Staycation Tax Credit

2022 Staycation Ontario Tax Credit

The Ontario government has introduced a new, temporary Ontario Staycation Tax Credit for the 2022 tax year. This personal income tax credit would provide Ontario residents with support of 20 per cent of eligible 2022 accommodation expenses of up to $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 Income Tax Returns, and benefit even if they do not owe any tax. An eligible accommodation expense would have to be:

  • For a stay of less than a month at an eligible accommodation such as a hotel, motel, resort, lodge, bed-and-breakfast establishment, cottage or campground in Ontario;
    For a stay between January 1 and December 31 of 2022;
  • Incurred for leisure (e.g., a non-business purpose);
  • Paid by the Ontario tax filer, their spouse or common-law partner, or their eligible child, as set out on a detailed receipt;
    Not reimbursed to the tax filer, their spouse or common-law partner, or their eligible child, by any person, including by a friend or an employer; and
  • Subject to Goods and Services Tax (GST)/Harmonized Sales Tax (HST), as set out on a detailed receipt.

Neptune’s Hideaway will provide all information required for you to claim this valuable tax credit for the cost of your cottage rental.

Please note that only establishments registered for HST are eligible to issue these detailed receipts. A similarly-priced AirBNB may not qualify unless they are registered for, and charge HST on your invoice for your stay.