FAQ
We've gathered some of the most common questions about the Disability Tax Credit.
Q: What exactly is the Disability Tax Credit?
- A: The DTC is a non-refundable tax credit that helps individuals with severe and prolonged impairments, or their supporting family members, reduce the amount of income tax they may have to pay. It's not a direct payment but a credit that can lower your tax liability. If approved for previous years, your DTC might be able to be transferred to a supporting family member.
Q: What medical professionals can fill out Part B of the T2201 form?
- A: Various medical practitioners can certify impairments, including doctors, nurse practitioners, optometrists, audiologists, occupational therapists, physiotherapists, psychologists, and speech-language pathologists.
Q: Can I apply for the DTC if I don't pay income tax?
- A: Yes. Even if you don't pay income tax, being DTC-eligible can open doors to other federal programs like the Registered Disability Savings Plan (RDSP) and the Canada Workers Benefit disability supplement. Also, the credit can sometimes be transferred to a supporting family member.
Q: What if my DTC application is denied?
- A: You have options! You can dispute their decision, however, we find the fastest way to an approval is to apply again. If you need help getting approved, reach out, and we can get you in touch with some application experts!
Q: Can I claim the DTC for previous years?
- A: Yes, if you are approved, you can claim the credit for up to 10 previous years from the date the CRA receives your application. We offer free reviews! If you want to be certain you've claimed everything you're entitled to, complete this form, and we'll take a look
Q: How much money will I get from the DTC?
- A: The DTC is a non-refundable tax credit, not a payment. The value of the credit reduces the amount of income tax you may have to pay. The amount of the credit is set by the CRA, and is impacted by both federal and provincial calculations. So the amount can vary.
Q: Is there a list of qualifying disabilities?
- A: No. The CRA assesses each application based on the impact of the impairment on daily living activities, not the specific diagnosis.
Q: Is it true that the CRA has made applying easier?
- A: Yes. The CRA has made the process more streamlined. Part A of the T2201 can be completed online or by phone, and medical practitioners can digitally submit part B.