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If you lived on a permanent basis in a prescribed northern or intermediate zone for at least six months in a row, you can claim the northern residents deductions on line 25500. On the CRA page for the 2025 tax year, the residency deduction is $11.00 a day in Zone A plus another $11.00 a day if you maintain a dwelling there. Zone B gets half. Travel costs add a second deduction, with a $1,200 standard amount per person.
Who qualifies for the northern residents deductions?
The Canada Revenue Agency page for line 25500, northern residents deductions requires that you lived on a permanent basis in a prescribed zone for a continuous period of at least six consecutive months. The six months can begin or end in the tax year. Short absences usually do not break residency, and the CRA looks at how many there were, why, and how long. Moving from one place in a prescribed zone straight to another does not affect your residency either. A deceased person qualifies if they lived in a zone for six months or more before death.
Zone A is the northern zone and gets the full amounts. Zone B is the intermediate zone and gets one-half. If you have not yet reached six months when you file, the CRA says to file without the claim and later ask for an adjustment.
Which places are in a prescribed zone?
All places in Yukon, Nunavut and the Northwest Territories are Zone A, and so are all places in Labrador. Sable Island in Nova Scotia is Zone B. Many communities in Alberta, British Columbia, Manitoba, Ontario, Quebec and Saskatchewan appear on the zone lists as Zone A or Zone B, so a northern town in those provinces needs checking by name. If your place is not listed but you think it belongs, the CRA asks you to contact it. Our territory pages for Yukon, Nunavut and the Northwest Territories cover local tax details.
How big is the residency deduction?
There are two parts, both claimed per day on Form T2222. The basic residency amount goes to each resident for each day lived in the zone. The additional residency amount is for the same days if you maintained and lived in a dwelling in the zone and you are the only person in your household claiming the basic amount for that dwelling and period.
| 2025 tax year | Basic, per day | Additional, per day | Both, per day | Both, 365 days |
|---|---|---|---|---|
| Zone A | $11.00 | $11.00 | $22.00 | $8,030 |
| Zone B | $5.50 | $5.50 | $11.00 | $4,015 |
The last column is our calculation (days multiplied by the per-day amounts), not a figure printed by the CRA. A dwelling means a self-contained home with a kitchen, bathroom, sleeping facilities and private access, such as a house, apartment or mobile home. A bunkhouse, dormitory, hotel room or boarding-house room does not count. If two people in one household both claim the basic amount for the same home, nobody in that household can claim the additional amount, so the household should decide who claims. Non-taxable board and lodging benefits, shown in box 31 of a T4 or box 124 of a T4A, reduce the residency amounts in most cases.
How does the northern travel deduction work?
You can claim travel for yourself or an eligible family member on a trip that started from the prescribed zone, whether the trip was for a medical reason, a vacation or anything else. Eligible family members who lived with you are your spouse or common-law partner, a child under 18, and certain dependent relatives. For each trip the deduction is the lowest of three amounts: taxable travel benefits from your employer (or the part of the $1,200 standard amount you assign to the trip), your actual travel expenses, and the lowest return airfare from your nearest airport to the nearest designated city.
- The $1,200 standard amount is a per-person maximum for the year, across all trips.
- You can claim up to two non-medical trips per person a year, and any number of medical trips.
- Taxable travel benefits appear in T4 box 32 or T4A box 028, and medical travel benefits in T4 box 33 or T4A box 116.
- No claim is allowed for a trip where you or the traveller received non-taxable travel help, an allowance or a reimbursement.
- Zone B residents get one-half of the total.
- A medical trip claimed here cannot also be claimed as a medical expense.
You can claim the travel deduction without the residency deduction. Our guide to medical expenses you can claim covers the other side of medical travel.
What do I file, and what do I keep?
Complete Form T2222 and enter the amount from line 19 on line 25500 of your return. If you file electronically, keep all supporting documents. If you file on paper, attach Form T2222 but not the other papers. Keep receipts and records for at least six years, including the lowest return airfare quote or table amount, and a travel itinerary or proof of travel such as accommodation receipts, since the CRA may ask for them. The CRA northern residents page also links to the lowest return airfare table and to a simplified northern residents travel deduction method. Taxable travel benefits come off your T4 slip, so keep that slip with your papers.
What does a claim look like in practice?
The CRA’s own example uses a person who moved to Yellowknife (Zone A) on 15 March 2025, which gives 292 days to the end of the year. The basic amount is 292 days at $11.00, which is $3,212. If that person is the only claimant for the dwelling, the additional amount is another $3,212, for a total residency deduction of $6,424. The same dates in a Zone B community give 292 days at $5.50 each for the basic and the additional parts.
What that saves depends on income and territory. This is our calculation, not a CRA figure, using 2026 tax rules in this site’s calculator engine and treating $6,424 as a deduction for a Northwest Territories resident earning $80,000. Tax falls from $13,264.20 to $11,394.82, a saving of $1,869.38. Use our marginal tax rate calculator to see your own.
What could change?
The per-day amounts above are for the 2025 tax year, which is the version of the CRA page open on 31 October 2026. The 2026 per-day amounts have not been published yet (checked 31 October 2026), so do not assume they match. Zone lists can also change; check the page for your community each year. For other deductions that depend on your job and region, see our tax deductions in Canada guide, and for what is already confirmed for next year, our 2026 versus 2027 tax numbers page.
Where does this information come from?
Rules and figures come from the Canada Revenue Agency page for line 25500 (northern residents deductions, 2025 tax year), read on 31 October 2026. Checked on 31 October 2026. This is an independent information site: we provide no services, we do not represent the CRA or any organization, we collect information from open sources, and we do not guarantee that anything here is accurate or current. We accept no liability for decisions based on it. Check the official source before you rely on it. See the full disclaimer.
Frequently asked questions
Who can claim the northern residents deductions?
You can claim if you lived on a permanent basis in a prescribed northern (Zone A) or intermediate (Zone B) zone for a continuous period of at least six consecutive months that begins or ends in the tax year. Zone B residents get one-half of the Zone A amounts.
How much is the northern residents residency deduction?
For the 2025 tax year the basic amount is $11.00 a day in Zone A and $5.50 a day in Zone B. The same amounts are added again as the additional amount if you maintain a dwelling there and are the only household claimant for it.
What is the $1,200 in the northern travel deduction?
It is a standard amount per person each year that can be allocated across trips, whether medical or non-medical. For each trip you claim the lowest of the taxable travel benefit or allocated standard amount, your actual travel expenses, and the lowest return airfare to the nearest designated city.
Which form do I file for northern residents deductions?
File Form T2222, Northern Residents Deductions, and enter the amount from line 19 on line 25500 of your return. With paper filing, attach the T2222 but not the receipts. Keep your records for at least six years.
Can I claim the travel deduction without the residency deduction?
Yes. The CRA says you can claim the northern travel deduction without claiming the residency deduction. You still need to have lived in the prescribed zone, and you cannot claim a trip that was covered by a non-taxable allowance or reimbursement.
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