As Canada’s population ages, a growing number of older adults—many of whom are single—are finding themselves at a financial disadvantage, not because of poor planning or lack of responsibility, but because of systemic inequities built into our tax policies. Single seniors have carried a disproportionate tax burden for too long compared to their coupled counterparts, despite having similar or fewer resources. It’s time we name this for what it is: taxation discrimination.​

The Hidden Penalty of Being Single

Single older Canadians 65+—whether widowed, divorced, separated or never married – often live on fixed incomes, rely on personal savings, and receive no benefit from pension income-splitting or unused credits transferred from a spouse. Yet, they still face similar non-discretionary costs for mortgages, rent, utilities, home insurance, property taxes, condo fees, home maintenance, and, caregiving, etc. Many face higher per-person expenses, especially in areas like housing, where no one can share the rent, property taxes, or upkeep.​

Despite this, Canada’s tax system continues to favour senior couples.  Married or common-law couples are eligible for tax breaks that reduce their combined tax bill—benefits unavailable to singles, even when their total income is the same.

Let’s look at some examples of unfair taxation

Single seniors pay proportionally more in income tax than couples with the same combined total income. 

Because of this, they are more likely to exceed the thresholds for the clawback of the non-refundable age amount tax credit and Old Age Security and, therefore, to see reductions in these benefits.

Here are some examples based on the 2022 taxation year:

For calculation assumptions in the chart below, please review the 2025 Pre-Budget Submission to the Federal Finance Committee prepared by Single Seniors for Tax Fairness on their website: singleseniorsfortaxfairness.com/more-info​

As this chart demonstrates, single seniors can pay from $1,755 to over $11,000 more a year in taxes than senior couples.

Further, many single seniors who are unfairly taxed are not eligible for the Guaranteed Income Supplement. 

Federal programs like dental care aren’t specifically for seniors, have nothing to do with marital status, and don’t address the underlying causes of unfair taxation.  Unfair taxation will continue whether those programs are in place or not.

Why This Matters Now

According to Statistics Canada, nearly 30% of Canadians over 65 live alone, and this number is steadily rising. With the growing senior population, it’s vital to ensure that tax policies evolve with demographics. Our current approach doesn’t just impact individuals—it undermines equity and sustainability in the entire retirement landscape.​

We need to recognize the structural disadvantage that single-income seniors face and reframe how we support aging populations, especially those who are aging alone. Tax fairness is a matter of dignity, justice, and smart public policy.​

The facts support change

These issues affect senior women disproportionately. Of the approximately 2.8 million single seniors over 65, 2,000,000 are women and 800,000 are men.

Here are some other facts that underline how unfair the current situation is for single seniors:

• single seniors are four times more likely to live in poverty than senior couples;
• women tend to live longer than men and therefore need more financial supports;
• the average age of women in the “Sandwich Generation, (women known for looking after younger children (and grandchildren) due to having them later in life as well as having older parents due to increases in life expectancies) are in their 60’s; and yet single women in that generation are taxed more;
• more than 50% of seniors are dipping into their personal savings to support children and grandchildren with major expenses; many single seniors have the same responsibilities as senior couples but are taxed more;
• “grey hair” divorce among seniors has increased and is more likely to be initiated by women and yet if they leave unhappy relationships, they are taxed more;
• 39% of seniors (including single women) who are renting their homes are living in unaffordable housing, defined as housing that costs more than 30% of pre-tax household income.  Rents are based on a number of factors but not the number of people living in rental units nor their marital statuses.  Both senior singles and couples are reflected in that unaffordable housing figure and yet singles are taxed more;
• many single seniors face additional expenses related to health care and support for day-to-day tasks; and
• many seniors also face additional expenses related to an increased incidence of chronic medical conditions and a declining ability to manage day-to-day tasks while typically having reduced options to increase their income. Single seniors facing these challenges are taxed more.

What are some single seniors saying?

Mo says: “My husband passed in 2025 and it is the first tax return where we are unable to divide pension or investment income…With my husband’s passing I still have property taxes, car insurance, house maintenance, utility bills etc. My husband did most of the maintenance on our home. Now I am paying people a minimum of $50 an hour for gutter cleaning, mowing, snow clearing etc. very unfair.”

Gail says:” Our society here in Canada is very different now compared to the time frame when some of these tax decisions were implemented. A lot of seniors like myself, now have grown children with or without spouses and/or children landing back on his/her/their doorsteps because they cannot afford to live on their own”

John says: “I am paying the same amount of tax, food costs and other living expenses as couples.  With being on a fixed retirement pension, I have to be careful about where I spend my money.  Anything that can be done would be greatly appreciated.  Hopefully the government will listen.” 

What Can Be Done?

OSSCO and like-minded organizations, such as Single Seniors for Tax Fairness (SSTF), are advocating for:​

• a tax provision for single seniors to offset the considerable reduction in tax payable by couples applying pension income splitting.​
• a new single senior non-refundable tax credit equivalent to half of the personal amount for the applicable taxation year.​
• an increase to the pension income amount from 2,000 to 3,000 for single seniors.​
• an increase to the income clawback thresholds for Old Age Security and the age-amount non-refundable tax credit for single seniors.​
• an amendment to the tax treatment of registered plan proceeds on the death of a single senior to allow a tax-deferred rollover to any beneficiary (regardless of relationship to the deceased) with the proviso that the proceeds be paid out, and taxable to that beneficiary, over a maximum of ten (10) years.​

Raising Our Voices

Promoting tax fairness for single seniors isn’t about asking for more—it’s about asking for equal treatment. As we strive for a more inclusive society, we must ensure that our tax system doesn’t penalize people for aging alone.​

Let’s challenge the assumptions built into the current tax code and work together to create a system that reflects the diversity of senior experiences in Canada. Every senior deserves to age with dignity, security, and fairness, regardless of their marital status.​

For more information on the recommendations by Single Seniors for Tax Fairness, visit their website:singleseniorsfortaxfairness.com/more-info​.  You can also visit the site to join their mailing list.  You can like them on Facebook at www.facebook.com/Singleseniorstax

Single Seniors for Tax Fairness is not advocating for changes to any tax advantages that senior couples receive.  They are focused on greater equality for single seniors.