This article was written by Michael J. Prince. It originally appeared in the edition of DABC’s Transition magazine, Canada Disability Benefit: What protection does it actually offer? (Fall/Winter 2024).
Read the full edition in PDF format here and in text-only format here.
If you’re interested in contributing to Transition as an individual or an organization, please email transition@dabc.ca.
A few days after the April 2024 federal government budget outlined key details about the Canada Disability Benefit (CDB), I contacted the Honourable Kamal Khera, Minister of Diversity, Inclusion and Persons with Disabilities, and gave formal notice of my resignation from the Minister’s Disability Advisory Group effective immediately.
The Trudeau government’s decisions around the Canada Disability Benefit announced in the federal budget triggered my resignation.
The budget fails to heed the long-declared recommendations by national disability organizations and other groups for a properly-funded benefit, one that recognizes the additional costs of living for people with disabilities.
The benefit, although depicted as a key pillar in the government’s plan to provide direct support to those who need it most, does not adequately address the serious needs of more than one million adults living with disabilities across the country, many of whom live in poverty.
I initially thought the benefit amount of $200 was a misprint. The benefit is too low and too few people in need are covered. It is complicated to access, lacks collaboration, and waits too long to meaningfully reduce poverty.
In 2020, the federal government described the CDB as modeled after the Guaranteed Income Supplement (GIS) for low-income seniors aged sixty-five and older.
In 2024, the maximum benefit amount of the GIS is $12,785 annually. For the CDB, the proposed maximum benefit amount is $2,400 per year for low-income people with disabilities between the ages of 18 and 64. The proposed maximum annual payment for the CDB equates to about two months of the support for low-income seniors.
A Retreat from Real Poverty Reduction
The government estimates that more than 600,000 low-income people with disabilities may qualify for the CDB. However, Employment and Social Development Canada later revealed the CDB might, at most, lift only 25,000 recipients out of financial poverty.
These numbers for coverage and poverty reduction fall well short of the estimated 1.2 million people with disabilities across Canada living in poverty. In contrast to previous statements about the intended effects of the CDB, it simply may not bring significant poverty-reduction effects.
So Much for “Nothing About Us, Without Us”
The budget included a statement that, in the spirit of “nothing about us without us”, the government would provide meaningful opportunities for people living with disability to collaborate.
However, not on everything. Whatever the eventual design of the program, the budget adds the fundamental constraint that “the design will need to fit the investment proposed in Budget 2024.”
This fiscal condition, set down by the Minister of Finance, means that the issues of benefit adequacy, effectiveness as a poverty-reduction policy and the coverage of the program are not truly up for discussion.
In the words of this budget, the federal government “aspires to see” that, one day, the combined amount of federal and provincial or territorial income supports for people with disabilities grow to the level of Old Age Security and the GIS to tackle disability poverty.
Significant Investments are Required
The history of social policy in Canada teaches us that major reform in income support often comes from federal leadership in investments and program reform. It has long been apparent that not all provinces and none of the territories have the financial capacity to tackle disability poverty in a fundamental and sustainable way.
Out of sync with public opinion and community needs, this budget announcement fails to take strong federal responsibility for income security for working-age adults with disabilities who are working hard to join the middle class.
I concluded my voice was no longer making a difference on this advisory group and that by remaining, people would assume I supported this benefit design. So I resigned.
However, I continue to work with self-advocates and community allies in other ways and places.
Michael J. Prince is Lansdowne Professor of Social Policy at the University of Victoria. From 2018 to 2024, he was Board Chair of Community Living BC. He was also a member of the federal Ministerial Disability Advisory Group from April 2020 to April 2024.
The proposed eligibility requirements for the benefit are:
Be a resident of Canada for tax purposes
Have an active Disability Tax Credit (DTC) with the CRA
Be up-to-date with filing your taxes
Once you meet these requirements, you will then have to submit a separate application for the CDB.
This means having the DTC will become even more crucial for people with disabilities who are trying to access other government benefits.
Barriers to the DTC
One of the greatest barriers preventing people from accessing the DTC is the lack of awareness and understanding around it. Many people do not know that it even exists, or if they do, they do not realize they can qualify for it.
Another major barrier is the application process itself. The 16-page application, called Form T2201, can be overwhelming and discouraging to people wanting to apply. The form requires medical certification which can be very difficult for Canadians who do not currently have a family doctor and are struggling to find one. A lack of awareness and understanding also extends to the medical practitioners that need to sign off on the forms. Medical practitioners might not be entirely aware of the daily restrictions their patients deal with, and therefore may not know how to fill out the forms accurately.
There are also the financial barriers to accessing the DTC. Currently, the medical practitioner fees to fill out the forms are unregulated. People who are already financially struggling might be forced to pay hundreds of dollars out of pocket to have the forms certified by doctors who want to be compensated for their time spent on the lengthy forms.
