Eligible Dependant Credit Guide

2024 Credit Amounts

Federal Credit

Plus Provincial Credits

• Each province has equivalent credit
• Rates vary by province
• Total savings: $2,500-$3,500 typically

Who Can Claim

You Must Be

• Single, divorced, separated, or widowed
• Not living with spouse/partner
• Supporting the dependant
• Living with dependant in home you maintain

You Cannot Claim If

• You claimed spouse amount (married/common-law)
• Someone else claims this dependant
• You're required to pay child support for them
• Another person in home claims eligible dependant

Eligible Dependants

Your Child

• Under 18 at any time in year
• Or any age if dependent due to impairment
• Natural, adopted, or step-child

Your Parent or Grandparent

• Dependent on you due to infirmity
• Living in your home
• You're not just visiting

Other Relatives (If Infirm)

• Sibling, aunt, uncle, niece, nephew
• Must have mental or physical infirmity
• Dependent on you for support

Income Reduction

How Dependant's Income Affects Credit

• Credit reduced by dependant's net income
• Dollar for dollar reduction
• Eliminated when income reaches $15,705

Example Calculation

Child has part-time job income of $5,000:

• Base amount: $15,705
• Minus child's income: $5,000
• Eligible dependant amount: $10,705
• Tax credit: $10,705 × 15% = $1,606

Shared Custody Rules

Only One Claim Per Household

• Only one eligible dependant claim per home
• Even if multiple dependants present
• Choose the dependant with lowest income

Parents Living Apart

• Each parent can claim if child lives with each
• But not for same child
• Different children can be claimed by each
• CRA may split if both claim same child

Support Requirement

What "Support" Means

• Providing necessities of life
• Food, shelter, clothing
• Financial responsibility for care

Living Together

• Must live in dwelling you maintain
• Temporary absences okay (school, hospital)
• You're the one maintaining the home

Claiming on Your Return

Where to Claim

• Line 30400: Amount for an eligible dependant
• Complete Schedule 5
• Include dependant's information

Information Needed

• Dependant's name
• Date of birth
• Relationship to you
• Their net income
• Address (if different)

Eligible Dependant + Other Credits

Can Also Claim

• Canada Caregiver Amount (if dependant infirm)
• Child amount (if under 18)
• Disability amount transfer (if applicable)
• Medical expenses for dependant

Cannot Also Claim

• Spouse/common-law amount (Line 30300)
• Another eligible dependant in same home

Multiple Children

One Credit Per Household

• Only one eligible dependant claim allowed
• But you get child amount for each child
• Choose child with lowest income for eligible dependant

Example

Single parent with 3 children:

• Eligible dependant: 1 child (choose lowest income)
• Child amount: all 3 children under 18
• CCB: all 3 children

Special Situations

Year of Separation

• Can claim if separated by Dec 31
• Must have lived apart 90+ days due to breakdown
• Cannot claim spouse amount same year

Death of Spouse

• Year of death: can claim spouse amount
• Or eligible dependant (choose one)
• Following years: eligible dependant if applicable

Temporary Absence

• Child away at school—still claim
• Your home is their primary residence
• Hospital stay—still claim

Common Scenarios

Scenario 1: Single Parent

• Divorced mom with 10-year-old
• Child has no income
• Claim full $15,705 eligible dependant
• Also claim child amount, CCB

Scenario 2: Supporting Parent

• Single person supporting elderly mother
• Mother is infirm, lives with you
• Mother's income: $20,000
• Credit reduced to $0 (income too high)
• May still claim caregiver amount

Scenario 3: Adult Child

• Single parent with 22-year-old with disability
• Child has impairment making dependent
• Child's income: $3,000
• Claim eligible dependant: $15,705 - $3,000 = $12,705

Disputes and Issues

Both Parents Claim

• CRA will contact both
• May deny both claims initially
• Provide documentation of custody
• CRA may split credit

Proving Eligibility

• Custody agreement/court order
• School records showing address
• Medical records
• Utility bills showing residence

Provincial Credits

Similar Structure

• Most provinces have equivalent credit
• Same eligibility rules
• Different amounts and rates
• Calculated automatically on return

Total Value

• Federal: ~$2,355
• Provincial: $500-$1,200
• Total: $2,800-$3,500 typically