1997 Federal Budget & Medical Expenses
Delivered on 18 February 1997 by federal Finance Minister Paul Martin, the 1997 Federal Budget may affect you.
The budget contains measures to assist persons with diabilities (as recommended by the Federal Task Force on Disability Issues). These include changes in the list of Qualifying Medical Expenses, Refundable Medical Expence Credits and Attendant Care Deductions.
Qualifying Medical Expenses now include: - 50% of the cost of an air conditioner to help an individual to cope with a severe chronic ailment, disease or disorder, to a maximum of $1,000
- 20% of the cost of a van that is or wil be adapted for an individual to use a wheel chair, to a maximum of $4,000
- sign language interpreter fees
- expenses incurred in relocating to accessible housing, to a maximum of $2,000
- "reasonable expenses" to alter a driveway to facilitate a mobility-impaired person's access to a bus
- an increase in the limit for part-time attendant care expenses, from $5,000 to $10,000
Refundable Medical Expence Credits
Disabled workers with an income of at least $2,500 from employment or a business will be able to claim 25% of the allowable portion of medical expenses that can be claimed under the standard medical expense tax credit, to a maximum of $500. This credit is reduced by 5% of the family net income in excess of $16,069 to ensure that only "low income Canadians" receive it.
Attendant Care Deduction
The budget proposes to eliminate the current $5,000 limit: eligible expenses up to two-thirds of earned income will be deductible.
Information from Ontario Medical Review, March 1997, Vol.64:3.
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