1. What is the Disability Tax Credit or Disability Tax amount?
The Disability Tax Credit, also known as a Disability Tax Amount, is a non-refundable tax credit used to reduce income tax payable for eligible individuals.
2. Who is eligible for the Disability Tax Credit?
Individuals eligible for the Disability Tax Credit should have impairment in physical or mental functions that has lasted or is expected to last for a continuous period of at least 12 months. A qualified practitioner certifies that the impairment is severe and prolonged. Qualified practitioners are doctors, optometrists, audiologists, occupational therapists, physiotherapists, psychologists and speech-language pathologists.
3. Which physical and mental disabilities affecting an individual could make him/her eligible for the Disability Tax Credit?
To see the list of disabilities eligible for tax credit please visit our “Disabilities List” page.
4. Will I still be legible to apply for the Disability Tax Credit even if I do not have a taxable income because my disability prevented me from going to work?
Yes. The Disability Tax Credit can be transferred to supporting family members to reduce their taxable income. Eligibility for the Disability Tax Credit is not solely determined by your annual taxable income.
5. My son/daughter is under 18 and has a disability. Can she claim the Disability Tax Credit even if she/he does not have a taxable income?
Yes. The Disability Tax Credit can be transferred to supporting family members so that the child with disability can claim the Disability Tax Credit.
6. How long does it take to receive the Disability Tax Credit? And do I have to pay tax for it?
Once your claim is filed with the CRA it may take up to 6 months for the institution to process the claim. However, the average time is 16 weeks, or four months. Disability Tax Credit payments are usually made in 3 installments. No, you don’t have to pay taxes for it. The money is non-taxable.
7. I am currently receiving payments from the WCB. Will my WCB payments be affected if I’m eligible for the Disability Tax Credit?
Generally no. The WCB does not consider the Disability Tax Credit in its calculation of net earnings when determining the base amount for which your compensation rate applies. Your provincial WCB can give you a complete description of their calculation method of net earnings.
8. I have had disability since birth. Is the Disability Tax Credit retroactive?
Yes. You may file retroactive claims for up to10 years under the Taxpayer Relief provisions.
9. Can I still apply for the Disability Tax Credit based on restrictions I have had in the past years?
Yes. You can apply for credits/ benefits as long as your restriction lasted continuously for at least one year.
10. If I am deemed eligible for the Disability Tax Credit will it affect my chances of getting approved for other government loans such as OSAP?
No. Your eligibility for the Disability Tax Credit will not affect your application for OSAP/student loans.
11. What assurance do I get that the private information I release remains confidential?
We treat your private information with respect, and in the same way that we would like our private information to be treated. You can be assured that we will protect the privacy of your information.