Federal Disability Tax Credit

Type 1 diabetics are eligible for the Federal Disability Tax Credit

Finding out you have a serious illness like diabetes can turn your life completely upside down. Living as a diabetes patient is extremely hard and heart-wrenching. Diabetes Type 1 has no cure and the person diagnosed with this disease has to live with it for the rest of his/her life. In diabetes disease, the immune system starts destroying the insulin-making cells that are located in the human body's pancreas. Insulin plays a very important role in balancing the energy supply of micronutrient levels. Juvenile diabetes is mostly diagnosed in children and young people between 1 and 20, which is why it is known as juvenile diabetes.

The cost of diabetes treatment, according to the official Canadian government website, is $531-$5,264. which is around $15,000 or more a year. The government understands that people from low or middle-class families can't afford the treatment of diabetes for the rest of their lives. Treatment plus the other expenses adds up, and people might be unable to pay for it. So let's look at whether type 1 diabetes patients are able to apply for the Federal Disability Tax. 

What is the Federal Disability Tax?

The Disability Tax Credit (DTC) is a non-refundable tax credit that lowers the potential income tax that people with disabilities or the person who supports them may have to bear. 

This tax was established in 1988 in order to acknowledge the extra expenses Canadians face when trying to manage their physical or mental conditions. 

On June 2, 2022, Thursday in Toronto, a campaign advancement took place that guarantees that all Canadians with Type 1 diabetes(T1D) have full access to the Federal Disability Tax Credit

Treatment of type 1 diabetes is a costly condition that frequently necessitates financial aid to pay for the medication, equipment, and supplies needed to treat this chronic condition on a day-to-day basis. The Budget Bill (C-11) was approved by the FINA committee. Moreover, you are certified for the federal disability tax if the practitioner certifies you. 

Who can apply for the Federal Disability Tax Credit?

When the immune system incorrectly targets and kills the beta cells in the pancreas, type 1 diabetes is commonly referred to as juvenile diabetes. As a result, rather than being converted into energy, sugar accumulates in the blood. No, or very little, insulin is released into the body; therefore, it must be given sporadically, which requires a lot of time, money, and work to maintain. 

Type 1 diabetes affects five to ten percent of those who have the disease. Although it can happen in adults, type 1 diabetes typically appears in childhood or adolescence.

It must be verified by the Canada Revenue Agency (CRA) that the applicant devotes at least 14 hours per week to the tasks listed by the CRA that are associated with administering insulin. 

  • monitoring blood sugar.
  • preparing and administering insulin.
  • calibrating and preparing necessary equipment, including changing infusion sites for the insulin pump,
  • maintaining a logbook of blood sugar levels.

Other important programs that people with Type 1 diabetes can access

These are the important programs you can get access to if you are a type 1 diabetes patient.

1)A registered disability savings plan (RDSP) is a type of savings program designed to assist parents and others in putting money aside for a person who qualifies for the disability tax credit's long-term financial security (DTC).

2) child disability benefit (CDB) A pension monthly payment known as the child disability benefit (CDB) is given to parents who are caring for a child who reaches the age of 18 and has a severe and persistent impairment in physical or mental functions.

Conclusion 

Diabetes Type 1 has no cure and the person diagnosed with this disease has to live with it for the rest of his/her life. The cost of diabetes treatment, according to the official Canadian government website, is $531-$5,264. which is around $15,000 or more a year. Who can apply for the Federal Disability Tax Credit? When the immune system incorrectly targets and kills the beta cells in the pancreas, type 1 diabetes is commonly referred to as juvenile diabetes. No, or very little, insulin is released into the body; therefore, it must be given sporadically, which requires a lot of time, money, and work to maintain. People with Type 1 diabetes are eligible to apply for this program and other similar programs. 

Written By:
Salman Rundhawa
Salman Rundhawa is the founder of Filing Taxes. Salman provides valuable tax planning, accounting, and income tax preparation services in Toronto, Mississauga, Oakville, and Hamilton.

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