# Medical expenses tax credit: the threshold, the 12-month window and what counts

Source: https://canadataxdesk.com/credits-deductions/medical-expenses-tax-credit
Publisher: Canada Tax Desk (canadataxdesk.com), independent editorial site
Topic: Credits and Deductions
Last updated: 2026-10-20

> The medical expenses tax credit lets you claim eligible health costs above the lesser of 3% of your net income or $2,890 for 2026 returns ($2,834 for 2025), for any 12-month period ending in the tax year. The claim goes on line 33099 for you, your spouse and minor children, and line 33199 for other dependants, and is worth 14% federally for 2026.

## Key facts

- Threshold, 2025 returns: Lesser of 3% of net income or $2,834
- Threshold, 2026 returns: Lesser of 3% of net income or $2,890 (CRA 2026 indexed amount)
- Return lines: 33099 (you, spouse, children under 18) and 33199 (other dependants)
- Claim period: Any 12 months ending in the tax year; 24 months for a deceased person
- Refundable supplement, 2025: Line 45200; working income of $4,390 or more and family net income under $63,374

## How does the medical expenses tax credit work?

The medical expenses tax credit is a non-refundable federal credit for health costs you paid that no plan reimbursed. You add up eligible expenses for a 12-month period, subtract a threshold, and the rest becomes a credit amount on Schedule 1. For the 2026 tax year the federal credit is 14% of that amount; for 2025 it was 14.5% (CRA, tax rates and brackets).

Every province and territory has a matching medical expense credit at its own rate, calculated on its own provincial form. Tax software works out both from the same list of receipts.

The medical expenses tax credit is the claim the CRA reviews most often after filing, so the way you document it matters as much as the arithmetic. The rest of this guide covers the threshold, what counts, the 12-month choice, family claims and the refundable supplement for low-income workers.

## What is the 3% rule for medical expenses?

You can only claim the part of your medical expenses that is above the lesser of 3% of your net income (line 23600) or a fixed dollar amount, which is $2,834 for 2025 returns (CRA, lines 33099 and 33199). The dollar cap only matters above about $94,467 of net income, where 3% reaches $2,834. Below that, 3% of net income is the threshold.

| Net income (line 23600) | 3% of net income | Threshold used | Expenses needed before any credit |
| --- | --- | --- | --- |
| $25,000 | $750 | $750 | More than $750 |
| $50,000 | $1,500 | $1,500 | More than $1,500 |
| $75,000 | $2,250 | $2,250 | More than $2,250 |
| $94,467 | $2,834 | $2,834 | More than $2,834 |
| $150,000 | $4,500 | $2,834 (cap) | More than $2,834 |

Medical expense threshold at different net incomes, 2025 returns

### Medical expenses tax credit 2026: the threshold is $2,890

For 2026 returns, the dollar threshold is $2,890, according to the CRA's table of indexed amounts for 2026, so you can claim expenses above the lesser of 3% of net income or $2,890. That cap starts to matter above about $96,333 of net income, where 3% reaches $2,890. The CRA will also print the figure in the 2026 T1 package, usually released in January 2027.

### A worked medical expenses tax credit calculation

Priya has 2026 net income of $52,000 and paid $4,100 for dental work, prescription glasses and physiotherapy that her insurance did not cover. Her threshold is 3% of $52,000, which is $1,560. Her credit amount is $4,100 minus $1,560, or $2,540, and the federal credit is $2,540 x 14% = $355.60, before her provincial credit.

