Personal tax credits and benefit programs that rely on those credits impact on the family’s ability to maximize wealth; and, equally important, to minimize risk and tax.
Eileen Reppenhagen is passionate about taxpayers rights about the rules. In 2005, she volunteered to advise CRA Benefits Administration about disability administration. The Disability Advisory Committee met three times formally, and informally almost every month from 2006 until 2010, when the Benefits Administrator retired.
Tax credits aren't usually refundable, which is why it's so important for families to discover what support means and how credits are transferrable if support can be proven.
Persons with a disability should not be blocked from requesting the Form T2201 completion by doctors when provincial/territorial social workers erroneously believe that a claim by the family for the transfer of a tax credit will reduce eligiblity for provincial/territorial benefits, but it happens.
Provincial benefit programs often reward poverty instead of employment. Families may be marginalized by the simple fact they can't have any money in the bank, or display any ownership of assets without threat of reduction or elimination of benefits. The RDSP program was set up to address this, but it's far from successful because the province/territories aren't on board. Here's what PLAN reported about the Senate Committe report March 26, 2014.
Persons with disabilities are blocked from accessing the RDSP plans by provincial/territorial lack of concern about setting up laws that would support legal representation. See the federal budget commentary this year for how politicians at the provincial/territorial level haven't stepped up to make the RDSP accessible across the country.
Box 85 which reports premiums for extended health and dental plans on your T4 (not mandatory yet) is just one of the many improvements in how CRA communicates with taxpayers. This year, a new box, Box 135 was added to the T4A to report EH&DB premiums paid by federal government employees. Next year RCMP retirees will see this Box on their T4A pension reporting.
These videos were created specifically for doctors, the Qualified Medical Practitioners to provide understanding and compassion to families seeking to complete the necessary paperwork to be entitled to claim a transferrable credit. Yes, doctors bear the brunt of our current system, it's as if the government threw families and their doctors off the same bus where tax credits were concerned. With over 150 medical expenses, most requiring certification in writing, plus disability, and now infirmity documentation, it's complex, and its absurd.toto to
there's a supplement to the disability amount, clawed back by child care or attendant care paid for that child. You won't find it on the TD1 and in the tax software it calculates in the background in the dependent window.
Benefits paid to or for persons with disabilities will not create a taxable fringe benefit ITA 6(16) if employee is certified by T2201 to be a person with a disability. Includes actual cost or reasonable allowance for transportation to / from work and cost of attendant to assist person with disability in performance of duties
Landlords - See T4036 rental Guide, Capital expenses, special situations. Renovations to Income Producing Buildings to allow access (landlords and employers) are a current expense, not capitalized for ramps, door openers, widening doorways, bathrooms, elevators, doorways and prescribed devices including elevator car position indicators, visual fire alarms, listening devices for group meetings or telephone devices for hearing impairment; software and hardware attachments
(6) For the purposes of paragraphs (d) and (e) of the description of B in subsection 118(1) and paragraph 118(4)(e), “dependant” of an individual for a taxation year means a person who at any time in the year is dependent on the individual for support and is
(a) the child or grandchild of the individual or of the individual’s spouse or common-law partner; or
(b) the parent, grandparent, brother, sister, uncle, aunt, niece or nephew, if resident in Canada at any time in the year, of the individual or of the individual’s spouse or common-law partner.
References to medical practitioners, S. 118.4(2),For the purposes of sections 63, 64, 118.2, 118.3 and 118.6, a reference to an audiologist, dentist, medical doctor, medical practitioner, nurse, occupational therapist, optometrist, pharmacist, physiotherapist, psychologist, or speech-language pathologist is a reference to a person authorized to practise as such,
(a) where the reference is used in respect of a service rendered to a taxpayer, pursuant to the laws of the jurisdiction in which the service is rendered;
(b) where the reference is used in respect of a certificate issued by the person in respect of a taxpayer, pursuant to the laws of the jurisdiction in which the taxpayer resides or of a province; and
(c) where the reference is used in respect of a prescription issued by the person for property to be provided to or for the use of a taxpayer, pursuant to the laws of the jurisdiction in which the taxpayer resides, of a province or of the jurisdiction in which the property is provided.
Note: Speech language pathologists are not licenced in BC...
T4002 is the guide for Business and Professional Income for self-employed or professional or commission sales persons who file a T2125 to report their income on a T1.
There is a very comprehensive section on PHSPs (yes, it's a line on the T2125 form) and in the T4002, you'll find it by scrolling beyond Line 9270 – Other Expenses.
Click on the link, under Expenses, find Line 9270 and scroll down from there to see the whole instruction set as to what you can claim, depending on whether or not you have employees, and how much you make or what percentage of what you make is self-employed. Like I said, it's very comprehensive.
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