Children's Fitness Tax Credit
Beginning in 2007, taxpayers may claim the cost of registering children under the age of 16 at the beginning of the year in a prescribed program of physical activity. For children who are not disabled, the maximum that may be claimed is $500 per child.
The government recognizes the different needs of children with disabilities. For parents of disabled children who incur at least $100 of eligible costs, the new credit includes an additional $500 non-refundable credit to assist with the cost of specialized equipment, transportation and attendant care. The child must be under the age of 18 (as opposed to 16) at the beginning of the year.
In order to qualify, a program must have an ongoing and supervised program suitable for children and involve a significant amount of physical activity that contributes to cardio-respiratory endurance, plus one or more of:
- muscular strength,
- muscular endurance,
- flexibility, or
- balance
The definition is broad to include a wide range of sports and recreational programs - everything from hockey camps to dance lessons.
To qualify for the tax credit, the program must be at least eight weeks long and have a minimum of one session per week. If your child attends a camp which involves physical activity, it must be five consecutive days and more than 50 per cent of the program has to be dedicated to the activity. As well, a session must provide 30 minutes of sustained physical activity for children under 10 and 60 minutes for children 10 and up.
Other memberships and registrations may be eligible depending on the amount of physical activity involved. Part of family membership costs may also be claimed but only the child's portion is eligible for the credit.
If your sporting or recreational activity requires motorized vehicles as an essential component, there is no credit available. And the credit will not include any costs charged for regular school physical education programming - only eligible extra-curricular programs.
Only registration costs paid in 2007 qualify. Registration costs paid in 2006 or 2008 will not qualify even if part of or the entire program takes place in 2007.
An H&R Block tax professional can talk to you more about this credit and others. Use our Office Locator to help you find the office nearest you.
