Personal Finance

Income Tax Caregiver credit

  • Last Updated:
  • Mar 15th, 2018 5:04 pm
[OP]
Sr. Member
Aug 25, 2005
541 posts
13 upvotes
Mississauga

Income Tax Caregiver credit

Can the caregiver amount be claimed if the dependent adult is in a long term care home?
18 replies
[OP]
Sr. Member
Aug 25, 2005
541 posts
13 upvotes
Mississauga
Although the dependent does not have to live with you it can be argued that you are not caring for him if the dependent is in a long term care home
Deal Addict
Aug 30, 2011
3010 posts
792 upvotes
Ottawa
How are you "caring for" the person if they're in a nursing home?

Edit: you're not. https://www.canada.ca/en/revenue-agency ... mount.html

An individual is considered to depend on you for support if they rely on you to regularly and consistently provide them with some or all of the basic necessities of life, such as food, shelter and clothing.
Deal Addict
Jan 19, 2017
1191 posts
381 upvotes
fhirji wrote:
Mar 14th, 2018 10:38 am
Can the caregiver amount be claimed if the dependent adult is in a long term care home?
Since people are giving you different answers here even though CRA site says yes, you should call CRA to find out. My rule of thumb regarding tax law is to claim it first if the law is not clear(I.e. grey area). The worst thing can happen is CRA will deny your credit and you just pay it back + interest. There is penalty. It is better than missing it If it is allowed.
Deal Addict
Aug 30, 2011
3010 posts
792 upvotes
Ottawa
The CRA site clearly says no. Please read my post above.
Sr. Member
Jan 23, 2009
664 posts
337 upvotes
ontario
fhirji wrote:
Mar 14th, 2018 10:38 am
Can the caregiver amount be claimed if the dependent adult is in a long term care home?
line 307: "if that person was dependent on you because of an impairment in physical or mental functions and was 18 years of age or older."

Note the wording dependent on you not saying living with you also note the impairment not disable

it goes on and states : "If you and another person support the same dependant, you can split the claim for that dependant. However, the total amount of your claim and the other person’s claim cannot exceed the maximum amount allowed for that dependant."

the above just confirm that the impair person does not have to be living with you

above info on page 47 of the General income tax guide 2017

i would say yes
Deal Addict
Aug 30, 2011
3010 posts
792 upvotes
Ottawa
I'll repeat what I posted above, where the CRA clearly says no... The nursing home is providing the basic necessities of life, you aren't. The credit is intended for those who are supporting someone living on their own, by paying for shelter, food, etc.

https://www.canada.ca/en/revenue-agency ... mount.html

An individual is considered to depend on you for support if they rely on you to regularly and consistently provide them with some or all of the basic necessities of life, such as food, shelter and clothing.
Sr. Member
Jan 23, 2009
664 posts
337 upvotes
ontario
OttawaGardener wrote:
Mar 14th, 2018 6:40 pm
I'll repeat what I posted above, where the CRA clearly says no... The nursing home is providing the basic necessities of life, you aren't. The credit is intended for those who are supporting someone living on their own, by paying for shelter, food, etc.

https://www.canada.ca/en/revenue-agency ... mount.html

An individual is considered to depend on you for support if they rely on you to regularly and consistently provide them with some or all of the basic necessities of life, such as food, shelter and clothing.
You are referring to line 305, but the new Canada caregiver can be reported in line 304, 305, 307 and 367 (Schedule 5). Each line has it own definition and OP was referring to "dependent adult" then line 307
Deal Addict
Aug 30, 2011
3010 posts
792 upvotes
Ottawa
agit wrote:
Mar 14th, 2018 8:30 pm
You are referring to line 305, but the new Canada caregiver can be reported in line 304, 305, 307 and 367 (Schedule 5). Each line has it own definition and OP was referring to "dependent adult" then line 307
The same basic requirement applies to all. Read the entire text on the link I posted previously. It is quite clear that the condition of support must be met before you determine which type of dependent you have. Think about it, it makes sense.
Sr. Member
Jan 23, 2009
664 posts
337 upvotes
ontario
OttawaGardener wrote:
Mar 14th, 2018 9:00 pm
The same basic requirement applies to all. Read the entire text on the link I posted previously. It is quite clear that the condition of support must be met before you determine which type of dependent you have. Think about it, it makes sense.
it is not about what make sense it is what current income tax interpretation bulletin, the income tax guide 2017 and the income tax code state good luck OP
Deal Addict
Jul 3, 2017
3245 posts
2183 upvotes
OttawaGardener wrote:
Mar 14th, 2018 6:40 pm
I'll repeat what I posted above, where the CRA clearly says no... The nursing home is providing the basic necessities of life, you aren't. The credit is intended for those who are supporting someone living on their own, by paying for shelter, food, etc.

https://www.canada.ca/en/revenue-agency ... mount.html

An individual is considered to depend on you for support if they rely on you to regularly and consistently provide them with some or all of the basic necessities of life, such as food, shelter and clothing.
What if you're paying for the nursing home?
Deal Addict
Aug 30, 2011
3010 posts
792 upvotes
Ottawa
Exp315 wrote:
Mar 14th, 2018 10:25 pm
What if you're paying for the nursing home?
Not possible. The way nursing homes are subsidized by the government, the low income senior would have little to pay. A high income senior is still subsidized but pays a portion of the cost. If high income, the caregiver amount is not applicable.
[OP]
Sr. Member
Aug 25, 2005
541 posts
13 upvotes
Mississauga
OttawaGardener wrote:
Mar 15th, 2018 6:57 am
Not possible. The way nursing homes are subsidized by the government, the low income senior would have little to pay. A high income senior is still subsidized but pays a portion of the cost. If high income, the caregiver amount is not applicable.
We are paying $2200 a month for the nursing home and that is the subsidized cost.

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