Dancing is not only a fun and enjoyable activity, but it also has many physical and mental health benefits. In Ontario, there are tax credits available for both adults and children who take dance classes. These tax credits can help offset the cost of dance classes and make them more affordable for individuals and families.
For children, the Children’s Fitness Tax Credit (CFTC) allows parents to claim up to $500 per child for eligible fitness expenses, such as dance classes. To qualify for the CFTC, the child must be under the age of 16 at the beginning of the year in which the expense is incurred. Additionally, the dance classes must be supervised and suitable for children, and not a school program.
For adults, the Disability Tax Credit (DTC) is available. This credit is for individuals who have a prolonged impairment in physical or mental functions that affects their ability to perform everyday activities. To qualify for the DTC, the individual must have a certificate completed by a qualified practitioner, such as a doctor, who attests to the existence of the impairment. If the individual qualifies for the DTC, they can claim eligible expenses, such as dance classes, as a medical expense on their tax return.
To claim these tax credits, individuals must keep receipts and other documentation of their dance class expenses, as they may be required to provide them to the Canada Revenue Agency (CRA) if audited. Additionally, the CRA may ask for additional information to support the claim, so it is important to be prepared with all the necessary documents.