Ontario Health & Disability Credits (2025 Guide)

Key Ontario Health & Disability Benefit Programs

• Ontario Disability Support Program (ODSP): Monthly income and health benefits for eligible Ontarians with disabilities. ODSP is not a tax credit, but impacts eligibility for some credits.
• Disability Tax Credit (DTC): A non-refundable federal tax credit—Ontario harmonizes its own DTC with the federal program, providing additional provincial relief. Eligibility unlocks other credits (RDSP, caregiver credits).
• Medical Expense Tax Credit: Claim eligible medical expenses paid for yourself, a spouse/common-law partner, or dependants. Includes many out-of-pocket health costs.
• Assistive Devices Program (ADP): Ontario program that helps cover the cost of assistive equipment (wheelchairs, hearing aids, etc.). Not a tax credit, but can reduce medical expense claims.
• Caregiver Tax Credits: For those supporting a spouse, child, or dependant with a disability (including the Canada Caregiver Credit and Ontario equivalents).
• Other Provincial Supports: Home accessibility tax credit, home modification grants, transit credits (where available), and municipal programs.

Ontario Disability Support Program (ODSP)

ODSP provides financial assistance to people with disabilities who have limited income and assets. Benefits include:

• Monthly income support
• Prescription drug, dental, vision, and health-related benefits
• Additional supports for children under 18

• Be an Ontario resident, 18 or older
• Have a substantial physical or mental disability expected to last at least a year
• Meet ODSP's income and asset limits (varies by family size)
• Must provide a Disability Determination Package completed by a qualified medical professional

1. Contact your local ODSP office or apply online via Ontario.ca
2. Complete the application and Disability Determination Package
3. Submit required documents (ID, proof of residency, income/assets, medical forms)
4. Await decision (can take several weeks to months)

• Keep copies of all applications, benefit statements, medical assessments for future reference and for tax purposes

Note: ODSP is income-tested and may impact eligibility for other credits. Learn more at Ontario.ca.

Example:

• Paul, single and living in Toronto, has a disability that prevents him from working. He applies for ODSP and is approved, receiving $1,308/month (2025), plus prescription and dental coverage. He also remains eligible for the Disability Tax Credit and Trillium Benefit.

Disability Tax Credit (DTC) and Ontario

The Disability Tax Credit is a federal credit, but Ontario applies a matching provincial credit. Eligibility requires a qualified medical practitioner to certify that you have a severe and prolonged impairment. DTC approval unlocks:

• Federal and Ontario DTC amounts (reduces your taxes directly)
• Canada Caregiver Credit & Ontario equivalents
• Registered Disability Savings Plan (RDSP) eligibility
• Retroactive claims for up to 10 years

1. Download CRA Form T2201 (Disability Tax Credit Certificate) from the CRA website
2. Have your doctor or qualified health professional complete the form
3. Submit T2201 to the CRA (by mail or via MyAccount)
4. If approved, claim the DTC on both your federal and Ontario tax returns (your tax software will do this automatically when you indicate DTC eligibility)
5. May transfer unused DTC to a supporting relative if the individual with the disability does not need the full credit

• Keep your Notice of Determination from the CRA, all medical forms, and any correspondence regarding DTC

Calculation Example:

• Sarah is approved for the DTC. Her Ontario DTC value for 2025 is ~$1,600 and the federal portion is ~$9,500. She earns $30,000 and owes tax, so these credits reduce her tax bill directly. If she owes less tax than the credit, she can transfer the unused portion to a supporting parent.

See our Disability Tax Credit Guide for step-by-step application help and tips.

Practical Scenario:

• Jasmin, a 10-year-old with a severe disability, is approved for the DTC. Her mother claims both the federal and Ontario DTC, the Child Disability Benefit, and is eligible for retroactive refunds for the past 4 years.

Medical Expense Tax Credit

Claim a wide variety of medical expenses not covered by insurance or government plans. Eligible expenses include:

• Prescription drugs, dental care, vision care, mobility aids
• Attendant care and nursing home fees
• Travel for medical treatment (if unavailable locally)
• Home modifications for accessibility
• Premiums paid for private health insurance
• Amounts paid for medical devices not reimbursed by ADP

• Expenses must be paid for yourself, your spouse/common-law partner, or eligible dependants
• Must not have been reimbursed by insurance or government programs

1. Collect all receipts and supporting documents showing payment, provider, and expense type
2. Total your eligible expenses for a 12-month period ending in the tax year
3. Claim the lesser of either 3% of your net income or a set dollar threshold (indexed annually) as the minimum deduction
4. Enter on the federal and Ontario portions of your return (tax software will calculate credits for you)

• Original receipts, statements, and proof of payment for each expense
• Any coverage statements from insurance or ADP showing unreimbursed amounts

Calculation Example:

• Susan paid $3,900 in unreimbursed medical expenses on a net income of $36,000. 3% of $36,000 is $1,080, so she claims $3,900 - $1,080 = $2,820 for the federal credit, and the same amount for the Ontario credit.

