Guidepost

Federal Benefits

Disability Tax Credit (DTC)

The DTC is a non-refundable tax credit that reduces income tax for Canadians with severe and prolonged physical or mental impairments. It can also unlock the Child Disability Benefit and the RDSP.

Not tax or legal advice

This guide is for general information only. Consult a tax professional or contact CRA directly for advice specific to your situation.

Get My DTC Application Package — $24

T2201 guide, eligibility checklist, practitioner letter, and CRA cover letter — ready to download.

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What is the DTC worth?

For 2024, the federal DTC amount is $9,872. At a 15% federal tax rate, this is worth up to $1,481 in federal tax savings per year. Provinces have their own DTC amounts on top of the federal credit.

$9,872

Federal DTC Amount

2024 tax year (indexed annually — verify current amount at canada.ca/taxes for the tax year you are filing)

~$1,481/yr

Max Federal Saving

at 15% federal rate

Up to 10 years

Retroactive Claims

if newly approved

Eligibility — qualifying impairments

The impairment must be severe (markedly restrict the activity) and prolonged (has lasted or is expected to last 12+ consecutive months).

Vision

Visual acuity of 20/200 or less in the better eye, or visual field of 20 degrees or less.

Speaking

Unable to speak in a way that is understood by others, or takes 3x the time of someone without the impairment.

Hearing

Unable to hear spoken words in a quiet setting, or takes 3x the time.

Walking

Unable to walk without using aids, or takes 3x the time — even with aids.

Eliminating (Bladder/Bowel)

Takes 3x the time of someone without the impairment, or requires assistance.

Feeding

Unable to feed oneself, or takes 3x the time — not including time to prepare meals.

Dressing

Unable to dress oneself, or takes 3x the time — including putting on/taking off prostheses.

Mental Functions

Marked restriction in memory, problem solving, goal setting, or judgement, or significantly altered perception of time/place.

CRA applies a high bar: a diagnosis of depression, anxiety, or ADHD alone does not automatically qualify. CRA requires a 'marked restriction' present 90%+ of the time. Document specific functional limitations — not just the diagnosis.

Life-Sustaining Therapy

Requires therapy at least 3 times per week, averaging 14+ hours/week, to sustain a vital function (e.g. dialysis, Type 1 diabetes requiring multiple daily insulin injections or insulin pump therapy). Note: Type 2 diabetes managed with oral medications or insulin alone typically does not qualify under this category — consult a tax professional.

CGM/automated insulin delivery users: CRA guidance (Income Tax Folio S1-F1-C3) indicates automated systems may reduce manual therapy time below the 14-hour/week threshold. Document all insulin management time carefully and consult a tax professional before submitting.

Cumulative Effect

Significant restriction in 2 or more of the above functions (each restriction doesn't have to be severe alone).

How to apply — step by step

  1. 1

    Check eligibility

    Review the CRA's list of qualifying conditions. A medical practitioner must certify your impairment.

  2. 2

    Get T2201 form

    Download from CRA's website or use our package generator. Part A is completed by you; Part B by your medical practitioner.

  3. 3

    Medical practitioner completes Part B

    This can be a doctor, nurse practitioner, optometrist, audiologist, occupational therapist, physiotherapist, psychologist, or speech-language pathologist — depending on the impairment type.

  4. 4

    Submit to CRA

    Mail or submit online via My Account. Do not include with your tax return — T2201 is submitted separately.

  5. 5

    CRA reviews and certifies

    CRA may take 8–16 weeks to process. If approved, CRA notifies you and your tax account is updated automatically.

  6. 6

    Claim on your tax return

    Once approved, claim the DTC on line 31600 (for yourself) or line 31800 (transferred from a dependant).

Related benefits unlocked by DTC approval

Child Disability Benefit (CDB)

Up to $3,173/year (2024) for families caring for a child under 18 with an approved DTC. Paid as part of the Canada Child Benefit.

Registered Disability Savings Plan (RDSP)

Long-term savings plan with government matching grants (CDSG up to $3,500/year) and bonds (CDSB up to $1,000/year) for low-to-moderate income earners.

Working Income Tax Benefit (Canada Workers Benefit)

A supplementary disability supplement is available for eligible DTC holders who have earned income.

Provincial Credits

Most provinces have their own disability tax credits that stack on top of the federal amount. Amounts vary by province.

Retroactive claims

If you have a disability that qualified in prior years but you never applied, CRA allows you to request adjustments for up to 10 prior tax years once approved. This can result in significant refunds. Ask CRA or your tax preparer about filing T1-ADJ (T1 Adjustment Request) for affected years.

Generate your T2201 preparation package

A pre-filled T2201 cover letter, eligibility checklist, and what to tell your doctor — ready to download.

Get My DTC Package →

Last updated: June 2026 · Sources: CRA T2201 Guide (canada.ca/disability-tax-credit), Income Tax Folio S1-F1-C3, Canada Child Benefit (canada.ca).