Chemotherapy

Is chemotherapy CRA eligible in Canada?

Yes. Chemotherapy is an eligible medical expense under the CRA's Medical Expense Tax Credit (METC). It qualifies under multiple provisions of the Income Tax Act. Chemotherapy administered by a licensed medical practitioner qualifies under paragraph 118.2(2)(a) as a medical service. When chemotherapy is received at a public or licensed private hospital, the associated fees qualify under paragraph 118.2(2)(a) as amounts paid to a hospital for medical services. Chemotherapy drugs that require a prescription and are recorded by a pharmacist qualify separately under paragraph 118.2(2)(n) as prescribed drugs. Because these expenses are METC eligible, they can be reimbursed through an HSA or Private Health Services Plan (PHSP).

What Qualifies

• Chemotherapy infusions and injections administered by a licensed medical practitioner at a hospital or cancer centre
• Chemotherapy drugs prescribed by a physician and recorded by a pharmacist
• Oral chemotherapy medications prescribed by a medical practitioner
• Anti-nausea and supportive medications prescribed as part of a chemotherapy treatment protocol
• Hospital fees for inpatient or outpatient chemotherapy sessions
• Laboratory and diagnostic procedures prescribed in connection with chemotherapy treatment

Good to Know

• Chemotherapy expenses can fall under more than one provision of the Income Tax Act. The treatment itself qualifies as a medical service under paragraph 118.2(2)(a), hospital-related charges qualify under the same provision when paid to a hospital, and prescribed chemotherapy drugs qualify under paragraph 118.2(2)(n). You do not need to separate these on your claim, but understanding the distinction can help if the CRA requests documentation.
• Keep all receipts from the hospital or clinic, the pharmacy, and the prescribing physician. Receipts should show the date of service, the provider, and the amount paid.
• Only the portion you personally paid is claimable. Amounts reimbursed by provincial health insurance or another benefit plan are not eligible.

Frequently Asked Questions

Is chemotherapy CRA eligible?

Yes. Chemotherapy qualifies as an eligible medical expense under the METC. The treatment itself is covered as a medical service under paragraph 118.2(2)(a), and prescribed chemotherapy drugs are covered under paragraph 118.2(2)(n) of the Income Tax Act.

Can I claim chemotherapy through my HSA?

Yes. Because chemotherapy is METC eligible, it can be reimbursed through your Health Spending Account. Submit your receipts from the hospital, clinic, or pharmacy to your HSA administrator.

Do chemotherapy drugs need a prescription?

Chemotherapy drugs are prescription medications. To qualify under paragraph 118.2(2)(n), the drug must be prescribed by a medical practitioner and the purchase must be recorded by a pharmacist. Chemotherapy drugs administered directly by a practitioner at a hospital or clinic are covered under paragraph 118.2(2)(a) as part of the medical service.

Source

Based on the CRA's official eligible medical expenses list and Income Tax Folio S1-F1-C1, "Medical Expense Tax Credit".