'the Cra Lied To Us' About Tax Credit, Say Diabetes Advocacy Groups
Diabetes research and advocacy groups say the Canada Revenue Agency has been lying to them about changes to how it assesses applications for the disability tax credit. In order to qualify for the credit, the CRA requires adults with Type 1 diabetes to spend at least 14 hours a week on activities, specified by the agency, related to administering insulin. A patient's physician must confirm those hours to the CRA. Diabetes Canada and the Juvenile Diabetes Research Foundation obtained an internal CRA memo, dated May 2, 2017, that says: "Unless there are exceptional circumstances, adults with diabetes can generally manage their daily insulin therapy without taking 14 hours per week." Kimberley Hanson of Diabetes Canada says that effectively means most adults with Type 1 diabetes will be denied the disability tax credit, even if they had been approved in previous years. "It put into place a practice whereby no matter what a doctor or a nurse practitioner certifies for their patient, the agent is to disbelieve that and say no," said Hanson at a news conference Monday in Ottawa. Conservatives accuse Liberals of diabetes tax grab Since May, people with Type 1 diabetes have complained that hundreds of them were suddenly being turned down for the tax credit. Hanson said they started asking questions and the CRA denied there were any substantial changes. "I consider that the CRA lied to us in not admitting they sent this email May 2nd and pretending that they were shocked that there had been a change and that it was impacting so many people," she said. No change, minister says National Revenue Minister Diane Lebouthillier has faced questions recently in the House of Commons about the increase in denied applications. At the time, she said there has been no change in the criteria us Continue reading >>
People With Diabetes Losing Disability Tax Credit Because Of 'advances In Technology': Minister
People with diabetes losing disability tax credit because of 'advances in technology': minister Published Monday, October 23, 2017 10:00PM EDT According to a letter obtained by CTV News, advances in technology is the reason that most adults with diabetes now dont qualify for a disability credit that can reduce their tax bills by as much as $1,500 a year. In the July 31, 2017 letter, Revenue Minister Diane Lebouthillier explained that in order to receive a disability tax credit under the Income Tax Act, one must require life-sustaining therapy (LST) at least three times each week for a total period averaging at least 14 hours a week to sustain a vital function. In the case of portable devices like insulin pumps, the time that the device takes to deliver the therapy does not count toward the 14-hour requirement, Lebouthillier added in the letter. Activities like following a dietary restriction, exercising, traveling to receive therapy, going to medical appointments, shopping for medication, or recuperating after therapy do not count towards the 14-hour requirement. A leading reason for people with diabetes losing their special tax status, the letter suggested, are modern, portable insulin pumps. In general, and with consideration given to recent advances in technology, adults who independently manage their insulin therapy on a regular basis are unlikely to meet the 14-hours-per-week requirement, Lebouthillier wrote. According to Diabetes Canada , as many as 150,000 Canadians now stand to lose their disability tax credit under the Liberal governments current interpretation of the Income Tax Act, which seems to have been adopted early this year. Diabetes sufferers have been eligible for the disability tax credit for over a decade, but now this government is stripping it aw Continue reading >>
Can I Get Disability For Diabetes?
Today, there are 11 million Canadians living with diabetes or prediabetes. Every three minutes, another Canadian is diagnosed with the condition. Diabetes is a chronic, debilitating – and sometimes fatal – disease, where the body cannot produce an adequate amount of insulin for the body, or can’t correctly utilize the insulin it does produce. Insulin is a vital hormone that regulates blood-sugar levels. Without sufficient supply of insulin, a person risks damaged organs, blood vessels, and nerves. There are two types of diabetes: type 1 diabetes, and type 2 diabetes. Type 1 diabetes is characterized by the body’s immune system mistakenly attacking and killing beta cells in the pancreas. Since beta cells are responsible for distributing insulin into the blood via the pancreas, without their presence, sugar in the blood builds up rather than being used for energy. Type 1 diabetes is usually treated with insulin dosages; careful meal planning can also regulate blood sugar levels. Type 2 diabetes occurs when the body can’t properly use the insulin it does produce (called insulin insensitivity). This is the most common type of diabetes, affecting 90% of people with the disease. Depending on the severity, the condition can be managed through meal planning, physical activity, or medications. Diabetes has an array of signs and symptoms, the most common being: Unusual thirst Frequent urination Weight change Extreme fatigue / lack of energy Blurred vision Cuts and bruises that heal slowly Tingling or numbness in hands or feet It’s important to note that these are predominantly Type 1 diabetes symptoms; type 2 diabetes may display no symptoms. Canadian Disability Tax Credit for Diabetes While people with diabetes can live an active, independent lifestyle, they’ll nee Continue reading >>
Does Diabetes Qualify For Disability Tax Credit?
