# Applying for disability tax credit



## Addy (Mar 12, 2010)

I have a medical condition that is listed on CRA's disability tax credit website. I want to apply and my doctor has offered to fill out the forms but the problem is my doc has yet to see anyone be approved. Has anyone used these private tax offices that claim to help you with applying? Are they worth it, and can I get some recommendations of who to deal with?


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## Karen (Jul 24, 2010)

Addy, I have completed the application for the disability tax credit on behalf of four different people, my mother, both of my late husbands, and my father-in-law. All four of them were approved with no problems at all. In fact, my mother's was approved for three previous years, and her income tax was reassessed for those years, resulting in about a $10,000 refund. You fill out part of the form yourself, and your doctor completes the other part.

I'm really puzzled about your doctor's comments. There were three different doctors involved for the four applications that I filed, and all of them filled out the forms without expressing any reservations. My father-in-law's doctor phoned me to let me know that someone from the CRA had phoned him to ask for further details about the application, but he obviously satisfied them because Dad's application was approved soon after. The other three were approved without any further information required.

I would strongly recommend that you do it yourself; it is expensive to have it done by one of the services you're asking about, and, in my opinion, it is completely unnecessary.

Have you seen the application form? I found it quite simple and straighforward. I heard someone from one the companies that do this commercially being interviewed on an open line radio show one day, and it made me angry. He was telling the listeners that it was a very complex process, and that is just not so. In fact, I was amazed at how simple it was. The form looks daunting at first glance because it's quite long, but several pages are instructions and definitions, and the other pages only have to be completed for the particular disability/disabilities that apply to you. Here's a link to the form you'll need, the Disability Tax Credit Certificate: http://www.cra-arc.gc.ca/E/pbg/tf/t2201/t2201-fill-11e.pdf


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## FrugalTrader (Oct 13, 2008)

Very helpful Karen, thanks for posting such a detailed response.


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## MoneyGal (Apr 24, 2009)

The form is very simple (and I don't think you need a tax consultant, Addy) but as a general rule it is more difficult to have the form accepted when it is filed on behalf of a younger person versus an older person. 

Many elderly people end up fitting the DTC criteria; it is a relatively common thing for CRA to process. 

Many fewer working-age people apply for the credit.

The nature of the disability claimed is also a factor. 

If you genuinely fit the criteria (and I am not suggesting you do not!) then it may take time, but you should have your application approved. 

However. CRA doesn't list conditions; it assesses degrees of impairment. You must have a severe, prolonged impairment in a basic function of living (walking, speaking, hearing, feeding yourself) in order to qualify, and it must not be ameliorated by interventions (so, if you are hearing-impaired but your hearing can be corrected by the use of hearing aids, no credit - instead, you get a medical credit for the hearing aid expense).


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## Addy (Mar 12, 2010)

I realize it's difficult to get advice because I didn't offer up what my disability is. Normally I would not divulge this online but since I'm fairly anonymous here I'm comfortable with telling you I have Crohn's, have had it diagnosed since January 2005 with symptoms for 10 years approx prior to that.

Right now I'm in remission (thank god) with the help of some pretty heavy duty drugs. However, at my previous job, which involved working in a corporate office at a major medical institution, I had so many problems I was considering stopping working due to the severity of my condition. Luckily my husband was transferred and I had to quit my job anyway (but I'm still looking to keep in EI claim in cheque).

At the worst point, and keep in mind this was my daily life for nearly a year (summer 2010 to late spring 2011). I would take a cab to my daughters daycare since the normally 10 minute walk was too risky (bowel incontinence). I worked less than a 5 min walk from there and risked it since it was so close rather than pay the cab to stand by. Most days I made it to work without an accident.

At work, my desk was ~20 feet from the nearest washroom, which I visited many, many times a day (at least a dozen during the course of 8 hours). At the peak of my flare up, I was unable to make it from my desk, walk the ~20 feet to the bathroom without having an accident. Not only very embarrassing in the work place (thank god I was open about it and worked mostly with women who at least sympathized if not understood my struggles), it was demoralizing.

