The top changes to know about for this year’s tax return

This year’s general tax filing deadline is April 30, 2026. If you or your spouse or partner have self-employment income, your filing deadline is June 15, 2026.

In either case, if you owe tax for 2025, any balance due must be paid by April 30, 2026. After that date, the Canada Revenue Agency (CRA) charges non-deductible arrears interest, and the current rate is 7%, compounded daily.

Income tax is levied at graduated, progressive rates, such that higher tax rates apply as your income level increases. The lowest federal tax rate, which applies with taxable income up to $57,375 in 2025, was reduced to 14.5% from 15.0%.

Most non-refundable credits are also calculated at the lowest federal tax rate. With the 0.5% decrease to 14.5% from 15% for the lowest federal tax rate, the value of these credits is also reduced.

For example, the unreduced Basic Personal Amount is $16,129, so the 0.5% decrease in the value of this tax credit is $81 — $16,129 × 0.5%.

In very rare cases, where non-refundable tax credit amounts exceed the lowest income tax bracket threshold of $57,375 in 2025, the decrease in the value of these credits may exceed the tax savings from the rate reduction. This might happen in situations where you claim a large one-time expense, such as amounts for high tuition or medical expenses, or claim a combination of large non-refundable tax credits.

The new, non-refundable top-up tax credit effectively maintains the current 15% rate for non-refundable tax credits claimed on amounts in excess of $57,375 in 2025.

If you have an impairment in physical or mental functions, you can deduct certain expenses that you paid in the year so that you could work, go to school or do research for which you received a grant — provided you didn’t claim the medical expense tax credit for the expenses.

For 2025, the list of eligible expenses for the disability supports deduction was expanded, which may allow you to claim a greater deduction.

The HATC is a non-refundable tax credit of 14.5% on up to $20,000 of qualifying expenses for home renovations in the year, so it has a maximum value of $2,900.

Expenses must be incurred to allow a qualifying individual (who is either aged 65 or older or eligible for the Disability Tax Credit) to:

• gain access to, or be mobile or functional within, an eligible dwelling, or
• reduce the risk of harm to the qualifying individual within, or in gaining access to, an eligible dwelling.

Some renovations that qualify for the HATC may also qualify for the medical expense tax credit. You can claim this credit for eligible expenses that exceed the lesser of 3% of your net income or $2,834 in 2025. This is the last year you can claim both credits for the same expense.

This year, notices of assessment and reassessment will be available for viewing exclusively in the CRA portals, rather than in tax filing software, as soon as the CRA receives and processes your tax return.

If you don’t have a CRA account or you set your preferences to letter mail, notices will be sent to the mailing address you have on file.

If you’re locked out of your CRA account or forgot your sign-in information, you can now regain access online without having to call the CRA. You can use the CRA’s new self-service option to create new sign-in credentials and quickly regain access to your account. Here’s how:

1. Go to the Sign in to your CRA account page Opens a new window.
2. Under “Help”, select “Your account is locked”
3. Follow the instructions

Whether you use a simplified filing method, online filing or regular paper, be sure to submit your 2025 tax return to be eligible for valuable benefits in 2026, including the Canada Child Benefit — worth up to about $8,000 per child — and the recently renamed and enhanced refundable Canada Groceries and Essentials Benefit, formerly the GST/HST tax credit.

For more information about preparing your 2025 personal tax return, review our CIBC reports: 

• Tax filing in the ’20s: Mining the new tax return for extra money this spring (PDF, 325 KB) Opens a new window.
• Doing it right the first time! Avoiding the most common tax return errors (PDF, 320 KB) Opens a new window.