Personal Finance - Are you missing out on the disability tax credit?Posted on
This spring I had the opportunity to do some on-site personal tax preparation at a senior’s home on the south side. After two information sessions offering tax tips to the seniors, they were ready for tax filing. It surprised me that so many seniors didn’t know about the disability tax credit and other tax credits they could make use of. Some of these senior citizens weren’t able to walk without a walker, some had memory loss or confusion and were obvious candidates for the disability credit. That prompted me to write about these credits to make the public more aware.
The disability tax credit is available to people that have a prolonged or permanent impairment. This impairment could be several things, including hearing loss, loss of sight, mobility issues, dementia or memory problems, trouble dressing yourself, and so much more. To apply for the disability tax credit a form T2201 must be completed by the taxpayer’s physician. This form is available on the CRA website or we can supply the form to anyone interested. I recommend that the form is reviewed by our office before submitting to CRA to make sure it is complete, and all the relevant information has been included. Once complete we can also courier the form to CRA on behalf of the taxpayer to make sure it gets there. This credit not only applies to senior citizens but to people of all ages who have a disability. If the taxpayer does not have enough taxable income to utilize the credit it can be transferred to a parent or spouse.
For more information on this or other tax credits contact our office and we would be happy to help you weed through the various tax saving opportunities.