Ontario residents can claim up to 20% of eligible accommodation expenses within Ontario between January 1, 2022 and December 31, 2022.
You must be an Ontario resident on December 31, 2022 and only one individual per family can claim the credit on your 2022 personal income tax return. You can claim eligible expenses of up to $1,000 as an individual or $2,000 as a family to get back up to $200 as an individual or $400 as a family.
The Ontario Staycation Tax Credit is a refundable personal income tax credit. Therefore, if you are eligible, you can receive the credit regardless of whether you owe income tax for 2022.
The credit can be claimed for accommodation expenses for a leisure stay of less than a month in Ontario, at a short-term accommodation or camping accommodation, such as a:
- bed-and-breakfast establishment
- vacation rental property
The expenses must have been paid by you, your spouse or common-law partner, or your eligible child.
You must keep your detailed receipts for any eligible expenses you claim for the credit and the receipts must include:
- the location of the accommodation
- the amount that can reasonably be considered to be for the accommodation portion of a stay
- the amount of any GST/HST paid
- the date of the stay
- the name of the payor
Short-term accommodation would generally not include a timeshare agreement or a stay on a boat, train or other vehicles that can be self-propelled.
The tax credit cannot be claimed for:
- travel expenses that are not for short-term accommodation or camping accommodation, such as car rentals, fuel, flights, groceries, parking, or prices of admission into local attractions and places of interest.
- accommodation expenses reimbursed to you, your spouse or common-law partner, or your eligible child, by any person, including by a friend or an employer.
- expenses that are incurred for school or educational purposes, or for work, employment, or business purpose or that can be claimed for a medical expense tax credit.
It is important to consult with a tax professional or the Canada Revenue Agency (CRA) directly for more information on how to claim this credit and whether it applies to your specific situation.