Calculating the Tax Credit for Childcare Expenses
To calculate the tax credit for childcare expenses, multiply your qualifying expenses by the tax credit rate for your family income.
Qualifying expenses
The amount of your qualifying expenses is the lesser of the following:
- your childcare expenses that qualify for the credit for the year
- the childcare expense limit
Childcare expense limit
The childcare expense limit varies depending on the age and status of the child for whom you incurred childcare expenses. For the 2025 taxation year, the limit is:
- $16,800 for an eligible child with a severe and prolonged impairment in mental or physical functions (as defined for purposes of the amount for a severe and prolonged impairment in mental or physical functions), regardless of the child's age
- $12,275 for an eligible child without a severe and prolonged impairment in mental or physical functions who is under seven on December 31
- $6,180 for an eligible child without a severe and prolonged impairment in mental or physical functions who is 7 or older on December 31 but under 16 at some point in the year or has a mental or physical impairment
Severe and prolonged impairments in mental or physical functions must be certified using form TP-752.0.14-V, Certificate Respecting an Impairment. Alternatively, you can submit a copy of federal form T2201, Disability Tax Credit Certificate, unless you are required to provide certification that, due to a chronic disease (other than type 1 diabetes), the child undergoes therapy at least twice a week that is essential to the maintenance of one of their vital functions and that requires at least 14 hours per week.