Disability Tax Credit Canada 2026 | Eligibility and How to Apply

The Disability Tax Credit (DTC) is a non-refundable credit for people with a severe and prolonged impairment in physical or mental functions, and for the family members who support them. Many Canadians who qualify never apply, often because they assume their condition isn’t “severe enough.” This page covers who qualifies, how Form T2201 works, what happens after CRA decides, transferring the credit and claiming up to 10 past years. It is one of the disability, medical and caregiving credits in our deductions and credits guide.

What the DTC is worth

The federal disability amount is a fixed credit amount with an extra supplement for people under 18, and each province and territory adds its own disability amount on top. Both amounts, and what they are worth in tax savings, are on the maximum Disability Tax Credit amounts page.

Eligibility Criteria

Basic Requirements

Qualifying Impairments

Mental Functions

What “Markedly Restricted” Means

Definition

Examples

Cumulative Effects

Common Conditions

Conditions that often qualify:

Conditions that sometimes qualify:

How to Apply with Form T2201

Step-by-Step Process

Medical Practitioners Who Can Certify

Changes to How CRA Accepts Applications

CRA has set two dates that change how DTC applications are sent:

The online DTC application in your CRA account is kept up to date, flags missing sections before you submit, and lets both you and your medical practitioner complete it digitally. A mailed paper form has to be the 2023-or-later version of Form T2201, or it is rejected starting September 8, 2026.

What Helps an Application

When working with a doctor, applicants often explain daily struggles with concrete examples, describe their worst days rather than their best, and bring activity logs where those help.

After You Apply

CRA Review

If Approved

How Long a DTC Approval Lasts

An approval may be issued for a specific time period (e.g., 5 years) or indefinitely, depending on the nature of the disability:

The expiry date is on the approval letter. A lapsed certificate must be renewed before you can continue claiming the DTC or making RDSP contributions.

If Your Application Is Denied

Common Reasons for Denial

Request for Reconsideration

1. Write to CRA within 90 days of the denial letter
2. Include new information or clarification from your medical practitioner
3. Ask your doctor to provide a supporting letter describing daily functional limitations
4. Specify why the original decision was incorrect

Notice of Objection

The last step is an appeal to the Tax Court of Canada. Many initial denials are overturned on review, and many successful claimants were first rejected.

Claiming the DTC on Your Return

Transferring the DTC

Who Can Receive the Transfer

Transfer Rules

How to Transfer

1. Complete the transfer section on Form T2201
2. The supporting person claims the credit on their tax return
3. Report on Schedule 1 (Line 31800 or Line 32600)

A family member who supports a person with an impairment may also be able to claim the Canada Caregiver Credit, which has its own amounts and income test.

Retroactive Claims

Once approved, you can claim the DTC for previous years when you were eligible.

Retroactive Refund Potential

Actual amounts depend on taxable income, province, and years of eligibility.

Programs an Approved DTC Opens

RDSP. An approved DTC is required to open a Registered Disability Savings Plan (RDSP), which can receive government grants and bonds on top of contributions and grows tax-deferred. The grant and bond amounts, matching rates and income thresholds are in the RDSP guide.

Canada Workers Benefit disability supplement. A DTC-eligible person who works and has a low income can also get the disability supplement of the Canada Workers Benefit. The CWB page covers the supplement’s amount and income thresholds.

Child Disability Benefit. The child disability benefit is paid with the CCB for each child who is approved for the disability tax credit: you need to be eligible for the CCB and the child's Form T2201 must be approved by CRA; there is nothing separate to apply for if you already get the CCB for that child. The Child Disability Benefit page has the current maximum and how family income reduces it.

Medical expenses and home renovations. The DTC and the medical expense tax credit are separate credits, and both can be claimed for therapy, medications, assistive devices and medical travel; the exception is attendant care, where the choice is usually between claiming the attendant care or the DTC. Accessibility renovations for a DTC-eligible person go through the home accessibility tax credit.