Ontario Staycation Tax Credit

In an effort to promote domestic travel and support local tourism, the government of Ontario has announced a Staycation Tax Credit for Ontarians. The credit encourages Ontarians to explore the province’s diverse tourism offerings while supporting local businesses hit hard by the pandemic. Here’s everything you need to know about the Ontario Staycation Tax Credit.

What is the Ontario Staycation Tax Credit?

The Ontario Staycation Tax Credit is a refundable tax credit for Ontario residents who take a staycation in the province. The credit is available for eligible expenses incurred between June 1, 2022, and December 31, 2022.

Who is eligible for the credit?

To be eligible for the credit, you must be an Ontario resident on the last day of the taxation year (December 31, 2022). You must have paid for eligible expenses related to accommodations, attractions, and food and non-alcoholic beverages during a staycation in Ontario.

What expenses qualify for the credit?

Eligible expenses include:

• Accommodations: Expenses related to staying in a hotel, motel, or bed and breakfast in Ontario.
• Attractions: Expenses related to admission to an Ontario attraction, such as a museum, art gallery, or amusement park.
• Food and non-alcoholic beverages: Expenses related to dining at a restaurant in Ontario.

The expenses must be paid by the eligible individual and must not be reimbursed by an employer, another person, or any other source.

How much is the credit?

The credit is equal to 20% of eligible expenses, up to a maximum of $1,000 in expenses per person. This means that the maximum credit that an individual can receive is $200.

How do I claim the credit?

To claim the credit, you will need to keep your receipts for eligible expenses and enter the amounts on your 2022 Ontario personal income tax return. The credit is calculated on your return, and you will receive any refund owed to you.