Todd Korol/National Post Last week’s Family Finance column profiled a young couple, Tim and Kathleen, and mentioned that Tim’s disability and diabetes qualifies him to open a registered disability savings plan. Eligibility to open an RDSP is dependent on qualifying for the disability tax credit (DTC). That diabetes would entitle an individual to claim the DTC surprised some readers, who asked for clarification. Under the Income Tax Act, the DTC is available to people with a “severe and prolonged impairment in physical or mental functions” which markedly restricts one or more of the individual’s basic activities of daily living or would markedly restrict an activity if it wasn’t for “life sustaining therapy.” Life-sustaining therapy is therapy that an individual requires to support a vital function and is administered at least three times per week for an average of at least 14 hours per week. The purpose of this rule is to allow individuals to be eligible for the DTC if they must have life-sustaining therapy that requires them to dedicate a significant amount of time away from their normal, everyday activities to receive the therapy. In 2005, the tax rules were amended to state that if the therapy has been determined to require a regular dosage of medication that needs to be adjusted on a daily basis, the activities directly involved in determining the appropriate dosage are considered part of the therapy. As a result of this change, a child with Type 1 diabetes who is unable to independently adjust his or her insulin dosage may now qualify for the DTC taking account into time spent by his or her parents in assisting the child to administer the insulin. Since the amendment passed, there have been at least two reported cases in which the CRA challenged the Continue reading >>
Tax Credits & Your Rights
What is Diabetes Canada's position on tax credits for people living with diabetes? The Government of Canada should institute a system of enhanced tax credits wherein people with diabetes would be eligible for consideration for a non-refundable tax credit or a refundable payout specifically designed to reduce the burden of higher medical and treatment costs. The Disability Tax Credit (DTC) for Canadians with Diabetes People with type 1 diabetes may be eligible for the Disability Tax Credit (DTC) if they meet the eligibility criteria for receiving a life-sustaining therapy. What are the eligibility criteria for the DTC? The Canada Revenue Agency (CRA) must receive confirmation that the applicant spends at least 14 hours per week on the activities specified by the CRA (listed below) that are related to administering insulin. Who can apply for the DTC? Parents of children with type 1 diabetes Kids with type 1 diabetes under the age 18 years may be eligible for the DTC, as long as the child’s physician signs the T2201 Disability Tax Credit Certificate to certify that the eligibility criteria are met. Most kids under age 18 qualify for the DTC because the child and parent/guardian time can be combined to meet the 14 hour per week criteria. The CRA will require individuals to reapply when they turn age 18. Adults with type 1 diabetes Adults must discuss their eligibility with their doctor. Many adults with type 1 diabetes do not qualify for the DTC because the CRA has not received adequate information that they spend at least 14 hours per week on the activities specified by the CRA related to administering insulin. The CRA must receive confirmation from physicians that their patients who are applying for the DTC spend at least 14 hours per week on the activities. It may be h Continue reading >>
Disability Tax Credit, Type 1 Diabetes, And A Call To Action In Canada
Outside of November (World Diabetes Month), it’s not that often that Type 1 diabetes hits the mainstream media. This past week though, if you’ve been anywhere near the tv news, talk radio, or a facebook feed, you’ve probably heard that the Canadian Revenue Agency (CRA) has made drastic cuts in approvals of Disability Tax Credit applications for adults living with Type 1 diabetes. This has been done without any substantiated explanation or evidence to support that any Type 1 diabetes therapy requires fewer than 14 hours per week to manage – the standard being used for approval of the credit. The CRA denial documents claim that “the type of therapy indicated [in patient applications do] not meet the 14 hour per week criteria.” This, followed up by a letter from Revenue Minister Diane Lebouthillier outlining that the CRA believes that advances in technology (read: Insulin Pumps) have decreased the time needed by adults to care for for Type 1 diabetes. Perhaps the biggest insult to the Type 1 community is the fact that the CRA has decided that their evaluation of the care needed for Type 1 diabetes supersedes the recommendations of the medical community. Each applicant works with a medical professional to document the minutes and hours required for proper care. An application cannot be submitted without a signature from a medical professional (and, in most cases, follow-up communication with that medical professional to confirm the details included in the application.) All of this seems confusing if you aren’t familiar with the credit or the costs of living with Type 1 diabetes in Canada. We wanted to take a moment to address some misconceptions, to lay out some facts, and to encourage the community to take action outside of social media and really make our vo Continue reading >>
Disability Tax Credit - Take Action!
