For 2012 and subsequent taxation years, a new federal family caregiver tax credit is available to individuals who support infirm dependants. The credit is a $2,000 enhancement to amounts already available under existing dependency-related non-refundable credits, including the:
- spouse or common-law partner amount;
- amount for an eligible dependant;
- amount for children born in 1995 or later; and
- caregiver amount.
Keep in mind that you are able to claim the credit for more than one eligible dependant. However, the dependant with the impairment must be an individual 18 years of age or older and dependent on you because of an impairment in physical or mental functions, or a child under 18 years of age with an impairment in physical or mental functions. In respect of a child, the impairment must be prolonged and indefinite and the child must be dependent on you for assistance in attending to personal needs and care when compared to other children of the same age. Note that the amount for infirm dependants age 18 or older has also been enhanced by $2,000 for this credit. For more information on this credit, visit the CRA website.
This tax tip is a publication of BDO Canada LLP on developments in the area of taxation. This material is general in nature and should not be relied upon to replace the requirement for specific professional advice. The information in this tax tip is current as of Mar 15, 2013.