A client requested some information on this topic recently and I wanted to make a post to describe the important difference between the Disability Supports Deduction and the Disability Tax Credit. These are the types of questions that us Chartered Accountants like to get from our clients as it reminds us to keep current on new and emerging tax issues, and also provides the opportunity to share the information with you through this blog.
The Disability Supports Deduction is designed to provide relief for individuals who incurred medical expenses to enable them to perform the duties at work, to carry on a business, or to attend a post secondary school. The expenses includes but are not limited to the following:
- sign-language interpretation services or real time captioning services
- teletypewriter or similar device
- Braille printers
- electronic speech synthesizer
- voice recognition software
- tutoring services
- attendant care
These expenses are claimed as a deduction to income rather than a tax credit. The expenses generally have to be approved by a medical doctor. An important point to remember is that the deduction can only be made by the person with the disability. This is an important difference from the Disability Tax Credit that allows the credit to be transferred to another individual’s return.