Town of Banff

Children's Fitness Tax Credit

Starting with the 2007 tax year, the Government of Canada allows a non-refundable tax credit based on eligible fitness expenses paid by parents to register a child in a prescribed program of physical activity.

Amount of the tax credit

The children's fitness tax credit lets parents claim up to $500 per year for eligible fitness expenses paid for each child who is under 16 years of age at the beginning of the year in which the expenses are paid.

Prescribed programs of physical activity

An eligible fitness expense must be for the cost of registration or membership of an eligible child in a prescribed program of physical activity. Generally, such a program must:

• be ongoing (either a minimum of eight consecutive weeks long or, for children's camps, five consecutive days long);
• be supervised;
• be suitable for children; and
• include a significant amount of physical activity that contributes to cardio-respiratory endurance, plus one or more of: muscular strength, muscular endurance, flexibility, or balance.

Under the Income Tax Regulations, the definition of physical activity includes:

• horseback riding; and
• if the child is eligible for the disability tax credit, activities that result in movement and in an observable use of energy in a recreational context.

An activity for which a child rides on, or in, a motorized vehicle as an essential part of the activity does not qualify for the children’s fitness tax credit.

For additional information, click here to visit the Government of Canada website.