Accessing psychotherapy is a first in a journey to improved well-being, but, for many Canadians, simply the thought of another expense can be a source of stress.
Thankfully, there has been a rising awareness around mental health, and psychotherapy services can now be claimed as eligible medical expenses on your income tax return, helping put some of those costs back into your pocket.
In 2022, as many as 1 in 10 Canadians didn’t file their tax returns, leaving potential tax benefits unclaimed (CBC). Ottawa Therapy Group is here to help you understand how to navigate this process. For those seeking insight into claiming psychotherapy on taxes in Canada, what you need to know is all here to help you through it.
Can I Claim Psychotherapy on my Taxes in Canada?
Who Can Claim Medical Expenses for Psychotherapy?
To claim medical expenses related to psychotherapy, the services must be provided by an authorized medical practitioner. In Ontario, this includes registered psychotherapists, psychologists, psychiatrists, and registered social workers.
Keep Receipts for the Canada Revenue Agency
Let’s face it—no one’s thrilled to think about tax season. But if you’ve been paying out of pocket for therapy, you might be missing out on something important: a tax credit.
According to the Canada Revenue Agency (CRA), you can claim eligible medical expenses if they meet certain criteria. Specifically, for psychotherapy, the sessions have to be for treating a diagnosed mental disorder. Sounds simple—but the details can trip people up. For example, your receipt needs to show the therapist’s name, license number, date of service, and the amount paid. If the CRA asks for proof, you’ll be glad you kept those papers handy.
Another thing to know: only therapy expenses paid in a 12-month window ending in the current tax year can be claimed (and only if you haven’t already claimed them before). So yes, the timing matters.
When In Doubt, Speak with a Professional
The CRA doesn’t always make this stuff easy to follow. What’s considered eligible? What if your therapist isn’t a psychologist but a registered psychotherapist? These questions come up a lot, and the answers can depend on small things—like wording or provider credentials.
When in doubt, ask someone who knows. A tax professional or accountant can walk you through it, check what applies in your situation, and maybe even find credits you didn’t realize you could claim. It’s worth it, especially if it helps offset the cost of getting the care you need.
Take the First Step Toward Financially Accessible Therapy
Therapy becoming a tax-deductible medical expense in Canada is a big deal. It means your commitment to mental health can also bring financial relief. But the benefit only works if people know how to use it—and that’s part of the reason we’re sharing this.
As a counselling and psychotherapy clinic, we believe mental health care should be part of regular health care, not a luxury. Whether you’re starting fresh or continuing your mental health journey, our licensed professionals are here to support you with compassion, confidentiality, and real tools for change. We offer a range of counselling and psychotherapy services, including cognitive behavioural therapy (CBT), emotion-focused therapy (EFT), family counselling, and more.
We’re here to help you move forward—so you can focus on what matters most: you. Contact us today.
