What the Disability Tax Credit means for the new Canada Disability Benefit

Starting in July 2025, individuals who are low-income will be able to apply for the Canada Disability Benefit (CDB). This new monthly benefit will be up-to $200 and is intended as financial relief for people with disabilities living in poverty. The CDB will be an additional amount of money that will not be clawed back from current provincial disability assistance. We know that $200/month is far from being enough to lift people with disabilities out of poverty. More information on DABC’s thoughts on the proposed regulations can be found in our position statement on the 2024 Federal Budget and in-depth review of the CDB.  

The proposed eligibility requirements for the benefit are: 

1. Be a resident of Canada for tax purposes 
2. Have an active Disability Tax Credit (DTC) with the CRA
3. 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 Credit as 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.  

 

Job Posting: Tax AID Advocate

Who We Are

Since 1977, Disability Alliance BC (DABC) has been a provincial, cross-disability voice in British Columbia. We are a non-profit, charitable organization that champion issues impacting the lives of people with disabilities through our direct services, community partnerships, advocacy, research and publications.

We work to support people with all disabilities to live with dignity, independence and as equal and full participants in the community.

Program Description

Tax AID is a DABC program that partners with the Together Against Poverty Society, the Ki-Low-Na Friendship Society, and the Active Support Against Poverty Society, to provide free support to people with disabilities across BC to file income taxes for current and previous years. In addition to simple tax filing, we help with self-employment income, outstanding amounts owed to the Canada Revenue Agency (CRA), applying for other tax related government programs/benefits, and matters related to financial literacy.

Job Description

DABC is seeking an advocate who is passionate about community work to join our Tax AID program. Under the supervision of the Tax AID Director, the Advocate will work one-on-one to assist people with disabilities with their income taxes and raise awareness about the program through strategic partnership and community outreach. The successful candidate will have other administrative responsibilities related to the program’s operations including developing and conducting workshops and participating in team meetings and training on an as needed basis.

Key Duties and Responsibilities

• Prepare and file accurate tax returns for current and previous years in compliance with CRA standards
• Liaise with clients and the CRA on specific issues related personal taxes
• Manage multiple client files simultaneously
• Report any questions or concerns to the Director
• Compile and organize client records
• Attend trainings to further develop accounting taxation knowledge as part of an ongoing professional development program

A successful applicant must

• Have more than 2 years of proven experience for clients using income tax preparation software (e.g., UFile) to prepare income tax returns
• Be able to work effectively with people with disabilities
• Possess a four-year undergraduate degree or equivalent work experience
• Meet the requirements to be a tax filer through CRA’s Community Volunteer Income Tax Preparation (CVITP) program
• Be self-motivated and adaptable and able to work effectively with a team
• Be detail-oriented and have excellent organizational skills
• Have strong verbal and written communication skills
• Understand the importance of preserving the confidentiality of sensitive client information
• Be computer literate and proficient with word-processing software, including the Microsoft Office Suite
• Be comfortable working in the office and remotely
• Be available for occasional travel to communities across Lower Mainland

The following are not required but would be assets to the position:

• Knowledge of tax law
• Volunteer or coordination experience with the Canadian Revenue Agency’s CVITP Program
• Working knowledge of income tax programs for people with disabilities including the Disability Tax Credit, Canada caregiver amount and other deductions
• Completion of an accounting or tax certificate or diploma/degree

Compensation

This position is for 32 hours (4 days) per week.

Based on experience, the salary will be between $43,200 to $44,800 per year (depending on experience), based on 32 hours (4 days per week) with the possibility of increasing to 40 hours per week (5 days per week) based on future funding.

This position offers the following benefits after the successful completion of a three-month probationary period:

• 12 days of paid vacation annually
• 14 days of paid sick leave annually
• An hour paid lunch break each workday
• 100% of the cost of extended health and dental care benefit premiums, with additional mental health coverage
• A generous Health Spending Account program
• 2 weeks of paid time off during DABC’s annual holiday office closure in December (this is in addition to paid vacation time).

Working hours: The office hours at DABC are 8:30 am to 4:30 pm.

