Tax time is back in Canada; let the Canada Revenue Agency (CRA) take its course in recruiting all citizens to file their tax returns. The filing of tax returns will commence on February 24, 2025. Before all that comes, CRA has made various kinds of tax credits, benefits, and deductions available to citizens of Canada as a means of financial support for taxpayers.
Another special tax credit is being introduced for the income year 2024: the Age Amount Tax Credit. This is a tax credit that is provided only to seniors. Thus, anyone who is 65 years and older qualifies to benefit from this maximum tax credit of $8,790.
Canada Age Amount Tax Credit 2025- Overview
| Post Title | |
| Year | 2025 |
| Country Name | Canada |
| Issuing Agency | CRA |
| Month | February |
| CRA Age Amount Tax Credit Eligibility 2025 | Those Canadians who have 65 years age or older |
| Purpose | Financial Assistance |
| How To Claim Age Amount Of $8790? | File Tax Return and Complete Line 30100 |
| Post Category | Finance |
| Official Web Page | www.canada.ca |
CRA Age Amount Tax Credit Eligibility 2025
The senior must meet the following conditions to be granted the tax credit:
- Be a resident of Canada.
- Turned 65 years or in the age bracket and ceases to be 65 by December 31, 2024.
- Have net income (on Line 23600) of less than $102,925.
- If the annual income of the senior citizen is less than $44,325, the complete $8,790 claim can be made.
- If income is greater than $44,325 and less than $102,925, the tax credit will be calculated using a special formula.
| Maximum Amount | – | $8790 |
| Amount from Line 23600 | A | – |
| Income Threshold | $44325 | – |
| Minus Amount from Line 23600 and Income Threshold | B | – |
| Applicable Rate | 15% | – |
| Multiply B with 15% | C | – |
| Minus Maximum Amount of $8790 from C | – | D (Tax Credit Amount) |
- If the resident has income over $1,02,925 then the resident must enter 0 on Line 30100.
How To Claim Age Amount Of $8790?
- Fill out line 30100 in your personal tax return.
- Filing taxes is mandatory for this credit.
- If a senior citizen files a return for the first time may refer the CRA’s official website or tax advisor.
Fact Check: $8790 Age Amount 2025
This tax credit has been approved by the CRA for the year 2024. It is only for seniors who are aged 65 years and above. The credit helps reduce the tax liability and possible financial drain on seniors. For further inquiries about this credit, you can visit the CRA portal or the official website of the Service Canada agency.
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Note, there will not be any increased tax credit beyond the maximum limit of $8,790. So if you are eligible, file your tax returns on time and enjoy this tax benefit!
FAQs :-
What is Canada’s $8,790 Age Amount Tax Credit for February 2025?
It is a non-refundable tax credit for seniors aged 65+ to reduce their taxable income.
Who qualifies for the $8,790 Age Amount Tax Credit?
Canadian residents aged 65 or older by December 31, 2024, with income under $102,925.
How to claim the Age Amount Tax Credit?
Seniors must file their tax return and complete Line 30100 to claim the credit.