What is the Child Disability Tax Credit?
It can be surprising to learn there is more than one Disability Tax Credit. The Child Disability Tax Credit can qualify a family for financial support too. Parents who care for disabled children or dependents are able to receive financial relief through tax benefits. Federal government decreases annual taxes for these families so they can live high quality lives despite paying costly medical expenses.
Before addressing other tax credits, it is important to note that substantial earnings can only be claimed with the Disability Tax Credit. This disability support program goes back 10 years, supplying retroactive payments up to $40,000. The federal government has money reserved for people with disabilities. These funds are accessible to those who are markedly or significantly restricted by a disability.
Transferring the Disability Tax Credit
The Disability Tax Credit also provides money for families who care for people with disabilities. These funds are made available when the Disability Tax Credit is transferred from a beneficiary (who may not earn a taxable income) to a family member or supporting person.
The benefits of the Disability Tax Credit are unique. Each person’s restrictions are taken into account on an individual basis. By filling out the Disability Tax Credit right the first time, it is possible to get the full amount of money deserved, quickly.
Other Disability Tax Credits
There are other Disability Tax Credits too. These benefits not only help children; they support families of disabled children as well.
Canada Child Tax Benefit (CCTB) is a “tax-free monthly payment made to eligible families”. Its purpose is to help families with excessive costs of raising a disabled children. Families with children under the age of 18 may qualify for this tax-free monthly payment. This benefit is made possible by collaborations between federal, territorial, provincial, and First Nations governments.
Some families may qualify for the CCTB as well as the Child Disability Benefit (CDB). Both are programs designed to financially assist families who care for severely disabled children.
Parents and guardians desire to put the interests of their children first. Applying for and transferring the Disability Tax Credit may be the best way to ensure a little one is cared for. There are numerous programs that can assist families caring for children with disabilities. Often times, qualifying for the Disability Tax Credit can open doors for other disability support programs. Beyond all else, it can offer substantial amounts of money and, ultimately, peace of mind.
Contact the National Benefit Authority with concerns about financially supporting a disabled child. They can answer many questions in a free consultation. Call 1888-389-0080 or fill out this online form: http://www.thenba.ca/free-consultation.html.