Disability Tax Credit Calculator

How the Canadian Disability Tax Credit Works in 2026

The Disability Tax Credit (DTC) is a non-refundable federal tax credit designed to offset the costs of living with a severe and prolonged impairment in physical or mental functions. For 2026, the federal disability amount is $9,872.00, which translates to a federal tax credit worth $1,382.08 at the lowest federal rate of 14%. Taxpayers under 18 at year-end qualify for an additional supplement of $5,758.00, bringing the combined federal amount to $15,630.00 — though the supplement is reduced when childcare or attendant care expenses are claimed for the same child. The DTC is the gateway to several other federal programs, including the Registered Disability Savings Plan (RDSP), the Child Disability Benefit (CDB), and the Canada Workers Benefit disability supplement.

Eligibility is determined by Form T2201, completed jointly by the applicant and a qualified medical practitioner. The impairment must be severe, prolonged (lasting or expected to last at least 12 continuous months), and present all or substantially all of the time — even when the person uses appropriate therapy, medication, or devices. Eligible categories include vision, speaking, hearing, walking, eliminating, feeding, dressing, mental functions, life-sustaining therapy (at least 14 hours per week), and cumulative effects of significant restrictions in two or more categories. The CRA reviews each application individually, and approval is sometimes time-limited (the applicant must reapply after a set number of years).

Provincial DTC Amounts and Combined Credit Values (2026)

Once your T2201 is approved, the CRA can reassess up to 10 prior tax years, meaning a newly approved adult may receive a lump-sum refund covering many years of unclaimed credits. The retroactive process requires a T1-Adjustment for each year, or you can request an adjustment letter when submitting the initial T2201. Many families receive five-figure refunds when a child or dependent is finally approved after years of unrecognized eligibility. Combine the DTC with the Registered Disability Savings Plan (RDSP), which can attract up to $70,000 in lifetime grants and $20,000 in bonds for low-income families, and the result is one of the most generous disability supports in any developed economy.