DEFINITION:
Disability Tax Credit (DTC) for Child Over 18 – In Canada, the Disability Tax Credit is a non-refundable tax credit that provides financial assistance to individuals with disabilities or their caregivers. This credit can be claimed for a child who is over 18 years of age and qualifies as a person with disabilities according to the criteria set by the Canada Revenue Agency (CRA).
FAQs:
1. Can I claim the Disability Tax Credit for my child who is over 18 years old?
Yes, you can claim the Disability Tax Credit for your child who is over 18 years old if they meet the eligibility criteria set by the CRA.
2. What are the eligibility criteria for the Disability Tax Credit for a child over 18 years old?
To be eligible for the Disability Tax Credit for a child over 18 years old, the child must have a severe and prolonged impairment in physical or mental functions that has lasted or is expected to last for a continuous period of at least 12 months.
3. How do I apply for the Disability Tax Credit for my child over 18 years old?
To apply for the Disability Tax Credit for your child over 18 years old, you need to complete and submit Form T2201, Disability Tax Credit Certificate, to the CRA. This form requires a medical practitioner to certify the impairment and its duration.
4. What expenses can I claim under the Disability Tax Credit for my child over 18 years old?
While the Disability Tax Credit itself is not an expense, it may provide additional financial benefits through other programs and tax savings. Consult with a tax professional or visit the CRA website to learn about the various benefits and deductions that may be available.
5. Is the Disability Tax Credit for a child over 18 years old income-dependent?
No, the Disability Tax Credit eligibility is not based on income. It is solely determined by the physical or mental impairment and its duration.
6. Can I transfer the Disability Tax Credit for my child over 18 years old to another family member?
If your child over 18 years old is unable to fully utilize the Disability Tax Credit, you may be able to transfer some or all of the credit to another adult family member, such as a parent or sibling, if they support and/or provide for the child.
7. Are there any other tax credits available for children with disabilities?
Yes, in addition to the Disability Tax Credit, there are other tax credits and benefits available for children with disabilities in Canada. These may include the Child Disability Benefit (CDB), medical expense deductions, and Registered Disability Savings Plan (RDSP) contributions. Visit the CRA website or consult with a tax professional for more information.