What was the point of passing the tax-free-psychotherapy law?

The exemption can lower the cost of qualifying psychotherapy and counselling therapy services. The tax treatment of art therapy depends on whether the service qualifies as psychotherapy or counselling therapy and whether it is supplied by an eligible practitioner.

Who can practice art therapy in Toronto?

To practice art therapy in Toronto, practitioners must meet specific educational and professional requirements set by regulatory bodies. Art therapists in Toronto typically need to be registered with the Ontario Art Therapy Association (OATA). The OATA mandates that practitioners hold a graduate-level diploma or equivalent in art therapy. This ensures that they possess the necessary training in both therapeutic techniques and artistic processes to effectively support their clients. Programs such as those offered by the Toronto Art Therapy Institute (TATI) provide comprehensive training and are recognized by the OATA. Additionally, art therapists often pursue registration with the College of Registered Psychotherapists of Ontario (CRPO). The CRPO oversees the practice of psychotherapy in Ontario, ensuring that practitioners adhere to professional standards and ethical guidelines. To register with the CRPO, art therapists must demonstrate that their training meets the requirements for providing psychotherapy, which includes supervised clinical experience and adherence to a code of ethics.

Psychotherapy just became more affordable in Ontario!

Q: What does tax-free psychotherapy mean?

As of June 20, 2024, qualifying psychotherapy and counselling therapy services may be exempt from GST/HST. The exemption depends on both the type of service and the provider’s qualifications. The service must fall within the regulated scope of practice, and the practitioner must be licensed by the relevant provincial regulator or hold equivalent qualifications where the profession is not regulated. Art therapy is not automatically exempt based on its name; it must qualify as psychotherapy or counselling therapy and be supplied by an eligible practitioner.

Tax-Free Psychotherapy in Ontario: What You Need to Know

Psychotherapy Was Taxed — But That’s Changed

If you received psychotherapy services before June 20, 2024, you were likely paying 13% HST without even realizing it. Most psychotherapists included the tax in their fees, and insurance companies simply covered the total — making it practically invisible to clients.

But that changed on June 20, 2024, when the federal GST/HST rules were amended to exempt qualifying psychotherapy and counselling therapy services. At Therapedia Centre, we immediately reduced our session fees by 13%, offering more affordable therapy to our clients. The response? Overwhelmingly positive.

What Does Tax-Free Psychotherapy Mean?

The GST/HST exemption does not automatically apply to every service described as therapy or art therapy. Under CRA rules, both the type of service and the provider’s qualifications must meet the exemption requirements.

A service is generally exempt when it falls within the scope of practice of psychotherapy or counselling therapy in a regulated province and is supplied by a practitioner licensed by the relevant provincial regulatory body. In a province without a regulatory body for that profession, the practitioner must have qualifications equivalent to those required for licensing in a regulated province.

In Ontario, psychotherapy must be within the regulated scope of practice and supplied by an eligible practitioner, such as a psychotherapist registered with CRPO. Art therapy is not automatically tax-exempt based on its name; the exemption applies only when the service qualifies as psychotherapy or counselling therapy and the provider meets the applicable requirements. If a provider supplies both exempt and non-exempt services or goods, GST/HST still applies to the non-exempt items. For details, see the official CRA guidance.

Why Was This Law Passed?

The goal of this change is clear: make mental health services more accessible and affordable. Removing tax lowers the cost of therapy, giving more people access to care when they need it most.

This is especially beneficial in a city like Toronto, where access to affordable therapy can be limited. For those paying out of pocket, even small changes in price matter — especially when combined with sliding scale options offered by many clinics.

Art Therapy in Toronto: Who Can Practice?

Art therapy is a powerful therapeutic approach that blends creativity with emotional healing. But not just anyone can offer it.

To practice art therapy in Toronto, practitioners must meet specific educational and professional requirements set by regulatory bodies.

Qualifications for Art Therapists:

Ontario Art Therapy Association (OATA): Most practitioners are members, requiring a graduate-level diploma in art therapy from a recognized program like the Toronto Art Therapy Institute (TATI).
College of Registered Psychotherapists of Ontario (CRPO): Many art therapists are also registered psychotherapists, adhering to strict professional practice standards that include supervised clinical experience and a code of ethics.

Art Therapy Services at Therapedia Centre

At Therapedia Centre, we’re proud to offer individual and family art therapy in a supportive, inclusive environment. All of our art therapists are registered psychotherapists so our services are provided by qualified, multilingual professionals — and no doctor’s referral is required.

Languages offered include:

English
Farsi
Portuguese
Mandarin
Cantonese

We’re committed to making mental health care more accessible by offering GST/HST-exempt psychotherapy services when both the service and provider meet the CRA requirements, alongside compassionate, culturally sensitive care.

👉 Book an appointment with an art therapist today

Reyhane Namdari

3 minute read

Reyhane has an MA in Child Psychology from McGill University and an MA in Art Therapy from Concordia University. She is trained in attachment theories to address adverse childhood experiences in children, teens, adults and couples. She also supports clients in co-parenting after divorce, parenting neurodivergent children and children with chronic illness. She also supports adults for ADHD symptoms management, burnout, and imposter syndrome.

Member since Mar 15, 2021