For more, see Medical Expense Tax Credits.

Practical Scenario:

• Ahmed, a senior with mobility issues, installs a wheelchair ramp ($8,000 not covered by ADP). He claims this as a medical expense and, as a senior, also qualifies for the federal Home Accessibility Tax Credit on the same expense.

Assistive Devices & Home Accessibility

The Ontario Assistive Devices Program (ADP) covers up to 75% of the cost of approved assistive devices for eligible residents. Devices include wheelchairs, hearing aids, prosthetics, and more. Receipts for out-of-pocket portions may be claimed as medical expenses.

• Ontario resident with a valid health card
• Have a long-term physical disability (6 months+)
• Device must be prescribed by an ADP-authorized health professional

1. Obtain a prescription from an ADP-authorized prescriber
2. Choose an ADP-registered vendor for the device
3. Vendor submits application to ADP for funding approval
4. Pay only your portion (usually 25%) and keep receipts

• Prescription, vendor invoice, and proof of payment for your portion
• ADP approval letter

The Home Accessibility Tax Credit (federal) and Ontario accessibility grants help cover renovations to improve mobility or access in your home. See local municipal programs for additional support.

Calculation Example:

• Mary needs a $4,000 hearing aid. ADP covers $3,000; Mary pays $1,000, which she claims as a medical expense on her tax return.

Related:

• Medical Expense Tax Credits
• Ontario Senior Credits

Caregiver Tax Credits & Supports

If you support a spouse, common-law partner, child, or dependant with a disability, you may claim:

• Canada Caregiver Credit (federal) and provincial equivalents
• Amount for an eligible dependant (if you support a dependent adult)
• Medical expenses and disability supports deductions

• You must reside with or provide support to a spouse, child, or other relative with a certified disability (DTC qualification usually required for maximum amount)
• Dependant's income may reduce or eliminate the credit

1. Ensure the dependant qualifies for the DTC (where applicable)
2. Gather documentation: proof of residency/support, DTC notice, receipts for medical/disability support expenses
3. Claim the Canada Caregiver Credit and provincial equivalents on your tax return (tax software will ask for dependant info and automatically calculate)

• Proof of relationship, support, and residency
• Medical/disability certificates, receipts, and DTC approval letters

Calculation Example:

• Rita supports her adult son (disabled, DTC approved) who lives with her. She claims the full Canada Caregiver Credit (~$7,999 for 2025) plus the Ontario equivalent, reducing her taxable income and provincial tax liability.

Eligibility is based on the dependant's income and disability status. See our Ontario Senior Credits for more caregiver-related info.

Practical Scenario (Stacking):

• Jacob, age 52, cares for his elderly mother who is DTC-eligible and lives in his home. Jacob claims the caregiver credit, the DTC (transferred), and medical expenses for his mother's unreimbursed costs, maximizing both federal and Ontario tax relief.

Audit Risk, Common Errors & Documentation Best Practices

• Common Audit Triggers: Large or unusual medical expense claims, DTC transfers, and claims for multiple dependants.
• Frequent Errors: Double-claiming expenses, including reimbursed amounts, missing provider details, or failing to keep receipts.
• Best Practices:
  • Keep all receipts, medical forms, and DTC approvals for at least 6 years
  • Document support for dependants: financial transfers, shared bills, or proof of residency
  • Cross-check that all claimed expenses are not reimbursed by insurance or ADP
  • Submit DTC forms well before tax filing deadlines—DTC approval can take months
  • For large claims or complex family situations, keep a summary sheet detailing each expense and relationship
• If audited, respond promptly with complete documentation and, if needed, a letter from your doctor or social worker confirming disability/support arrangements.

Checklist: Maximizing Ontario Disability & Health Credits

• File your tax return every year, even with no income.
• Apply for the Disability Tax Credit if eligible—it opens the door to many other supports.
• Keep detailed records of all medical expenses and device purchases.
• Review eligibility for ODSP and other income-tested programs regularly.
• If you care for a family member with a disability, explore caregiver credits and deductions.

Related Ontario & Canada-Wide Health/Disability Credits

• Disability Tax Credit Guide
• Medical Expense Tax Credits
• Ontario Senior Credits
• Ontario Property, Rent & Energy Credits
• Canada-Wide Individual Tax Credits
• Ontario Individual Tax Credits Directory

Frequently Asked Questions (FAQ)