The Home Accessibility Tax Credit (HATC): Getting Money Back on Accessibility Renovations
If you are 65+ or qualify for the Disability Tax Credit, part of the cost of grab bars, a walk-in shower, or a ramp can come back to you at tax time.
What is the Home Accessibility Tax Credit, and how much can it actually save?
The HATC is a federal non-refundable tax credit for people who are 65 or older, or who qualify for the Disability Tax Credit (DTC). The credit equals your qualifying accessibility-renovation expenses (capped at $20,000 per year) times the lowest federal personal income-tax rate — the Income Tax Act calls it the appropriate percentage. For the 2026 tax year that rate is 14%, so the most you get back is $2,800 per year ($20,000 × 14%). You claim it on Line 31285 of your return, calculated on Schedule 12. This article is general information, not tax advice — go by the CRA rules for your tax year and confirm with a licensed accountant.
Source: Income Tax Act (Canada), s. 118.041, 117(2), 248(1) (consolidated text current to 2026-06-14); CRA Line 31285 filing guidance (accessed July 2026)
I am Arthur Zhao. A situation I run into again and again when helping families think through downsizing or aging in place is this: a parent wants to keep living in the home they know, but the home needs grab bars, a walk-in shower, or a ramp at the front door. What many people miss is that a portion of that cost can come back to you at tax time as a credit. It is called the HATC. It is not complicated, but a few details — who can claim, what counts, where it goes on the return — trip people up, and getting them wrong means either leaving money on the table or scrambling for receipts when the CRA asks. Here is how it works, plus how it differs from a credit it is easy to confuse it with: the multigenerational renovation credit.
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ℹ️Disclaimer: this is general information, not tax, accounting, or legal advice. Amounts, rates, and line numbers change from year to year — go by the CRA rules for your tax year and consult a licensed accountant or tax professional before you file.
What the HATC is: $20,000 of expenses, credited at the lowest federal rate
The Home Accessibility Tax Credit is a non-refundable federal credit — meaning it reduces the tax you would otherwise owe, but if your tax payable for the year is small or nil, the unused portion is not paid out to you as a refund. A qualifying individual can claim up to $20,000 of eligible renovation expenses per year, and the credit is that amount times the lowest federal personal tax rate. For the 2026 tax year the lowest rate is 14%, so the most it returns is $2,800 a year ($20,000 × 14%). (Note: the 2025 tax year uses a transitional blended rate because the lowest federal rate was cut mid-year — confirm the exact figure with an accountant or the CRA.) The $20,000 expense ceiling has applied since the 2022 tax year, up from $10,000.
Who counts as a «qualifying individual»
The credit is built around a «qualifying individual», and you meet that test if either: (1) you are 65 or older at the end of the tax year; or (2) you were eligible for the Disability Tax Credit at any time in the year. That second route usually means an approved Form T2201 (the DTC certificate) on file with the CRA. The age route needs no medical certification at all — turning 65 is enough on its own.
Who can actually claim it
The person who puts the expense on their return is not always the senior. Eligible claimants include the qualifying individual, their spouse or common-law partner, and a supporting relative who claimed (or could have claimed) certain dependant credits for that person. So if you paid for renovations for a parent you support, that expense may belong on your return. Where more than one person shares the same dwelling in the same year, the combined claim still cannot exceed $20,000 for that dwelling.
What counts — and what does not
ℹ️Two details people miss: the contractor must be GST/HST-registered — work done by a related, unregistered person is generally not eligible; and your own labour and any tools you buy cannot be included.
💡 My own read: the real value of the HATC is usually not the $2,800 ceiling itself — it is that it lets you recover part of an accessibility renovation you were going to do anyway, in a structured way, through your return. Which means the decisive move happens before the work starts: get proper invoices, write down each contractor’s GST/HST number, and keep dated records of what was done. Discovering at tax time that the paper trail is thin is how the credit slips away.
Confirm eligibility and the year
Keep every receipt and the contractor details
Calculate on Schedule 12, claim on Line 31285
Do not confuse it with the MHRTC
Can it stack with the medical or Ontario credits?
