Year-End Tax Planning Checklist Canada 2026 | Save on Taxes

The last few months of the year are your final window to make tax moves that reduce what you owe for the current tax year. Once December 31 passes, most opportunities are locked. The notable exception is RRSP contributions, which count for this year if made by March 1, 2027. Whether you are looking at tax-loss selling in your investment portfolio, timing charitable donations, or contributing enough to an RESP for this year’s government grant, a small amount of planning in November and December can change your tax bill. This page lists the moves and their deadlines; each strategy has its own page, linked below, and the guide to filing your tax return covers what happens in the spring. For rule changes that take effect on January 1, see tax changes in Canada.

Year-End Tax Planning Timeline

Different moves have different deadlines. Tax-loss selling, charitable donations and TFSA withdrawals must all happen by December 31. RRSP contributions get an extra 60 days into the new year.

If you pay by instalments, the December payment and how the amounts are set are covered on the tax instalments page.

RRSP contributions

An RRSP contribution reduces taxable income dollar for dollar, so the refund it produces grows with your marginal rate; contributions up to the deadline above count for this year, and unused room from prior years can be used at the same time. Contributing to a spousal RRSP uses your room to build savings in your spouse’s name.

Tax-loss selling

Selling investments that have dropped in value before December 31 lets the losses offset capital gains realized during the year; the mechanics, the carry-back and carry-forward of net losses and worked examples are in tax-loss harvesting. Buying back the same or an identical investment within 30 days before or after the sale triggers the superficial loss rules, which deny the loss.

Charitable donations

A donation counts for the year the charity receives it, so a gift meant for this year’s return has to arrive by December 31. Credit rates, the first-$200 tier, combining several years of gifts and donating appreciated securities are covered by the charitable donation tax credit calculator.

TFSA year-end moves

The TFSA has a withdrawal rule that creates a year-end planning opportunity. Any amount you withdraw before December 31 gets added back to your contribution room on January 1 of the following year. However, if you withdraw and re-contribute in the same calendar year, the CRA treats the re-contribution as a new contribution, which can create an over-contribution and a 1% monthly penalty on the excess.

The new annual limit and cumulative room are on the TFSA contribution limit page.

Income splitting moves

Because the tax system is progressive, couples with unequal incomes can lower their combined bill by shifting income toward the lower earner. The main tools each have their own page:

• Pension income splitting: eligible pension income can be split up to 50% with a spouse on the return; who qualifies and how it is filed are in pension income splitting.
• Spousal RRSP: contributions follow the RRSP deadline above.
• Prescribed-rate loans: lending to a lower-income spouse at the CRA prescribed interest rate for investing, within the attribution rules.

The broader list of strategies is in how to pay less tax in Canada.

Medical expenses

Medical expenses can be claimed for any 12-month period ending in the tax year, so December 31 closes the window for this year’s claim and receipts are easiest to gather now. The threshold, eligible expenses and which spouse claims are on the medical expense tax credit page.

RESP contributions

Contributing $2,500 per child to an RESP by December 31 earns the $500 Canada Education Savings Grant for the current year. Catch-up room from earlier years and the lifetime limit are covered by the RESP grant calculator.

Business/Self-Employed Year-End

Self-employed Canadians have more flexibility in timing income and expenses. If you expect to be in the same or lower tax bracket next year, deferring revenue into January and pulling expenses into December can shift taxable income. The original $1.5 million immediate-expensing measure for CCPCs and unincorporated businesses has expired (property had to be available for use by the end of 2023 for CCPCs, or 2024 for unincorporated businesses), so standard CCA rules now apply to most new equipment, though the Accelerated Investment Incentive still provides enhanced first-year CCA for eligible property acquired through 2030.

Incorporated owners have further year-end options in the CCPC tax planning guide.

Complete Year-End Checklist

The Bottom Line

Year-end tax planning is not about finding loopholes; it is about not leaving money on the table. Most of the moves above close on December 31, the RRSP deadline follows about two months later, and the spring filing dates are on the tax deadline page.

→ Back to: Complete Canadian Tax Guide