Here is something a lot of people miss: the money you spend out of pocket on hearing aids can lower your tax bill. Hearing aids, batteries, repairs, and accessories all count as eligible medical expenses under the federal Medical Expense Tax Credit (METC), and most provinces add a credit on top. Here is how it works, without the accountant jargon.
What qualifies
The METC covers more than just the devices:
- Hearing aids and custom earmolds
- Batteries and replacement costs
- Repairs
- Cochlear implant processors
- FM systems when prescribed
- Telephone amplifiers
You claim only what you actually paid yourself. If AADL, insurance, or another program covered part of the cost, you can claim just the unreimbursed portion.
How the credit is calculated
It works in three steps:
- Add up your eligible medical expenses over any 12-month period ending in the tax year.
- Subtract a threshold, which is the lesser of 3% of your net income or a set amount (about $2,759 for the 2026 tax year).
- Multiply what is left by the 15% federal rate.
Because the METC is non-refundable, it reduces the tax you owe rather than sending you a refund cheque. Every province also offers its own medical expense credit, so the combined federal and provincial benefit usually lands somewhere in the 19% to 27% range, depending on where you live. Here in Alberta, that provincial credit stacks on top of the federal one.
Alberta’s provincial credit
On top of the federal 15%, Alberta adds its own medical expense tax credit at 10%. That means Edmonton residents get a combined credit rate of 25% on every dollar above the threshold. If you spent $4,000 out of pocket on hearing aids and your threshold was $2,759, the remaining $1,241 would generate roughly $310 back at tax time. Many Albertans leave this on the table simply because they do not realize the provincial credit applies automatically when you file.
The Disability Tax Credit for severe hearing loss
If your hearing loss is severe enough that you struggle to hear even with hearing aids, you may also qualify for the federal Disability Tax Credit (DTC). This is a separate, larger non-refundable credit worth several thousand dollars per year. A qualified audiologist or physician fills out Form T2201 to certify that your ability to hear is markedly restricted. Once the CRA approves your application, you can claim the DTC for the current year and sometimes retroactively for up to 10 previous years. The DTC and the METC are not either/or. You can claim both in the same tax year, which makes a significant difference for people with profound hearing loss. Ask your audiologist at either of our Edmonton locations whether your hearing levels would support a T2201 application.
Claiming for a spouse or dependant
You do not have to be the patient to claim the credit. If you paid for hearing aids for your spouse, your child, or a parent or grandparent who depends on you for support, those expenses can go on your own return. In fact, it often makes sense for the lower income spouse to claim the family’s medical expenses, since the 3% net income threshold will be smaller and more of the expense ends up generating a credit.
How to file
When you are ready to file, report your hearing aid expenses on line 33099 of your federal return (or line 33199 if you are claiming for a dependant other than a spouse). You do not need to mail your receipts with the return, but the CRA can request them during a review, so keep everything organized.
A quick tip on timing
Because you can use any 12-month period ending in the tax year, it often pays to group your hearing-related expenses together. If you are buying hearing aids, stocking up on batteries, and getting a repair around the same window, they can all count toward one claim.
Keep your paperwork
Hold on to your receipts for six years, including the invoice for your hearing aids, insurance statements showing what was reimbursed, and any provincial program documents. At Medicine Place Hearing Care we provide clear, itemized receipts so you have exactly what you need at tax time.
We make the money side simple
Between AADL, insurance, and the tax credit, most people pay far less than the sticker price. Book a hearing test and we will walk you through every option you qualify for, and hand you the documentation to claim it. Book a hearing test at either Edmonton clinic or our Calgary location.
This article is general information, not tax advice. For your specific situation, check with a tax professional or the Canada Revenue Agency.