Tax Credit for Childcare Expenses

Eligible residents of Quebec can claim a tax deduction for childcare expenses on their federal return and a refundable tax credit on their provincial Quebec return. Quebec residents may also be eligible to receive advance payments for the provincial tax credit. Eligible expenses include payments for daycare centers, day camps, caregivers, and certain educational services. You calculate the credit on Schedule C of your TP-1 return, based on your family income, the child’s age, and the type of care. If you received advance payments during the year, these are reported on line 441 and reconciled with the final credit on line 455, with any difference resulting in an additional refund or adjustment to your taxes owing.

The Quebec Tax Credit for Childcare Expenses is a refundable credit, meaning you can receive a refund even if you owe no tax. It is claimed on line 455 of the TP-1 return after completing Schedule C. The credit is calculated using a tiered system based on family net income, and you must have an RL-24 slip from the childcare provider to claim it. You can also receive monthly advance payments, which are reported on an RL-19 slip and reconciled when filing your return. Starting in 2026, the maximum age for an eligible child without a severe impairment will drop from 16 to 14.

To claim the credit, you must meet all of the following:

• Childcare purpose: The expenses must be for a child under your care while you work, study, or conduct research.
• Eligible child: The child must normally be under 16 years old (or under 14 starting in 2026). A child with a severe and prolonged impairment has a significant and lasting mental or physical disability that affects their daily activities, and the impairment is expected to continue for an extended period.
• Eligible expenses: Payments must be made to a recognized daycare, day camp, caregiver, boarding schools or educational service.
• Documentation: You must obtain an official RL-24 slip from the childcare provider.
• Family relationship: You must be the child’s parent, guardian, or foster parent.
• Earned income: The amount of the credit is based on family net income, and lower-income families receive a higher percentage of the eligible expenses. Earned income includes employment or office duties, running a business, practising a profession, conducting research under a grant, actively seeking work, attending a qualified educational institution full- or part-time, and receiving QPIP or EI birth/adoption benefits.
• Advance payments (optional): You may apply for monthly advance payments, which are reconciled with the final credit when filing your TP-1 return.

To claim the credit and calculate the amount to enter on line 455, complete Schedule C.

Childcare expenses that do not qualify:

The reduced contribution (set by the government) paid for childcare services provided by a childcare centre, a home childcare provider or a daycare centre, or for basic school daycare services.