I think the problem with Crohns is that I have to prove (according to the disability application) that I spend an extraordinary amount of time toileting, and of course they do not disclose what is considered an "extra ordinary" amount of time since that's subjective really isn't it?


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## OptsyEagle (Nov 29, 2009)

Addy said:


> I want to apply and my doctor has offered to fill out the forms but the problem is my doc has yet to see anyone be approved.


That is probably because your doctor cannot bill the government for the time he spends filling out that form and is hesitant to charge you directly (perhaps because he knows that he is making mega-hundreds of thousands per year and you are applying for a dissability tax credit).

Anyway, your doctor might be just a little bit biased here. Take his medical advice and leave the tax advice to people here.


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## Karen (Jul 24, 2010)

It's hard to know how CRA would assess your problem, Addy. You've identified one problem of how they would interpret "an extraordinary amount of time." Another question that comes to my mind is that the disability must be "prolonged" which they define as a *continuous* condition that has lasted or is expected to last for a period of at least 12 months. How would the fact that you sometimes have periods of remission affect the continuous aspect of that definition? I have no idea.

The disabilities I've dealt with have been more straightford (blindness in one case, final stage cancer in two cases, and severe dementia in the other), so they were easier to deal with.

Do you have a specialist, maybe a gastroenterologist, who has treated you for your Crohns? If so, I would think that he/she would be of more help in getting a positive ruling from CRA than your family doctor would.


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## marina628 (Dec 14, 2010)

Addy
My father is 72 and has suffered from Croan's since he was 38 .He was repeated turned down for the disability tax credit and he retired early because of the illness.At one point my father went blind from the Steroid treatments they were using ,it was temporary but even that year he did not get his T2201 approved.


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## Addy (Mar 12, 2010)

Thanks everyone, Karen and marina your information is very helpful. The doctor who stated he's never seen anyone of his patients quality is a gastroenterologist. I do find this very difficult considering Crohn's is specifically listed on the CRA website, but it also wouldn't surprise me if only Crohn's patients with other permanent disability quality... I believe, most likely, no matter how long I take toileting or what the effects of Crohns are that I will not receive the tax credit. But there are some tax accountants that claim (and I'll have to verify how they get paid... no up front stuff thats for sure!) they know what wording to use to get the application approved. But I'm also not naive enough to believe them without knowing more!

Sad thing is the drugs that put me in remission I can only be on so long before they cause even worse side effects than Crohns! So I don't really know what to do because I don't like the idea of going back to work with the Crohns flare ups, but will if I have to.

Another tough thing is around here the wait to get a doctor is 2-3 years.... longer for a specialist.


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## MoneyGal (Apr 24, 2009)

Addy. If you are able to be in remission due to treatment, you are unlikely to be approved for the DTC. 

Here's what the form says: 

Markedly restricted - You are markedly restricted if, all or substantially 
all the time, you are unable (or it takes you an inordinate amount of time) 
to perform one or more of the basic activities of daily living (see Question 
4 on the next page), *even with therapy* (other than life-sustaining therapy to support a vital function) *and the use of appropriate devices and medication*. 

/quote 

CRA will likely interpret your capacity to reach a state of remission with medication to mean that you do not have a marked restriction in an activity of daily living. 

It can't hurt to apply, though. 

(I receive life-sustaining therapy and do not qualify for the DTC because the therapy, although time-consuming, allows me to perform all the activities of daily living. There's no impairment because I am left with no restrictions, so no DTC.)


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## Addy (Mar 12, 2010)

Oh, another thing I forgot to mention. A lady I work with her son has mild adhd and she receives not only the tax credit (which was over $40K!??) she gets a lot of free stuff (swim lessons, tutoring) and a higher child tax credit every month. I'm not jealous of her in the least, and I do value helping children more than adults, I mention it simply as a point of discussion as it seems if you have a physical disability it must be very extreme, but if it's (what is adhd, intellectual?) another form of disability maybe it doesn't have to be as extreme?


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## MoneyGal (Apr 24, 2009)

The Child Disability Benefit is a different tax credit. It's for parents who are the primary caregivers to a child with a severe and prolonged disability. 

CRA doesn't classify disabilities. Instead, they look at whether the individual is able to perform various activities of daily living or whether they are impaired in those activities.


