F.A.Q. – Claim Your Canada Tax Credit Refund! (Disability, Caregiver, Single Parent, Aging Parents)

The following is a Frequently Asked Questions (F.A.Q.) list pertaining to: Claim Your Canada Tax Credit Refund! (Disability, Caregiver, Single Parent, Aging Parents)

What are some of the Canadian credits that are available to me?

Some of the more common missed credits are: Disability, Caregiver, Single Parent, and Aging Parent credits.

Can these credits be backdated?

Yes. Tax credits and refunds can be backdated ten (10) years. In some cases, it may be possible to go back prior to ten years.

How large will my credit be, and my refund?

Depending on your medical and tax situation, it could be as much as $45,000 over a ten (10) year period. Even one backdated adjustment could be $15,000.

Can these credits be applied towards future years?

Yes.

What is the Disability Tax Credit? (DTC)

The Disability Tax Credit (DTC) is an income tax credit for those that qualify, primarily for those that have severe and prolonged medical conditions.

How long of a period of time is significant enough to be considered for the DTC?

If your condition is present most of the time, such as 90% of the time and you have had that condition for more than twelve (12) months, you may qualify. This could be any twelve (12) months during the past ten (10) years.

What if my health condition has not appeared in the last twelve (12) months? Or in another twelve (12) month period?

It may be possible that once we review the existence of your condition over a period of ten (10) years, that not all years qualify. It is also possible that your health condition is in a health category where remission or expectations of recurrence are at play. We will help frame your application for the best success. We have helped many people understand the rules surrounding qualification.

Do you advocate on my behalf?

Yes. The areas of law and medical conditions can be confusing. We help place your application with the best possible chance for success. We will advocate for you on areas of interpretation that may be ambiguous. Our only aim is to help you succeed.

What if I don’t qualify for the Disability Tax Credit (DTC)?

If you or your family member do not qualify for the DTC, it is possible to qualify for some of the many other credits available for those with various health impairments.

What if my doctor won’t help me, as I am not significantly or severely “disabled?”

This is a common problem that we encounter. Medical professionals often think that disabilities must be extremely severe in order to qualify. This is just not the case. In addition, they are not tax credit or financial experts, and are in the business of managing health conditions. They also have stress and shortage of time. Not all health conditions need to be classified as severe. Some medical professionals need education, persuasion and assurance that we will handle the administration, not their medical offices.

Do you have medical professionals that will assist if mine will not?

In many cases, we have alternative medical providers that will assist on writing medical history, and this depends on the health condition and rules related to that health condition. For instance, some medical conditions allow a registered nurse to document history in your file and other health conditions do not. We will work with you to overcome barriers and find the solution.

Are both provincial and federal credits available?

Yes. Credits vary widely between provinces.

How come my accountant has not told me about this in the past, when filing my income tax return?

Not all tax accountants are experts, or even interested in, the nuances and complexities of the Disability Tax Credit (DTC) and the various other provincial and federal credit programs. An accountant will not typically do more than have you bring the form to your doctor. Accountants do not advocate on your behalf nor do they coordinate the various provincial and federal tax programs available. We are passionate about advocating for you, to ensure you receive all the credits you qualify for.

What if my health impairment is not substantial enough or does not exist most of the time?

Some conditions have severe episodes and often disappear for a time or have long-term effects that are unique to the condition. We can help you understand the criteria for the health condition that you have and your chances for approval.

What are some of the health conditions considered for credit?

There are many conditions that qualify for credit including those of a mental or physical nature. Many rules surrounding health conditions were expanded at this writing (2020).

How do I determine when my medical condition began?

We will coordinate with medical practitioners including your medical doctor if needed, in order to determine when you were diagnosed. However, often health conditions have occurred much earlier than that diagnosed by your doctor. We will advocate on your behalf to ensure we have the correct commencement date of your medical condition.

What about seniors?

Many people are surprised to learn that there are credits available for seniors over the age of 65 years.

What if I have been declined in the past for the DTC?

If your claims are denied, it is difficult to appeal the decision. Therefore, we strongly urge that you take steps to submit your application correctly in the first instance. That being said, it is possible to appeal a prior decision due to changing or other conditions.

If I am not working or have low income, can I still qualify for credit?

Generally, income must be at a level of $20,000 or higher in order to benefit. In many cases however, it is possible to transfer the credit to someone close to you, such as a caregiver.

Who may I transfer credits to?

If the person with the health disability or impairment cannot use the tax credit, we may be able to transfer the tax credit to a related taxpayer that can use the credit (and thus receive a refund). Transfers can occur between spouses or from children, and others. In many cases, transfers are available from parents and grandparents.

What if the person is deceased?

You can still apply for credit if the person with the disability or impairment is deceased. This can often be done by the surviving spouse, dependent, caregiver, family member, or executor/administrator.

How do I go about applying for the Disability Tax Credit? (DTC) Or other credit programs?

We will help you gather and coordinate your medical papers including having a medical practitioner assert to your medical history, including the time frames of your condition and severity. We will then work with you to organize the best presentation for the best chances of success. We will coordinate with the government officials of the program and advocate on your behalf.

Do I need to keep applying each year?

Not necessarily. In cases where the health condition or impairment is severe and prolonged, and in a specific category, the credit does not need to be applied for each year. Other times, approval may be granted for a specific period of time, such as five (5) years.

Are there any negatives to making the tax credit applications?

As we deal with tax credits, this would not concern any other provincial or federal income program you may be receiving income from. The application may cause an increase due to recalculation of credits that affect income programs (such as Canada Child Benefit or Canada Child Disability programs).

What are some of the other positives to making the tax credit applications?

Qualifying for the Disability Tax Credit (DTC) means that you also qualify for other programs.

Tell me about the Registered Disability Savings Plan (RDSP)?

One such program you may qualify for (for DTC recipients) is the Registered Disability Savings Plan (RDSP). This is a federal government savings program where your contribution amounts are matched over time through Canada Savings Disability Bond (CDSB) and Canada Disability Savings Grant (CDSG). Depending on income and other factors, the beneficiary could be eligible for a lifetime grant of $70,000.

When should I start?

There is no need to wait. These credits can be applied for at any time.

Do you have a set-up fee?

We charge a client set-up fee of $120, which includes all the documentation you need to get started.

Do you charge an initial consultation fee?

We do not charge for an initial consultation to determine if you are likely to qualify. Contact Joanne today for a no-obligation consultation to understand if you qualify: Book a Consultation Now.

How are you compensated?

After setting up your file, we can work in one of two ways, which is completely up to you:
1. An hourly fee to proceed with each of your past ten (10) years. This is often the most cost-effective option, and requires payment up front.
2. A percentage fee, paid only if we are successful. This option is preferred for those that are unsure on how long the process will take, or for complicated scenarios. In this option, you do not pay any fees until we are SUCCESSFUL with your credit claims.

How would I start?

The qualification criteria can be confusing. We invite you to a no-charge review of your personal and family situation. It will not take long to determine what credits were missed and your chances of success to qualify.

Contact Joanne today for a no-obligation consultation to see if you may qualify: Book a Consultation Now.