2026 Brackets, Credits and Rules
Basic personal amount 2026 and the federal tax credits most people miss
The 2026 basic personal amount ($16,452), how non-refundable credits are valued at 14%, and the age, pension, medical, donation, caregiver and home buyers' credits.
The federal basic personal amount (BPA) for 2026 is $16,452 if your net income is $181,440 or less, gradually reducing to $14,829 at $258,482 and above. It is a non-refundable credit: the amount is multiplied by the lowest federal rate, 14%, so it reduces federal tax by up to $2,303.28 but cannot create a refund on its own. The same method applies to most other federal credits, such as the age amount, pension income amount, Canada employment amount, CPP and EI contributions, tuition and medical expenses. Each province has its own BPA and credits, valued at its lowest rate.
This guide belongs to the 2026 overview. Amounts are from the CRA's 2026 indexation page unless stated otherwise. It is general information, not tax advice.
How a non-refundable credit is valued
A credit amount is not the value of the credit. To find the tax saved, multiply by the credit rate:
- Federal: 14% for 2026 (it was 15% before July 2025 and 14.5% for 2025).
- Provincial: the province's lowest rate, for example 5.05% in Ontario.
Example (illustrative): an Ontario employee with the federal BPA ($16,452), CPP base contributions of $3,519.45, EI of $1,123.07 and the Canada employment amount ($1,501) has federal credit amounts of $22,595.52, worth $22,595.52 × 14% = $3,163.37 of federal tax.
Non-refundable means the credits can reduce tax to zero but no further, and unused credits are generally lost (except the ones that can be transferred or carried forward, listed below). Refundable credits, such as the Canada Workers Benefit or the GST/HST credit (now paid as the Canada Groceries and Essentials Benefit), are paid even if you owe no tax.
Key federal credit amounts for 2026
| Credit | 2026 amount | Value at 14% | Notes |
|---|---|---|---|
| Basic personal amount | $16,452 (min $14,829) | up to $2,303 | Reduced between $181,440 and $258,482 of net income |
| Spouse or common-law partner amount | Up to $16,452 | up to $2,303 | Reduced by the partner's net income |
| Canada employment amount | $1,501 | $210 | Lesser of $1,501 and employment income |
| Age amount (65+) | $9,208 | up to $1,289 | Reduced by 15% of net income above $46,432 |
| Pension income amount | $2,000 | $280 | Not indexed; eligible pension income only |
| Disability amount | $10,341 | $1,448 | Requires an approved Form T2201 |
| Canada caregiver amount (child under 18, spouse or eligible dependant) | $2,740 | $384 | Added to other amounts for an infirm dependant |
| Canada caregiver amount (other infirm dependant 18+) | up to $8,773 | up to $1,228 | Income-tested |
| Medical expenses | Costs above the lesser of $2,890 or 3% of net income | 14% of the excess | Any 12-month period ending in 2026 |
| First-time home buyers' amount | $10,000 | $1,400 | Can be split between spouses |
| CPP and EI contributions | Base CPP and EI paid | 14% | Enhanced CPP part is a deduction instead |
Credits that work better than people expect
Age amount. At 65 or older you can claim up to $9,208. It is reduced by 15% of net income above $46,432, so it disappears completely at about $107,800. Pension splitting can increase it for the spouse with the higher income; see pension income splitting.
Medical expenses. The threshold is the lesser of $2,890 or 3% of net income, so for anyone with net income below $96,333 the threshold is 3% of net income. Couples usually save more by claiming all family medical costs on the return of the lower-income spouse, because 3% of a smaller income is a smaller threshold. Eligible costs include dental work, prescription drugs, glasses, private health plan premiums paid by you, and many therapies when prescribed.
Donations. The first $200 of donations in a year earns a credit at the lowest rate; amounts above $200 earn 29% federally, or 33% to the extent your income is in the top bracket. Spouses can pool receipts on one return, and donations can be carried forward up to five years, which helps you cross the $200 line.
Tuition. Tuition fees on Form T2202 earn a credit at 14%. Unused amounts can be transferred (up to $5,000 of current-year fees, minus what the student used) to a parent, grandparent or spouse, or carried forward indefinitely by the student.
Disability amount. Once a medical practitioner certifies Form T2201 and the CRA approves it, the amount can be claimed for past years too (by asking for reassessment), and it can be transferred to a supporting family member. It also opens access to the RDSP.
Deductions are not credits
Some items people think of as credits are actually deductions, which lower taxable income and are worth your marginal rate: RRSP and FHSA contributions, the enhanced part of CPP/QPP contributions, child care expenses, union and professional dues, moving expenses, support payments and carrying charges. At a 29.65% marginal rate in Ontario, a $1,000 deduction saves about $296, while a $1,000 credit amount saves $140 federally plus about $50 in Ontario. See marginal vs average tax rate.
Quebec credits are separate
Quebec residents claim Quebec credits on the TP-1, valued at Quebec's lowest rate of 14%, with Quebec's own basic personal amount (reported at $18,952 for 2026) and a different list of credits, including several refundable ones administered by Revenu Québec. See Quebec income tax differences.
Frequently asked questions
Can I get a refund from the basic personal amount if I had no income?
No. It is non-refundable, so with no tax payable it has no value. Filing still matters, because a return is needed for the Canada Child Benefit, the Canada Groceries and Essentials Benefit and provincial credits.
Is the Top-Up Tax Credit something I need to claim?
No separate claim should be needed. The credit was enacted by the Budget 2025 implementation act (Bill C-15, Royal Assent March 26, 2026) for 2025 to 2030 and keeps the 15% rate on credit amounts above the first bracket threshold, which mainly matters in years with very large medical or tuition claims. Tax software computes it; check the CRA's line-by-line guidance.
Do credits for my child go on my return or my spouse's?
It depends on the credit. The Canada caregiver amount for a child can be claimed by either parent; child care expenses must generally be deducted by the lower-income spouse; medical expenses can be claimed by either, usually best on the lower income.
Where do I check what I claimed last year?
Your notice of assessment and CRA My Account show credits carried forward, such as unused tuition and donations.
Official sources
- CRA: 2026 indexation and benefit amounts — every indexed credit amount
- CRA: line 30000, basic personal amount — federal and provincial BPA rules
- CRA: line 31400, pension income amount — which pensions qualify
- Revenu Québec — Quebec credits
