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Is it Possible to Automatically Qualify for the Disability Tax Credit?

September 05, 2013

There are numerous disability support programs available. In Canada, it is possible to receive federal and provincial care. These unique programs operate independently. This means qualifying for one does not mean automatic qualification for the Disability Tax Credit.

Automatic Qualification Is it Possible to Automatically Qualify for the Disability Tax Credit?

Applying for disability support is frustrating. There is a lot of paperwork and correspondence required. It can be laborious to think about having to apply numerous times to receive all the support that is available.

Many people believe that qualifying for provincial benefits should automatically qualify them for federal benefits too. Unfortunately, this is a myth because each disability support program serves a unique purpose. Learn about what makes the Disability Tax Credit different from other support programs and how to apply for this federal assistance.

What makes the Disability Tax Credit Different?

Most provincial benefit programs examine an individual’s ability to earn income. The Disability Tax Credit, a federal benefit, examines the affects a person’s disability has on his or her daily life. Also, it is a tax credit; its purpose is to decrease the amount an individual must pay in taxes. This can sometimes compensate for significant medical expenses. Even without a taxable income, qualifying for the Disability Tax Credit can open doors to other benefit programs.

What is the Disability Tax Credit?

The government of Canada has money reserved for people with disabilities. This money is given to those who file the Disability Tax Credit on annual income tax forms. It also allows these individuals to back-file and receive substantial amounts of money (from $1,500 to $40,000!).

This credit is not meant to replace income. While it does not offer cash payouts, it can lower the financial burden of disability by lowering tax rates.

The Application Process for the Disability Tax Credit

Like all benefit programs, one must fill out an application to be considered. The Disability Tax Credit Certificate is also known by its tax code: T2201 form. This application is different from other applications because it requires the input of a medical practitioner. After the T2201 form is filed, it is reviewed by the Canada Revenue Agency’s medical board. This board considers how the physical or mental impairment affects a person’s daily living. A decision may be made to award the Disability Tax Credit if it seems the present disability impedes a person’s quality of life.

The National Benefit Authority is available to assist people in getting the money owed to them by federal government. Benefit specialists make the application paperwork and correspondence easy. The NBA exists to guide people with disabilities through this process and have been able to successfully represent thousands of applicants. Call the NBA for a free consultation at 1888-389-0080 or fill out this form:

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