Children's Fitness Tax Credit
Beginning with the 2016 tax year eligible fitness expenses paid by parents to register a child in a prescribed program of physical activity are now a refundable credit. The refundable credit is calculated at 15% of the eligible fitness expenses. This credit will be eliminated for the 2017 tax year
- You may claim to a maximum of $500 per child under the age of 16 for the Child Fitness Credit for a prescribed program of physical activity.
- If a child qualifies for the disability tax credit, parents can claim up to $500 per year in eligible fitness expenses paid for the child who is under 18 years of age at the beginning of the year. Also, if at least $100 in eligible fitness expenses has been paid for the child, an additional amount of $500 can be added to the eligible fitness expenses actually incurred.
Prescribed programs of physical activity:
An eligible fitness expense must be:
- for the cost of registration or membership of an eligible child in a prescribed program of physical activity. The program must:
- be ongoing (either a minimum of eight consecutive weeks long or, for children's camps, five consecutive days long);
- be supervised;
- be suitable for children; and
- include a significant amount of physical activity that contributes to cardio-respiratory endurance, plus one or more muscular strength, muscular endurance, flexibility, or balance.
- if the child is eligible for the disability tax credit, activities that result in movement and in an observable use of energy in a recreational context.
An ineligible activity:
- an activity for which a child rides on, or in, a motorized vehicle as an essential part of the activity does not qualify for the children’s fitness tax credit.
Remember to ask for a RECEIPT…