Disability Tax Credit…What now?

Disability Tax Credit next steps for people with diabetesLast week, CRA decided to reverse its policy on adults living with Type 1 diabetes and the Disability Tax Credit. If you are in India here is the pan card application online, this is a unique card for taxpayers. This probably has many people wondering..what now?? Here are a few next steps for adults living with type 1.

If you have had your application rejected since May of 2017, CRA has said that they will be re-examining all denied claims for people living with type 1 diabetes.

This means that if you would have previously qualified for the DTC based on pre-May guidelines, your application status will be changed to approved.

If you haven’t made your application yet, you can now do so with some confidence of approval.

If you live with type 1 diabetes and are intensively managing your diabetes, then you could qualify.  As per before May 2017, you will have to show the time you spent.  That time will have to be more than 14 hours per week.  It cannot include time spent on exercise, carb counting or recovering from a low.

Follow the Disability Advisory’s Committee’s actions and calls for action.

The Disability Advisory Committee is made up of professionals and advocates.  They will be working to see the DTC fairly applied to all qualifying individuals.

If you are interested in seeing the credit properly reflect the needs of Canadians and more specifically, Canadians with type 1 diabetes, I would suggest that you follow the activities of this committee. They will be looking for submissions and information from Canadians.  Send in your letters and continue to help them inform Ottawa of why people with diabetes who intensively manage their diabetes qualify for this credit.

Keep the pressure on your MPs.

Make sure that your MP understands that the Liberal government’s recent actions surrounding the Disability Tax Credit are not acceptable.  Let them know that we do not appreciate being lied to.  Ensure that they understand what is involved in diabetes care on a daily basis.  Work to educate them on how people with type 1 diabetes spend over 14 hours on life sustaining therapy.

If you have any more questions or would like someone to review your application before submitting it to CRA for approval, I am always just an email away!

DTC Happy Dance!

Yesterday I did something I haven’t had to do in close to ten years…I filled out my son’s Disability Tax Credit form.  For those who are not in Canada, and those in Canada who just don’t know, the Disability Tax Credit(DTC) is a credit that people with diabetes who are insulin dependent can use on their taxes to reduce their taxable income. People who receive the DTC are also eligible for the Disabled Tax Savings Plan and children who receive the credit may receive a Disabled Child Benefit through the Child Tax Credit. 

The DTC, for people with diabetes, is not given because the government views diabetes as a disability.  It is given because people who are insulin dependent require insulin to live–they require Life Sustaining Therapy.  Life sustaining therapy is a subcategory of the DTC. 

Years ago, I embarked on a lengthy journey to see this tax credit be given to people with diabetes.  At that time some people got it, some didn’t.  It simply seemed to depend on your stamina and the whim of the the CRA agent processing your application.  You can read my real time frustrations here but to make a long story short, after a lengthy time frame, the legislation was amended and people with diabetes were given fair and equal treatment under this act. 

Children with diabetes who were under 14 (and arbitrary age pulled off of the Internet by CRA officials) were automatically given the credit by virtue of a diagnosis of diabetes. It was assumed that the time the child and parent spent on care would easily total over 14 hours per week (the time required to qualify as needing Life Sustaining Therapy). This was a huge victory and many of my friends’ children were given the tax credit until they were 16 and even 18 years old. No child was being given the credit for life. 

Despite the victory for friends, my application was to be reviewed for my son when he turned 15.  I knew it was personal.  I wasn’t paranoid honest! I would go to events and see the CRA booth set up. As I walked by and they saw my name, they would instantly recognize me.  I was sure that having agents of the Canadian Revenue Agency recognize your name was not a good thing. Visions of audits and extended periods of time spent on my returns haunted my nights. 

With this in mind, imagine my anxiety at having to complete a new application for my son? I had been advised that my son’s DTC status would change on January 1, 2013 unless my credit was submitted earlier.  We have a  diabetes clinic appointment next week and the doctor had told me to bring along the form for her to sign.  I was still nervous.  Would they recognize the name? My last name has changed. I have gone back to my maiden name.  Would they still make the connection with my son and his last name? Would I have to fight to prove that yes, we really and honestly do intensively manage his diabetes care. We really do use up well over 14 hours per week in diabetes related junk? I had won this battle once, thousands have since been granted the applications.  They couldn’t hold a grudge forever could they? 

My mind was cynical but confident. Others get the credit. I help others, including adults, get the credit.  My application would not be denied….then I received an email from a friend.  “FYI…in case you didn’t know…” and she proceeded to send me a memo that noted CRA has changed its guidelines.  All children under the age of 18 who have diabetes and have applied for the DTC will now be approved without further question.  Happy dancin!! Happy dancin!!! This was AWESOME! 

My DTC application is ready to go. My heart is light and ideally, CRA will process things in a timely manner and my son’s DTC status will  not change in January even for a short period of time. Did I mention…HAPPY DANCE!!!!