CDB Budget to Cover DTC Medical Practitioner Fees
It was announced in this year’s federal budget that there will be funding intended to provide coverage for these costs, but the government has not announced when it will be made available, and how much of the costs will be covered.
DABC has launched a DTC Medical Fees Fund for individuals who need funding as soon as possible. You can find out more in our official announcement post here.
Apply for/Renew the DTC
Applying for and renewing your Disability Tax Credit can take time. It requires both Part A and Part B of the Form T2201 to be submitted to the CRA. Once both parts are submitted, it can take the CRA months to review and approve the application. With more and more people becoming aware of and applying for the DTC, CRA wait times may become even longer. For individuals who want to be able to apply for the new Canada Disability Benefit as soon as it is available next year, we encourage you to apply for the Disability Tax Creditas soon as possible.
DABC has many resources available for those looking to apply, including a re-launch of our “My DTC” online app. You can find out more here.
We also have a useful DTC Helpsheet where you can find out more benefits to getting approved for the DTC.
We have advocates who can provide 1-on-1 support to clients with filling out the application. Please be advised that we are anticipating more individuals seeking advocate support in the upcoming months with the benefit announcement. We encourage you to reach out for their assistance as soon as possible to access the benefit when it becomes available next year.
Please reach out through phone at (604)-923-8136 or email us at rdsp@dabc.ca.
The Canada Disability Benefit as proposed is not adequate, but it will be an important benefit for people with disabilities moving forward. There is more work to be done. Read more about the Canada Disability Benefit from experts, community members, and advocate in our upcoming issue of Transition Magazine.
The Disability Tax Credit (DTC) is a key federal disability benefit, but the medical certification needed to apply can be costly. In this article, we discuss why we think it is still important to apply for the DTC, and the actions we are taking to reduce financial barriers to accessing it.
Why is the DTC important?
The DTC was first designed as a way to help reduce the strain of the exorbitant costs of living that people with disabilities often face. As a non-refundable tax credit, it helps people with disabilities and their caregivers reduce the taxes they owe. Over the years, DTC eligibility has been connected to other financial programs like the Canada Workers Benefit Disability Supplement, Child Disability Benefit, Canada Dental Care Plan, and Registered Disability Savings Plan. Altogether, this can mean hundreds or even thousands of dollars to put towards immediate and future needs. It also makes the DTC one of the primary ways the federal government recognizes disabled populations in Canada.
The DTC can be cost prohibitive
Despite all its benefits, the DTC is still underutilized, in part because getting the DTC can cost money. While applying for the DTC is free, the application asks people to prove their disability through medical certification, which means medical practitioners have become unwitting gatekeepers to financial supports. The application is long, and medical practitioners can charge for their time.
DTC medical fees are currently unregulated. At DABC, we hear from our clients that medical fees can cost people anywhere between $100-$250. For anyone living in poverty, the cost of this help can be prohibitive.Put simply, many people are unable to afford the financial support they need.
The time for action is now.
DABC has long advocated for better regulations so that compensation for medical certification does not fall on people with disabilities. The time to take action on this issue, however, has become even more urgent.
In June it was announced that coming July 2025, low-income individuals with the DTC can apply for the Canada Disability Benefit, which can add up to $200/month for those living in poverty. What this means is that a lot more people will need the DTC, and fast.
In this year’s federal Budget 2024, the government announced that they will devote $243 million over 6 years, beginning in 2024-25, to provide coverage for medical certification fees with $41 million each following year. We are happy to hear that the government will provide some financial relief for these costs and know that people will need to receive this relief soon. We have joined our partners at Indigenous Disability Canada, and a coalition of other disability organizations in requesting for immediate release of this funding. Read the letter here.
DTC Medical Fees Fund for BC Residents
While we wait for federal funding, we know that the funding allocated may not come as soon as people need and may not be enough to cover all the costs someone might be facing. That’s why we’re launching the DTC Medical Fees Fund to help fund individuals who need support as soon as possible. We envision this fund as a mutual aid hub, where all proceeds will go directly to the people that need it. People with disabilities should not have to pay money to access social and financial supports. Help us raise money by contributing to the fund or by sharing with others who may be able to contribute. Fundraising begins this month but will continue as long as there is a need. You can donate to the fund via the donate button here: https://disabilityalliancebc.org/direct-service/dtc-medical-fees-fund.
Stay tuned for more details on how to apply for funding.
An update from our affiliate national non-profit, Disability Alliance Canada: Earlier this year, the #Alberta government decided that the Canada Disability Benefit (#CDB) will be
Earlier this year, the Alberta government decided that the Canada Disability Benefit (CDB) will be considered “non-exempt” income for Assured Income for the Severely Handicapped (AISH) recipients. …
This article was written by Michael J. Prince. It originally appeared in the edition of DABC’s Transition magazine, Canada Disability Benefit: What protection does it actually offer? (Fall/Winter 2024).
