In the
last post, we looked at some of the many issues surrounding the eligibility requirements for the Disability Tax Credit ("DTC") and I promised to discuss the DTC appeal process, including some lessons I recently learned in successfully appealing the denial of my daughter's re- application for the DTC.
However, before doing that, I would like to discuss some of the tricks the CRA has been using to deny eligibility in the first place, hoping that arming you with this additional information might well help you be more successful in either your initial application or any required appeal.
Even though the actual eligibility requirements haven't changed, the interpretation of those provisions have become significantly tighter such that CRA agents are now imposing stipulations not prescribed by the legislation. Put another way, the CRA is (and one must wonder if intentionally) making errors in law. After all, it's not like these issues haven't been previously brought to its attention. Many. Many. Times.
There was the 2017 issue with respect to the eligibility of applicants with Type 2 diabetes:
Last May, the CRA told its staff not to honour claims for the disability tax credit. The agency had concluded that Type 1 diabetics were not using 14 hours of their time each week to manage their insulin therapy, which was the minimum required in the agency’s view.
Once disability advocates learned of that move and went public, the CRA promised to revert to the previous clarification letter (basically meaning they " took it back") and agreed to review all denied applications dating back to the date the revised rule was put in place.
Then there are the
CRA guidelines* that require that impairment due to mental illness be present continuously for 90 per cent of the time. In addition to the fact that the 90% figure is found only in the CRA policy and has no
basis in law, the very nature of mental health disabilities means it is often “t
emporary, episodic and changing in nature, with symptoms varying in severity and duration over the course of peoples’ lives”. Sadly, data from the fiscal year 2016 to 2017
showing a 53% increase in the number of rejections of applications from people living with mental illness is no surprise.
Being Proactive with More Difficult Applications
Applying (or re-applying) for the DTC involves having the relevant medical practitioner
** provide the required information in the T2201 form. Although this process mostly involves checking off
affirmative or negative responses and filling in a few blanks, there are some places for additional information to be wrote in.
Don't let the fact that the T2201 form
states that "
working, housekeeping, managing a bank account, and social or recreational activities are not considered basic activities of daily living. Basic activities of daily living are limited to walking, speaking, hearing, dressing, feeding, eliminating (bowel or bladder functions), and mental functions necessary for everyday life" deter you.
Ignore and carry on.
For individuals with obvious severe disabilities, the form,itself, should likely be sufficient. However, depending on the extent of the challenges faced,
you might want to consider having the medical practitioner send along an additional letter or report with the application form.
As we all know, some disabilities are much recognizable and relatable to the uninitiated than others. For this reason, it is wise to proceed with a little more care if (for example) the applicant has a learning disability or a number of smaller impairments in many activities of daily living ("ADL"). The challenges brought about by some disabilities take more time and detail to fully explain and in other situations, although the level of impairment in any particular ADL might not meet the required degree of impairment, often the cumulative effects in all areas of daily living might qualify as a "significant restriction"(the equivalent of being markedly restricted in one basic ADL).
In such situations, I recommend you book an additional or lengthier appointment with the medical practitioner so you can provide additional information (both for the benefit of the medical practitioner and the CRA) as to the extent of the effects of the individual's daily functioning. We're looking for practical examples of how the individual's particular challenges affect their day-to-day living as that information is critical when it comes to meeting the eligibility requirements.
A few very important things to remember here:
Before doing this, make sure that you have taken the time to compile in written form the details you want to provide; although you will verbally pass this information on to the medical practitioner, you want to make sure you don't miss anything and you never know which piece of evidence might be sufficient to break the CRA's back.
Depending on the extent of the individual's challenges and insight, it might well be worthwhile to compile this list with the help of the individual and have them participate in the appointment. Although the process of getting these practical examples from my adult daughter often felt like "pulling teeth", with perseverance and persistence, we were able to provide the psychologist with an impressive list of practical effects that she had no other way of knowing, even as the "treating professional".
Further, be aware of the language used in any such written material - perfectly normal words such as "could", "might" or "should" can and will be relied on by the CRA to deny eligibility. That's part of the reason why real-life examples of how the challenges impact the person's daily life are so critical - it totally reduces the need for speculation (which can and will be used against you).
Stay tuned for a further detailed discussion of the DTC appeal process and the pitfalls to avoid.
* Note that "guidelines" do not have the legal force of law. To be valid, regulations, "guideline" and "policy" cannot contradict the enabling legislation.
** The appropriate medical practitioner will be a medical doctor, nurse practitioner, optometrist, audiologist. occupational therapist, physiotherapist, psychologist or speech-language pathologist, depending on the disability involved; however, whenever possible I recommend using the most specialized professional in the relevant field (for example, it is better to use a neurologist than a family doctor).