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Canada 90% rule checker — newcomer tax credit eligibility (2026)

If you immigrated to Canada partway through the year, this determines whether you can claim your full federal non-refundable tax credits (like the Basic Personal Amount) — or only a prorated share — based on the CRA's 90% rule.

Your situation

Usually the date you arrived with the intention to settle — not your visa approval date.
Total income from all countries, before you became a Canadian resident, converted to CAD.
Canadian employment, business, or rental income earned before your residency start date — often $0 if you weren't yet working in Canada.
Not tax advice. This estimates your 90% rule outcome using CRA's published test. Your actual return may involve additional factors (provincial rules, Section 217 elections) — verify with a tax preparer or CRA's Guide T4055.
Canadian-source share of pre-residency world income
Days resident in Canada this year
Proration factor (if credits are prorated)
2026 federal Basic Personal Amount (full year)
Your allowable Basic Personal Amount
Based on the federal 90% rule under s.118.94 of the Income Tax Act, per CRA's "Federal non-refundable tax credits for newcomers and emigrants" guidance. Important: as of a recent CRA interpretation change, declaring $0 pre-arrival income no longer automatically satisfies the 90% rule — you must report actual pre-arrival world income. Certain credits (CPP/QPP contributions, EI premiums, disability amount, tuition, donations) can still be claimed in full regardless of the 90% test. Provincial non-refundable credits follow similar but separately-legislated rules. If you're arriving on a work visa, our US H1B take-home pay calculator covers the equivalent US-side estimate if you're comparing offers across the border.

What is the 90% rule?

When you become a Canadian tax resident partway through the year, the CRA needs a way to decide how much of your full-year non-refundable tax credits — like the Basic Personal Amount — you're allowed to claim for a year you weren't a resident for the whole time.

The rule: for the part of the year before you became a resident, if the Canadian-source income you report is 90% or more of your net world income for that period, you can claim your federal non-refundable credits in full. If it's below 90%, most of those credits get prorated based on the number of days you were actually a resident.

Common misconception: many older guides say reporting $0 pre-arrival income automatically qualifies you for the 90% rule. CRA changed this — a $0 income figure no longer counts as meeting the threshold. You need to report your actual pre-arrival income (even if modest) for the calculation to apply correctly.

Credits you can usually still claim in full, regardless of the 90% test

CPP/QPP contributions, EI premiums, the disability amount, interest on eligible student loans, tuition fees, and charitable donations aren't subject to the 90% rule proration — you can generally claim these in full even in your arrival year.

Common questions