Disability tax credit (DTC)
In order to be eligible, a medical professional has to fill out and sign the T2201 tax form, the Disability Tax Credit Certificate, and the CRA has to approve the application. If you have no taxable income or if you don’t need the full credit to bring your tax payable to zero, you may want to transfer all or part of it to your spouse or common-law partner or another supporting person by using the Disability amount transferred from a dependant line.
If you are 49 years or younger, and have no taxable income, it is still useful to apply for the DTC as having the DTC can make you eligible for a Registered Disability Savings Plan (RDSP).
When applying for the DTC, you are considered markedly restricted in hearing if, all or substantially all the time:
- You are unable to hear so as to understand another person familiar with you, in a quiet setting, even with the use of appropriate devices; or
- You take significantly longer to hear so as to understand another person familiar to you, in a quiet setting even with the use of appropriate devices, as compared to an average person who does not have an impairment
For more information and to apply for the DTC: https://www.canada.ca/en/revenue-agency/services/tax/individuals/segments/tax-credits-deductions-persons-disabilities/disability-tax-credit.html
For more information on getting help with your taxes:
- Tax Aid DABC: http://taxaiddabc.org/
- Volunteer Tax Preparation Clinics: https://www.canada.ca/en/revenue-agency/services/tax/individuals/community-volunteer-income-tax-program.html