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## marina628 (Dec 14, 2010)

My banker has a child with adhd and they get the RDSP and to claim the tax credits.Addy my dad has improved his condition with diet and he takes a small amount of his medications than he did years ago.


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## ghostryder (Apr 5, 2009)

Addy said:


> Oh, another thing I forgot to mention. A lady I work with her son has mild adhd and she receives not only the tax credit (which was over $40K!??) she gets a lot of free stuff (swim lessons, tutoring) and a higher child tax credit every month. I'm not jealous of her in the least, and I do value helping children more than adults, I mention it simply as a point of discussion as it seems if you have a physical disability it must be very extreme, but if it's (what is adhd, intellectual?) another form of disability maybe it doesn't have to be as extreme?



The DTC is only $4,223 for someone under 18. And this amount gets reduced if there are childcare expense claims or attendant care expense claims.


Also someone with "mild" ADHD is unlikely to (legitimately) qualify for the DTC.


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## MoneyGal (Apr 24, 2009)

People get retroactive credits - if she got (the maximum of) 10 years of back credits, that could account for $40K. But there is certainly no $40K annual credit.


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## OhGreatGuru (May 24, 2009)

Form T2201 isn't difficult or complicated. But you might be better to look on a forum for Crohn's disease sufferers for advice on how to file a successful application.


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## MoneyGal (Apr 24, 2009)

Googling "Chrohn's Disease + Disability Tax Credit" brought me this Toronto Star article:

http://www.thestar.com/news/article...0-for-tax-claim-she-could-have-filed-for-free

Ugh.


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## Addy (Mar 12, 2010)

I've spoke with people who have Crohn's that I've connected with on discussion forums.... anyone who has received the benefit (which is very few and far between) have had secondary conditions that could have made the final decision for their disability tax credit application being approved. It's something I should follow up on more, hopefully someone will be comfortable enough to share their application with me.

That Toronto Star article is pretty much what I expected, the company helping would receive (a rather large) percentage of the tax credit. Sad but it sounds like if you don't know how to word your application to match what CRA is looking for, it will be denied and you will get nothing. Touch choice because I assume you only get one chance to apply.


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## MoneyGal (Apr 24, 2009)

You can always, always appeal - all the way up to the Supreme Court if necessary. 

http://www.cra-arc.gc.ca/gncy/prgrms_srvcs/dsgr/yr_rght-eng.html


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## Karen (Jul 24, 2010)

MoneyGal said:


> Googling "Chrohn's Disease + Disability Tax Credit" brought me this Toronto Star article:
> 
> http://www.thestar.com/news/article...0-for-tax-claim-she-could-have-filed-for-free
> 
> Ugh.


That was exactly my point. The person from one of these companies that I heard being interviewed kept saying how complex the application was and how most people would not be able to complete it successfully on their own. I think, in fact, he may have been with the same company referred to in the article MoneyGal posted; I know that their fee was 30%, which is absolutely outrageous.

It made me so angry, because I had done four of them and never had any problem getting them all approved. And, as much as I'd like to think otherwise, I'm afraid I'm no more intelligent than many, many other Canadians!


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## MoneyGal (Apr 24, 2009)

Well, in reading the article, it sounds as though their real services are not "filling out the form" - but instructing doctors on how to fill it out in particular ways. From the article:

_One Ontario doctor is also questioning how the company does business.

Dan Mallin, a family physician in Orangeville, has been approached by a handful of patients with “suggestive and fairly directive” letters from National Benefit Authority on how to fill out the medical forms required for the disability tax credit application.

“*A lot of physicians, when they answer these things honestly, will have their patient’s application for disability turned down by the CRA*,” Mallin said. “Doctors are often seen as the bad guys in the patients’ eyes because if we fill these out and the CRA turns them down, it’s my fault.”_


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## inontario (Nov 15, 2011)

*Hello*

I applied for the Disability Tax Credit a few years ago and received a letter saying that I qualified. However, they said because I wasn't working, I wasn't entitled to any money. I don't understand. I am unable to work because of my disability. Could someone please enlighten me? Thank-you.


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