The Disability Tax Credit is an ongoing and important advocacy issue for Diabetes Canada. In the summer of 2017, concerned individuals contacted Diabetes Canada about their DTC claims being denied. Upon further investigation it was discovered that the Canada Revenue Agency (CRA) had begun denying almost every person with type 1 diabetes, whether they were applying for the first time or reapplying for a credit theyd already been receiving for years. Ultimately, we determined that a procedural change implemented by the CRA on May 2, 2017 effectively blocked all adults with type 1 diabetes from accessing the DTC or RDSP. Diabetes Canada immediately began partnering with JDRF, the Canadian Medical Association, Canadian Nurses Association, Canadian Society of Endocrinology and Metabolism and BC Diabetes to push for change . 1. Revert to pre-May interpretations of applications for the DTC from adults with T1D 2. Review all applications denied since May 1, 2017 under pre-May interpretation criteria 3. Re-establish the Disability Advisory Committee to provide a balanced patient perspective and ensure oversight of the CRAs management of the DTC 4. Revise eligibility criteria to explicitly allow carbohydrate counting (currently, this is not allowed) and make the application form clearer for doctors and patients to complete On December 8, the CRA announced that it has implemented Diabetes Canadas requests 1, 2 and 3, and that it will ask the Disability Advisory Committee to study our request number 4. As of early January, Diabetes Canada is aware of 400 Canadians who had been denied the DTC since May and have been approved since December 2017. Also, in early 2018 the Standing Senate Committee on Social Affairs, Science and Technology undertook a study of the DTC and RDSP. Diabete Continue reading >>
Disability Tax Credits And Benefits For Diabetes (type 2)
Disability Tax Credits and Benefits for Diabetes (Type 2) Up to $40,000 in Canada Revenue Agency (CRA) retroactive tax refunds If you or a family member is disabled with diabetes, you may be eligible for retroactive refunds from your past 10 years of paid taxes up to $40,000. Up to $90,000 when setting up a Registered Disability Savings Plan (RDSP) For those taking advantage of the plan, the Canadian government will provide yearly financial support in the form of matching grants up to $3,500 per year and bonds up to $1,000 per year. Contact us for a free consultation with no obligation. When we work with you to obtain retroactive tax refunds, we work on a contingency basis. There is no cost to you unless we obtain a refund. If we are successful, our fee is 25% of the refund. HandyTax works with families members to maximize any tax refund related to a disability family member. Trust HandyTax to communicate with the government and medical staff securely and confidentially. Telephone: 1-888-343-1155 Email: [email protected] Open Daily from 11AM-5PM EST * Voicemails are generally returned within 24 hours HandyTax has had success in the past helping disabled Canadians with diabetes get retroactive disability tax credit refunds from the Canada Revenue Agency. Tax refunds depend on your personal situation and actual refunds can range anywhere below, $40,000. The entire process takes between 3 and 9 months to complete as communication between the CRA and your qualified practitioner are the source of the varying time periods to completion. If you suffer from diabetes, you may qualify for the Disability Tax Credit under more than one category, including, but not limited to, walking, dressing, feeding and mental functions. Type-2 diabetes is not the same as type-1 diabetes, in tha Continue reading >>
Disability Tax Credit For Diabetes
It’s estimated that 285 million people in the world are affected by some form of diabetes. It’s also estimated that seven million new cases of diabetes will develop worldwide each year. For this, the Canadian government offers support through the Disability Tax Credit for Diabetes. The World Health Organization (WHO) estimates that, today, more than nine million Canadians live with diabetes or pre-diabetes, with 10 percent suffering from Type I Diabetes, and the number of people diagnosed with Type 2 Diabetes increasing at a dramatic rate. What is Diabetes? Diabetes is a chronic condition. It stems from the body being unable to produce or properly use insulin in sufficient amounts. The body uses insulin to break down sugars. Sugar is used as an energy source in our bodies. Diabetes can lead to serious complications including: Heart Disease Stroke High Blood Pressure High Cholesterol Vision Loss Kidney Failure Amputations of the legs and feet Premature Death The Most Common Forms of Diabetes are: Type 1 Diabetes accounts for about 5 percent of all diagnosed cases of diabetes. Type 1 usually occurs in adolescents and children, but it can occur at any age. In Type 1 diabetes, the body no longer produces insulin and the patient must take daily insulin injections or use an insulin pump. Type 2 Diabetes accounts for about 95 percent of adult diabetes. Healthy eating and regular exercise in combination with oral medication can help control or prevent health complications. Gestational Diabetes develops during pregnancy. Gestational diabetes can cause problems for both mother and fetus, as well as lead to Type 2 Diabetes developing later on in the mother. Facts about the Rising Incidence of Type 2 Diabetes: There are a number of factors leading to the alarming increase in in Continue reading >>
Cra Reverses Course On Disability Tax Credit Eligibility For Diabetics