The position is located in Vancouver, on the Unceded, Traditional, and Ancestral Territories of the Musqueam, Tsleil-Waututh, and Squamish Peoples.

This position offers a hybrid work opportunity; the successful candidate may be required to work at the office (located in downtown Vancouver) one or two days a week, and at home the rest of the time. The position may also require occasional travel to other BC communities.

DABC is an open and diverse organization that promotes inclusive hiring practices. We encourage applications from qualified applicants who identify as visible minorities, Indigenous persons, and of all sexual orientations, gender expressions and identities. People with disabilities are especially encouraged to apply!

Importantly, we are looking for people who want to make a long term commitment to our organization and have a strong desire to assist people with disabilities.

To Apply:

Please submit a resume and brief cover letter addressed to Cynthia Minh (Director, Tax AID & Access RDSP at cynthia@dabc.ca using the subject heading “Job Application: Tax AID Advocate.” No phone calls please.

Applications are due no later than 4:30 p.m. on November 8, 2024. DABC welcomes all applications, however, only shortlisted applicants will be contacted for an interview.

The $400 BC renter’s tax credit is new for the 2023 tax year

By Vickie Smith, Tax AID Program, Active Support Against Poverty Society 

For the 2023 tax year, renters in British Columbia can claim a new tax credit of up to $400. 

Here’s what you need to know about the credit and how to claim it. 

This is a refundable credit: meaning if you do not have an amount owing to CRA, and you meet all the criteria, the $400 credit should be received as a refund. If you have an outstanding balance with CRA, this credit will be applied to decrease the amount you owe.  

To qualify, you must be either: 

• at least 19 years of age  
• OR in a common-law relationship or married  
• OR a parent of a child. 

You must also:

• have rented and occupied a unit in BC for at least 6 months of the calendar year you are filing AND 
• been a resident of BC on December 31 of that year* 

*A calendar year is January 1 to December 31 of the filing year. The 6 months do not have to be consecutive. 

Where there are partners, either common-law or married, only one member of the household may apply. If you were incarcerated for more than 6 months of the filing year you are not eligible. Rent paid to a relative, a campsite, a boat moorage, mobile home pad rentals or to a rent-to-own agreement are not considered valid for this credit.  

This credit is income tested: meaning the amount you are eligible to receive is based on the amount of adjusted family income you earned. Adjusted family income means the total income you and your spouse or common law partner have earned minus any government credits to which you are entitled.   

Those filing as single; common-law; married; or single with dependent/s having an adjusted family income of less than $60,000 will be eligible to receive the full $400.00 credit. Those with income between $60,000 and $80,000 can still receive a partial amount, with a reduction rate of 2% of the amount you make over $60,000.  

Every year, the income threshold will change to account for inflation.  

To claim this credit at the time of filing you must provide the following information for each location you are claiming:   

• an address 
• total of rent paid 
• total of months rented 
• the name or the landlord or organization. 

If you moved in the same year, be sure to include both landlords’ names, and how much rent you paid in each address.  

This information must be recorded on your tax refund at time of filing and any receipts or agreements should be kept as back up in case CRA has follow up questions. 

Vickie Smith is a tax advocate for the Tax AID program at Active Support Against Poverty Society. 

The Tax AID Partnership can help file your taxes. Find local support near you: 

METRO VANCOUVER AND FRASER VALLEY (and all of BC)
Disability Alliance BC
1450-605 Robson Street, Vancouver, BC, V6B 5J3
Tel: 236-477-1717 Toll Free 1-877-940-7797
taxaid@disabilityalliancebc.org  

BC INTERIOR
Ki-Low-Na Friendship Society
442 Leon Ave, Kelowna, BC V1Y 6J3
Tel: 250-763-4905
taxdisability@kfs.bc.ca  

VANCOUVER ISLAND
Together Against Poverty Society
828 View Street, Victoria, BC, V8W 1K2
Tel: 250-361-3521
tax@tapsbc.ca  

NORTHERN BC
Active Support Against Poverty Society
1188 6 Ave, Prince George, BC V2L 3M6
Tel: 250-563-6112 Toll-free: 1-877-563-6112
taxaid@asaphs.com