Three points on how the HATC interacts with other credits. (1) Medical Expense Tax Credit (METC): the Income Tax Act used to expressly authorize claiming the same expense under both the HATC and the medical expense credit (former ITA 118.041(4)). That authorizing provision has now been repealed by S.C. 2026, c. 3, s. 42 — the double-claim room is closed. (2) Ontario provincial programs: Ontario’s Seniors Home Safety Tax Credit applied only to the 2021 and 2022 tax years and has ended; there is currently no Ontario provincial accessibility-renovation credit that parallels the HATC, though the refundable Ontario Seniors Care at Home Tax Credit helps lower-to-moderate-income seniors with certain home medical costs under separate rules. (3) Which tax year the repeal starts: the consolidated statute notes that application provisions are not included in the consolidated text, so confirm the effective tax year with the CRA or a licensed accountant. Confirm any stacking before you file.
⚠️The stacking rule has tightened (time-sensitive): the provision that used to let you claim the same expense under both the HATC and the medical expense credit (former ITA 118.041(4)) has been repealed by S.C. 2026, c. 3, s. 42 — this is enacted law, not a budget proposal. However, the consolidated statute states that application provisions are not included, so exactly which tax year the repeal takes effect still needs confirming — check with a licensed accountant or the CRA before you rely on it.
- PRIMARY — Income Tax Act s. 118.041: HATC = A×B; A = appropriate percentage; B = lesser of $20,000; 118.041(4) repealed by 2026, c. 3, s. 42
- PRIMARY — Income Tax Act s. 117(2)(a) and 248(1): appropriate percentage = lowest 117(2) rate; after-2024 lowest rate = 14%
- PRIMARY — Income Tax Act s. 122.92: MHRTC = A×B; $50,000 expense limit; refundable
- CRA — Line 31285 Home accessibility expenses (filing guidance; canada.ca was unreachable by the fetch tool this session, not read directly)
- CRA — Line 45355 Multigenerational home renovation tax credit (filing guidance)
- TaxTips.ca — Home Accessibility Tax Credit ($10,000→$20,000 increase in 2022; eligible/ineligible expenses)
- Ontario.ca — Ontario Seniors Care at Home Tax Credit; Seniors Home Safety Tax Credit (2021–2022 only, ended)
Frequently Asked Questions
If I am over 65 and add grab bars and a walk-in shower, roughly how much comes back?
The credit equals your eligible expenses (capped at $20,000 per year) times the lowest federal personal tax rate. For the 2026 tax year that rate is 14%, so the maximum is $2,800 a year. On $10,000 of eligible work, the credit is about $1,400 ($10,000 × 14%). It is non-refundable, so it reduces the tax you owe for the year. (The 2025 tax year uses a transitional blended rate — confirm with an accountant.) Your actual amount depends on your return and the CRA rules for that year.
My parent lives in the home — can I claim the money I spent on their renovation?
Possibly. Eligible claimants are not just the senior — they also include the spouse or common-law partner, and a supporting relative who claimed (or could have claimed) certain dependant credits for that person. Whether it applies to your situation is worth confirming with an accountant.
Can I claim the same invoice under both the HATC and the medical expense credit?
It used to be allowed — the Income Tax Act expressly authorized it (former ITA 118.041(4)) — letting the same expense be claimed under both. But that authorizing provision has been repealed by S.C. 2026, c. 3, s. 42, closing the double-claim room; which tax year the repeal starts from should be confirmed with the CRA or an accountant.
Do portable ramps or removable grab bars qualify?
Usually not. The HATC requires the work to be enduring and integral to the home. Portable ramps, temporary steps, and non-fixed equipment generally do not qualify; permanently installed ramps, widened doorways, and fixed grab bars do.
Does Ontario have its own accessibility renovation credit?
Ontario’s Seniors Home Safety Tax Credit applied only to the 2021 and 2022 tax years and has ended. There is currently no Ontario provincial accessibility-renovation credit parallel to the HATC, though the refundable Ontario Seniors Care at Home Tax Credit helps lower-to-moderate-income seniors with certain home medical costs under separate rules.
Arthur Zhao
Real Estate Broker · FRI · ABR · SRS · PSA · MCNE · E-PRO · CLHMS & GUILD Elite · REAIS
VP & Branch Manager, Bay Street Group Inc.
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