Open this photo in gallery: The Canada Revenue Agency took steps Friday to quell a furor over what critics were calling its heartless treatment of diabetics. Disability advocates and opposition parties have been excoriating the agency for weeks over the fact that hundreds of Canadians with Type 1 diabetes have suddenly found themselves ineligible to claim the disability tax credit, even though they've previously qualified for it. The CRA insisted there's been no change in the eligibility criteria, which requires an individual to spend at least 14 hours a week engaged in activities related to the administration of insulin. But diabetes support groups pointed to a May clarification letter sent by the CRA to doctors who provide the medical information needed to support a claim for the tax credit. That letter said only in "exceptional circumstances" would adult diabetics need 14 hours a week to manage their insulin therapy; most would not – which would mean they're not eligible for the credit. The CRA said Friday that it will revert to the clarification letter that existed prior to May, and review all applications for the disability tax credit that have been denied based on the May letter. Diabetes Canada welcomed the move. Kimberley Hanson, director of federal affairs for the group, said she hopes the review "serves as an opportunity to make the application process clearer for those who need to access this much needed credit and ultimately provides financial relief and fairness for those living with Type 1 diabetes." The advocacy group argues that the disability tax credit is essential to help diabetics pay for medication, medical supplies and devices and that the loss of the credit had caused enormous stress and financial hardship for those affected. Revenue Minister Di Continue reading >>
Disability Tax Credit For People With Diabetes
Disability Tax Credit for People with Diabetes You are here: Home / Disability Tax Credit for People with Diabetes Many people think of our understanding of diabetes as being part of modern medicine. However, knowledge of diabetes dates back several thousand years, to 1552 B.C.E. (Before the Common Era). It was first mentioned by an Egyptian physician during the 3rd Dynasty. The physician’s name was Hesy-Ra and he was perhaps the first doctor to ever identify the condition. However, it wasn’t until 1452 that the word ‘diabete’ was first used, and in the `6th century “Swiss physician Phillipus Aureolus Paracelsus – considered the ‘Martin Luther of Medicine’ – identifies diabetes as a serious general disorder.” Ultimately, however, it was a Canadian doctor by the name of Frederick Banting, the famous physician who discovered Penicillin, who also discovered Insulin. He went on to work with a former student, Dr. Charles Best and began their experiments in earnest in the 1920s. In January 1922, a patient at Toronto General Hospital was the first person in the world to receive Insulin as treatment for his diabetes. He lived for thirteen years after his first treatment. By 1923, Insulin was made commercially available in Canada and the U.S. Dr. Banting became Sir Frederick Banting in 1934, after being knighted by King George V. By 1949, Dr. Best co-founded the Canadian Diabetes Association. In 2010, Dr. Banting and Dr. best were named as Canada’s two greatest inventors. Alongside all these honours, Dr. Banting also received the Nobel Prize for medicine. The work of Banting and Best has inspired thousands of men and women to enter the field diabetes research, and saved the lives of millions of people who use Insulin each day for their diabetes management. Continue reading >>
Disability Tax Credit
What is the Disability Tax Credit? The Disability Tax Credit is a credit offered by Revenue Canada to those of who have a severe mental or physical impairment which markedly restricts the basic activities of daily living and/or need and dedicate time for Life Sustaining Therapy (Therapy that must occur at least 3 times per week for more than 14 hours per week). They further require that the person eligible have an impairment that has lasted or is expected to last for a period of 12 continuous months. Further Revenue Canada notes "For the purposes of the disability amount, Life Sustaining Therapy is any treatment for a disease or a disorder that, if withheld would prevent the functioning on one or a group of vital organs to sustain human life." There are some who do not wish to be labelled as "disabled" or have their child carry such a label. I respect that but for myself and others, any financial relief provided by the Federal government is accepted and desired. Please note...that CRA has reverted to its pre-May 2017 policy regarding people living with diabetes who apply for the Disability Tax Credit. They are also currently reviewing applications that were denied after that date. We would also ask that you continue make your MP aware of this issue. Who Can Apply? The Disability Tax Credit is available to those who have a taxable income and who are markedly restricted in the Basic Acts of Daily Living OR require 14 or more hours per week to administer Life Sustaining Therapy. My child or I have Type 1 Diabetes. Do either of us qualify? Yes! While the qualification criteria for a child under 18 is slightly different from that of an adult, if both of you are intensively managing your diabetes care (you are using MDI or an insulin pump), you most likely will qualify. Child Continue reading >>
The Disability Tax Credit For People With Diabetes: Could You Be Eligible?
