Ontario announces plan for staycation tax credit and here's how it works

Thinking about a getaway? The Ontario government has announced its plan for a staycation tax credit.

Anyone planning a getaway within the province in the 2022 tax year could be eligible under the new "Ontario Staycation Tax Credit" program.

The program was announced as part of the Ford government's Fall Economic Statement, which was tabled on Thursday.

Ontarians would get a 20 per cent personal income tax credit on eligible accommodation between Jan. 1 and Dec. 31, up to a maximum of $1,000 for an individual and $2,000 for a family, for a maximum credit of $200 or $400 respectively. 

Ontario residents could apply for this refundable credit when they file their 2022 personal tax returns and benefit even if they do not owe any tax.