COVID-19 benefits and the deceased individual's taxes

Amounts received related to COVID-19

If the deceased received federal, provincial, or territorial government COVID-19 benefit payments, such as the Canada Recovery Benefit (CRB), Canada Recovery Caregiving Benefit (CRCB), Canada Recovery Sickness Benefit (CRSB), or Canada Worker Lockdown Benefit (CWLB), you will receive a T4A slip with instructions on how to report these amounts on the deceased's return. These slips are also available in My Account for Individuals.

If the deceased individual's income was tax exempt

If the deceased’s CRB, CRCB, CRSB, or CWLB income is eligible for tax exemption under section 87 of the Indian Act, complete Form T90, Income Exempt from Tax under the Indian Act, and file the deceased's 2022 Income Tax and Benefit Return or simplified return to claim the tax withheld on the deceased's CRB, CRCB, CRSB, and CWLB payments. For more information about taxes and benefits for Indigenous peoples, go to Taxes and benefits for Indigenous peoples.

Request to deduct federal COVID-19 benefits repayment in a prior year

If the deceased repaid federal COVID-19 benefits (CERB, CRB, CRCB, CRSB or CESB) in 2022 and you want to claim all or part of the amount repaid as a deduction on their Income Tax and Benefit Return for the year they received the benefit (2020 or 2021), complete Form T1B, Request to Deduct Federal COVID-19 Benefits Repayment in a Prior Year, and file their 2022 Income Tax and Benefit Return.

To get a copy of Form T1B, go to Forms and publications or call 1-800-959-8281. For more information about deducting federal COVID-19 benefits that you repaid, go to Tax Treatment of COVID-19 Benefit Amounts.

First-time home buyer tax credit

The amount used to calculate the first-time home buyers' tax credit has increased to $10,000 for a qualifying home purchased after December 31, 2021.

Home accessibility tax credit

The annual expense limit of the home accessibility tax credit has increased to $20,000. For more information, see Guide T4011, Preparing Returns for Deceased Persons.

Medical expense tax credit (for surrogacy and other expenses)

The list of eligible medical expenses has been expanded to include amounts paid to fertility clinics and donor banks in Canada to obtain donor sperm or ova to enable the conception of a child by the deceased individual, the deceased’s spouse or common-law partner, or a surrogate mother on behalf of the deceased. In addition, certain expenses incurred in Canada for a surrogate or donor are considered medical expenses of the deceased. For more information, see Lines 33099 and 33199 – Eligible medical expenses you can claim on your tax return.

Labour mobility deduction for tradespeople

The labour mobility deduction provides eligible tradespeople and apprentices working in the construction industry with a deduction for certain temporary relocation expenses. Eligible individuals may be able to deduct up to $4,000 in eligible expenses per year. If the deceased is eligible to claim this deduction, complete Form T777, Statement of Employment Expenses. For more information, see Guide T4044, Employment Expenses.

Air quality improvement tax credit

If the deceased was self-employed or a member of a partnership in 2022, you may be eligible to claim a refundable tax credit equal to 25% of the deceased's total ventilation expenses to improve ventilation or air quality at the deceased's place of business. For more information, see Guide T4011, Preparing Returns for Deceased Persons.