Home Living Well With Diabetes -Articles Support The disability tax credit for people with diabetes: could you be eligible? The disability tax credit for people with diabetes: could you be eligible? Canadian tax form. Personal income tax form used in Canada. While many people with diabetes might not describe their condition as a disability, people who spend a great deal of time and have great difficulty with their day-to-day diabetes management, may be able to apply for a disability tax credit from the Canada Revenue Agency. According to the Agencys website , The disability tax credit is a non-refundable tax credit used to reduce income tax payable A person with a severe and prolonged impairment in physical or mental functions may claim the disability amount once they are eligible for the credit. The rationale behind the disability tax credit is to provide relief to taxpayers for their disability costs, since these are additional and unavoidable expenses that other taxpayers dont face. The process of applying for the disability tax credit is prepared in conjunction with your doctor. He or she will submit the necessary application forms and backup material to the Canada Revenue Agency, if it is determined that you are eligible. Tobe eligiblefor the disability tax credit, you must meet all of the following requirements: You must have an impairment in physical or mental functionsthat is prolonged, which means it has lasted, or is expected to last, for a continuous period of at least 12 months. The impairment must be severe, and it must restrict you all or mostly all of the time (at least 90% of the time). Your severe and prolonged impairment must be certified by a qualified practitioner (in the case of a person with diabetes, a doctor). At the Canada Revenue Agency websit Continue reading >>
Diabetes And Social Security Disability
Diabetes - Condition Diabetes is a medical condition in which a person’s level of glucose, or blood sugar, is elevated. In a properly functioning circulatory system, blood carries glucose to all the cells in the body in order to produce energy, while the pancreas produces insulin to help the body absorb excess glucose. High levels of glucose in the blood are an indication that the body is not producing enough insulin, or that the insulin produced is not working as it should to help the body absorb glucose, indicating a Diabetic or pre-Diabetic condition. There are three types of Diabetes: Type 1, or “juvenile” Diabetes Type 2, or “adult onset” Diabetes, and Gestational Diabetes Diabetes mellitus is the medical name for both Type 1 and Type 2 Diabetes. Pre-Diabetes is a condition in which blood glucose levels are elevated, indicating that an individual has a high risk of developing full-fledged Diabetes. Diabetes is a very serious disease which can result in high blood pressure, damage to the eyes, nerve damage, kidney disease, heart disease, blindness, and stroke. In addition, it is not uncommon for a long term diabetic to loose limbs to amputation because of poor circulation. Symptoms The presence of Diabetes is generally indicated by some combination of several symptoms. A diabetic will often experience unexplained: frequent need to urinate, especially if it is combined with extreme thirst, chronic hunger, especially between meals, fatigue, weight loss, and/or general feelings of irritability Many diabetics report dry, itchy skin and trouble with genital itching and fungal infections. A tingling sensation or numbness in the feet is another indication, as is blurred vision. Finally, the skin of many diabetics is slow to heal from wounds, skin abrasions, or so Continue reading >>
Disability Tax Credit And Type 1 Diabetes
UPDATE (Oct 24, 2017): JDRF believes the Canada Revenue Agency (CRA) interpretation of the rules regarding life-sustaining therapy has now changed, resulting in many Canadians with type 1 diabetes being denied the tax relief they're eligible for under the Disability Tax Credit. On October 20, JDRF addressed members of Canada’s Standing Committee on Finance, advocating to make this benefit more widely available to all Canadians living with type 1 diabetes. The CRA has invited JDRF to meet on October 25 to discuss this issue further. Find out more in this press release. --- Are you eligible for the tax breaks? As everyone living with type 1 diabetes (T1D) and their caregivers know, managing the disease can be very costly. The Government of Canada offers some help with this expense, because it officially recognizes T1D as a disability. This allows people living with the disease to apply for a Disability Tax Credit (DTC) and leverage other cost-saving programs. What is the Disability Tax Credit? The DTC is a program designed to help those with disabilities or their caregivers reduce the amount of income tax they pay, offsetting some of the significant medical and treatment expenses. To qualify for the DTC, an individual’s health care provider must submit a T2201 form to the Canada Revenue Agency (CRA), certifying that the disability causes severe and prolonged impairment and describing its impact on their patient’s life. Once approved, the disability amount can be claimed on the individual’s (or their caregiver’s) tax return. “The disability tax credit (DTC) is a nonrefundable tax credit used to reduce the income tax you pay. It's available for people with a severe and prolonged physical or mental impairment, subject to approval by the Canada Revenue Agency (CRA Continue reading >>