## What medical expenses can I claim in Canada?

Eligible expenses are those the CRA lists, paid to a licensed practitioner, a hospital or a pharmacy, or for a prescribed device. Examples on the CRA page include prescription drugs, dental services, hearing aids, wheelchairs and crutches, artificial limbs, hospital beds, catheters, nursing care, ambulance fees, laser eye surgery and physiotherapy. Premiums you paid to a private health or dental plan also count, including the employee share deducted from your pay.

| Usually eligible | Not eligible |
| --- | --- |
| Prescription drugs dispensed by a pharmacist | Over-the-counter medicines and vitamins |
| Dental work, including fillings and crowns | Teeth whitening and other cosmetic procedures |
| Prescription eyeglasses and contact lenses | Gym or fitness club fees |
| Hearing aids and batteries | Home blood pressure monitors |
| Private health plan premiums you paid | Provincial health plan premiums |
| Physiotherapy from a licensed practitioner | Organic or special food |

Common claims that pass and fail

### Travel for medical care

Travel costs count when the care is not available near home. If you travel at least 40 km each way you can claim public transportation costs such as bus or train fares. At 80 km or more you can also claim accommodation, meals and vehicle expenses, and the costs of one attendant if a practitioner certifies you cannot travel alone. Trips of less than 40 km do not qualify.

> **Do not claim the same cost twice:** Budget 2025 proposed that from the 2026 tax year an expense claimed as a medical expense cannot also be claimed under the [home accessibility tax credit](https://canadataxdesk.com/credits-deductions/home-accessibility-tax-credit). Until that was proposed, some renovation costs could be claimed under both. Treat the rule as proposed until the CRA confirms it.

## Which 12-month period can I use for medical expenses?

You can pick any 12 consecutive months that end in the tax year, as long as you did not claim those same expenses the year before. The period does not have to be January to December. For a person who died, the period can be any 24 months that include the date of death.

Choosing the window well can push you over the threshold. Suppose Marc paid $1,900 for a dental implant in July 2025 and $1,700 for orthotics and glasses in March 2026, with net income of $80,000 and a threshold of $2,400 (3% of $80,000; the 2026 cap of $2,890 is higher). Neither calendar year clears the threshold alone, but the period from July 1, 2025 to June 30, 2026 totals $3,600, so he claims $1,200 on his 2026 return, provided he left the July 2025 bill off his 2025 return.

1. List every receipt for the last two years with the date paid.
2. Try windows that end in each month of the tax year and total each one.
3. Pick the window with the highest total that does not reuse anything claimed last year.
4. Note the start date of the window so next year's claim starts after it.

## Can I claim medical expenses for my family?

Yes. Line 33099 covers you, your spouse or common-law partner, and your or your partner's children who were under 18 at the end of the year, all pooled together with one threshold. Line 33199 covers other dependants who relied on you: children 18 or older, grandchildren, and parents, grandparents, brothers, sisters, aunts, uncles, nieces or nephews who lived in Canada at any time in the year.

Each line 33199 dependant is calculated separately, with a threshold based on that person's own net income: the lesser of 3% of their net income or $2,890 for 2026 ($2,834 for 2025). Their expenses cannot be combined with anyone else's.

### Which spouse should claim?

Either partner can claim the family's line 33099 expenses, and it is usually better for the one with the lower net income because 3% of a smaller income is a smaller threshold. Check that the lower earner actually owes tax, because the credit is non-refundable and is lost if their tax is already zero. Because net income drives the threshold, see [line 23600 net income](https://canadataxdesk.com/tax-slips/line-23600-net-income) for what lowers it.

If the family member also supports someone with a severe impairment, look at the [Canada caregiver credit](https://canadataxdesk.com/credits-deductions/canada-caregiver-credit) and the [disability tax credit](https://canadataxdesk.com/disability-tax-credit) as well. Attendant care claimed as a medical expense can limit what else is claimed, so compare the options in software before filing.

## What is the refundable medical expense supplement?

The refundable medical expense supplement on line 45200 is a separate refundable credit for working people with low income and high medical costs, paid even if you owe no tax. For 2025 you qualify if you were 18 or older at year end, lived in Canada all year, claimed medical expenses, had employment or self-employment income of $4,390 or more, and had adjusted family net income under $63,374 (CRA, line 45200).

