Understanding the Disability Tax Credit (DTC) in Canada with Annie and Gordon VanderLeek

Send us Fan MailIn this episode, Valerie continues her conversation with estate planning lawyer Gordon VanderLeek and disability advocate Annie VanderLeek about an important support available to Canadian families raising children with disabilities: the Disability Tax Credit (DTC).Gordon is the founder of VanderLeek Law, and Annie leads the firm’s Disability Advocates division, helping families navigate disability-related programs and supports.Together they explain what the DTC is, how eligibility is determined, and why this credit can be much more significant than a simple tax reduction.What is the Disability Tax Credit?The DTC is a federal program administered by the Canada Revenue Agency. While it can reduce income tax, it also acts as an important gateway to other federal disability supports.Eligibility is not based on diagnosis alone. Instead, the CRA evaluates how a disability affects a person’s daily functioning.To qualify, a person must be:- Markedly restricted in one area of daily living, or- Significantly restricted in multiple areasAreas assessed may include walking, hearing, eliminating, mental functioning, and life-sustaining therapy.Why Documentation MattersStrong documentation is critical when applying. Helpful records may include:- Medical and psychological assessments- School reports or IPPs/IEPs- Therapy reports- Historical diagnosesAs Annie emphasizes, keeping documentation helps families clearly demonstrate the real-life impact of a disability.Challenges in the Application ProcessThe DTC application requires a medical professional to complete part of the form. Challenges can arise when doctors:- Do not know the individual well- Have limited time to complete forms- Are unfamiliar with certain disabilitiesWorking with professionals who understand the complexity of disability can make a significant difference.Retroactive BenefitsOne powerful aspect of the DTC is that approval can be retroactive for up to 10 years, depending on when the disability began. This can result in meaningful tax refunds that help offset the additional costs families often face.Final AdviceAnnie’s biggest recommendation for families:Keep your documentation.Medical reports, school records, and assessments may become essential when applying for disability supports.This episode is part of a continuing series exploring financial and legal planning for families raising children with disabilities.Live with intention - Embrace the journey. Connect with the VanderLeeks- Website: vanderleeklaw.ca- Disability Advocacy Services: disabilityadvocates.ca· https://facebook.com/vanderleeklaw· https://www.linkedin.com/company/vanderleeklaw· https://www.instagram.com/vanderleek_law/ Connect with [email protected] Music Acknowledgement: Audio Coffee - Denys KyshchukEditor: Scott ArbeauLink for book: The S.H.I.N.E. Principle: The special needs mom's path to strength, hope and happiness by Valerie Arbeauhttps://www.amazon.ca/dp/B0CW18ZXGX (Canada)https://a.co/d/03hFdZI4 (United States)Learn more about your host at:https://coachingwithvalerieanne.com/