Learn More
What Benefits are available to Parents of Children with Type 1 Diabetes?
After recently attending the 35th annual Kids ‘n’ Us Conference in Edmonton (kidsnus.ca), it was apparent that information should be circulated regarding the available government benefits for parents of children diagnosed with Type 1 (formerly called Juvenile) Diabetes (T1D).
Of primary importance is claiming the Disability Tax Credit (DTC) for the individual with T1D. As T1D is an autoimmune disease whereby the person’s own immune system has mistakenly attacked and destroyed the islets cells in their pancreas, the individual is dependent upon continuous and consistent life-sustaining therapy through multiple daily blood tests and insulin injections. Formerly, applicants had to detail the exact time requirements of directly-related medical tasks, however since 2021, it is recognized that survival after a diagnosis of T1D requires this intense level of medical care.
The 2022 DTC amount is a Non-Refundable Tax Credit of $8,870 (reduces your taxable income). Note that a child or youth can transfer the unused portion of the DTC to the custodial parent/caregiver, and a married individual with T1D can transfer the unused portion to their spouse.
To apply for the DTC, print off the T2201 form from Canada Revenue Agency (https://www.canada.ca/en/revenue-agency/services/forms-publications/forms/t2201.html). Complete the first two pages with the details of the individual with T1D and the supporting parent. On question 3 at the top of the second page, it is very important to indicate that YES you want CRA to apply the credit to any previous years and reassess and refund if applicable. Sign and take the entire document to your physician to finish. Note, there will likely be a charge for the doctor’s time to complete the form – this is an eligible medical expense which can be claimed on your tax return. Once signed off by both the claimant (or guardian) and physician, the form is submitted to Canada Revenue Agency (see instructions at https://www.canada.ca/en/revenue-agency/services/tax/individuals/segments/tax-credits-deductions-persons-disabilities/disability-tax-credit/how-apply-dtc.html#h-2-2 ). It will take several months for the application to be reviewed and approved, longer if more information is required from your physician.
Once approved, Revenue Canada will reassess any applicable years of tax returns and issue a refund, and the DTC can be claimed on future years of tax returns. Please be aware that DTCs are often applicable for a limited time period (in the hope that a cure will be found in the future) and re-application may be required after the specified number of years.
If you need assistance beyond what the Revenue Canada site provides, please contact your Chartered Professional Accountant.
With the DTC approval in place, parents may also receive a monthly Child Disability Benefit (CDB). This is a income-based tax-free monthly payment made to families who care for a child with a severe and prolonged impairment. The child must be eligible for the Canada Child Benefit (CCB) and the Disability Tax Credit (DTC) – if the parent is already getting the CCB for the child who becomes eligible for the DTC, this will be automatically increased to the CDB. The amount of the CDB is calculated based on information from the previous year’s tax return. For the period of July 2022 to June 2023, the additional payment could be up to $248.75 per month for each child who is eligible for the DTC.
Another benefit of being eligible for the DTC is that it allows you to open a Registered Disability Savings Plan (RDSP) for the individual. An RDSP is a savings plan intended to help parents and others save for the long term financial security of a person who is eligible for the DTC. Contributions to an RDSP are NOT tax deductible, however the Government of Canada also contributes to the plan through the Canada Disability Savings Grant and the Canada Disability Savings Bond which can significantly increase the balance of the account over the long-term. An RDSP can receive a maximum of $3,500 in matching grants in one year and up to $70,000 over the beneficiary’s lifetime as well as a potential bond of $1,000 a year with a lifetime bond limit of $20,000. Check out the detailed information at https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/registered-disability-savings-plan-rdsp/canada-disability-savings-grant-canada-disability-savings-bond.html. After reviewing the information, if you wish to open an RDSP, speak with your Financial Institution.
As a member of the diabetes support community, we thank the Government of Canada for recognizing that raising a child with Type 1 Diabetes involves extraordinary medical care which is primarily provided by family members.
Public funding of CGMs in Saskatchewan and Quebec – Dexcom
ChildrenWithDiabetes.com – the global online community for families of children with diabetes. This group holds phenomenal conferences around the world. Strongly recommended is to sign up for their weekly newsletter of what’s new in the diabetes community – contains links to current research, conferences, news, blogs, publications, and more.
JDRF.ca– the Juvenile Diabetes Research Foundation Canada. Contains news of local chapters and events throughout the country. Strongly recommended to contact your local chapter and be added to the ‘Dear Supporters’ email listing of local happenings in your community.
DiabetesAdvocacy.com – the one-stop shop for all things diabetes-related in Canada. We have found this website to contain the best information on applying for Federal Disability Tax Credit, and Canada-specific events, advocacy initiatives, treatment options, government support, etc.
IntegratedDiabetes.com – a consulting service operating out of the US, but available to Canadians (fees apply). Operated by the author of Think like a Pancreas, online support and Diabetes University are available. Recommended for those having difficulty getting their A1C under control. Contains an excellent summary of news from the American Diabetes Association 73rd annual Scientific Sessions held in Chicago in June 2013 – lots happening in the world of diabetes!
Diabetes.ca – Diabetes Canada (formerly CDA) was recommended for their excellent in-school presentations and advocacy initiatives, notably the Recommended Standards of Care for Students with Diabetes in School.
Dietitians.ca – the Dietitians of Canada. Contains a link to a free Recipe Analyzer where you can enter your own recipes to produce nutritional information. Strongly recommended for anyone who needs to know accurate carb counts.
Pediatric Diabetes Education Centre – Edmonton – although no website at this time, this is the address for the Pediatric Diabetes Education Centre here in Edmonton at the Stollery Hospital. They offer free workshops to families and caregivers of children with diabetes.
Toolkit for Adults with T1D – JDRF Canada’s assistance for newly diagnosed T1D adults. Includes tools that talk about the diagnosis, emotions and psychological impacts and long-term challenges of type 1 diabetes.
DiabetesCareCommunity.ca – a Canadian online resource for families of people living with diabetes. The website allows people to learn new and pertinent information from health care professionals and provides the opportunity to connect with other Canadians to share experiences and provide support.
Diabetes Express – Diabetes Express was created in 2005 to meet the needs of the ever growing market for diabetic supplies and services. Our website was developed to better serve existing customers and extend our services to new customers across Canada.
Tudiabetes – is an Online Community where the members help each other out, educate ourselves and share the steps we take every day to stay healthy while living with this very serious condition.
Blood Sugar and Sleep Problems
Non-Drug Treatment Options for Sleep Disorders