Physical activity means a supervised activity suitable
for children (other than an activity where a child rides on or in a motorized
vehicle as an essential component of the activity) that
in the case of a child with a disability, results in
movement and in an observable expenditure of energy in a recreational
in the case of any other child, contributes to
cardio-respiratory endurance and to one or more of the following:
Horseback riding is deemed to be included in the above
definition of physical activity.
Any costs which qualify as child
care costs must first be claimed as child care costs, with the remainder of
eligible costs then claimed through the fitness credit.
Yukon has the same non-refundable child fitness tax credit as the
federal tax credit, with the only difference being the tax rate applied.
also provides the additional tax credit for a child with a disability. The
Yukon Child Fitness Credit also became refundable in 2015.