The supplement shrinks as family income rises and disappears at the income limit. Software calculates it automatically once the medical claim and income are entered, so the main thing is to make sure both spouses' incomes are on file if you have a partner.

## How to claim the medical expenses tax credit with the CRA

Enter each expense in your tax software's medical expense section, with the patient, the payee and the amount. Do not send receipts with the return; keep them, because the CRA regularly asks for proof of medical claims in pre-assessment and post-assessment reviews.

- Each receipt should show the name of the company or practitioner paid, the patient, the date and the amount.
- Pharmacies and dental offices can print a yearly summary; ask for it in January.
- Keep your insurer's statements, since only the part you paid yourself can be claimed.
- For some devices and services, such as attendant care or certain equipment, keep the practitioner's prescription or certificate.

If you missed medical expenses on an earlier return, you can add them through Change my return in My Account or Form T1-ADJ; the claim is generally allowed for up to 10 previous years. The [tax credits and deductions guide](https://canadataxdesk.com/credits-deductions) lists other claims worth checking at the same time.

## Step by step

1. **Collect receipts.** Gather receipts and insurance statements for the last 24 months for you, your spouse, your children and any dependants.
2. **Remove reimbursed amounts.** Subtract anything your health or dental plan paid back, and set aside ineligible items such as over-the-counter drugs.
3. **Pick the 12-month period.** Choose the 12 consecutive months ending in the tax year that give the highest total and were not claimed last year.
4. **Choose who claims.** Usually the lower-income spouse claims family expenses on line 33099, provided they owe tax.
5. **Enter the claim.** Enter expenses in your software for line 33099 and each line 33199 dependant; the software applies the threshold and any line 45200 supplement.
6. **Keep proof.** Store receipts for six years and send copies only if the CRA asks in a review.

## Common questions

### Can I claim over-the-counter medication as a medical expense?

No. The CRA does not accept non-prescription drugs, vitamins or supplements, even if a doctor recommended them. Only drugs prescribed and recorded by a pharmacist qualify.

### Are dental expenses tax deductible in Canada?

Dental work is not a deduction, but it is an eligible medical expense for the non-refundable credit. Cosmetic work such as teeth whitening is excluded.

### Can I claim medical expenses paid by my insurance?

Only the part you paid yourself. If your plan reimbursed 80% of a bill, you can claim the 20% you covered, plus any plan premiums you paid personally.

### Is there a medical expenses tax credit calculator?

Tax software and the CRA's Schedule 1 do the calculation. To estimate by hand, subtract the lesser of 3% of net income or $2,890 (2026) from your total, then multiply the rest by 14% for 2026 federal tax.

### Can I claim medical expenses for my parents?

Yes, on line 33199, if they depended on you and lived in Canada at some point in the year. The threshold is based on the parent's own net income, not yours.

### Can I claim medical expenses from outside Canada?

Yes, if the expense would qualify in Canada and was paid to a qualified practitioner or hospital. Keep receipts translated or itemized so the CRA can check them.

## Sources

- [CRA, Adjustment of personal income tax and benefit amounts (2026)](https://www.canada.ca/en/revenue-agency/services/tax/individuals/frequently-asked-questions-individuals/adjustment-personal-income-tax-benefit-amounts.html)
- [CRA, Lines 33099 and 33199, eligible medical expenses](https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/deductions-credits-expenses/lines-33099-33199-eligible-medical-expenses-you-claim-on-your-tax-return.html)
- [CRA, Line 45200, refundable medical expense supplement](https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/deductions-credits-expenses/line-45200-refundable-medical-expense-supplement.html)
- [CRA, Budget 2025 select measures](https://www.canada.ca/en/revenue-agency/programs/about-canada-revenue-agency-cra/federal-government-budgets/budget-2025-cra-information-select-measures.html)
- [CRA, Tax rates and income brackets, current year](https://www.canada.ca/en/revenue-agency/services/tax/individuals/tax-rates-brackets/current-year.html)