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Attendant care paid for other eligible dependant

Hi, have a client, Ontario resident, paid around $13,000 attendant care for his father. His father has T2201 form approved by CRA before.

In the “medical expenses worksheet”, when I tick “limitation A - attendant care in Canada and claiming disability”, federal line 331 shows $10,000, which is correct. However, in Ontario portion, line 5868 shows $3,000, while line 5872 shows $10,000. – The provincial part seems not correct. line 5868 is not for other eligible dependant. Further, the maximum amount that can be claimed for this situation in Ontario should be $12,214 (year 2016) and should be in line 5872 only (for claiming attendant care paid for other eligible dependant as medical expenses).

Just want to verify this. Thank you.

The father is an other dependent for medical purposes. (Over 18… so correct.)

Should the Federal line 331 actually be $10,000? I would have thought it to be $10,000 less the 3%.

The provincial should be $12,214 less the 3% too.

Reference: http://www.cra-arc.gc.ca/E/pub/tg/5006-pc/5006-pc-16e.html#P112_12620
Quote:

The medical expenses you can claim on line 5872 are the same as those you can claim on line 331 of your federal Schedule 1, except for the items listed under line 5868. They have to cover the same 12-month period ending in 2016, and be expenses no one has claimed on a 2015 return.

The total expenses for each dependant have to be more than either 3% of that dependant’s net income (line 236 of his or her return) or $2,266, whichever is less. The maximum amount you can claim is $12,214 for each dependant.

Why is there $3,000 on line 5868?

Hi, that’s right for the 3% less. Just in this case, father income (line 236) is Zero, thus, the exact amount shows there. Federal part is ok.

The issue is with the provincial part line 5868 $3,000 (ON428 form, should be Zero for other eligible dependant) and line 5872 (should be $12,214 in Ontario when father income is Zero). Seems a glitch in the software.

Could it be transferring to another individual ie. client’s spouse? Taxcycle likes to split various credit between couples even when there is no benefit.

This is a software glitch. You need to enter the 10,000 in the amount column to remove line 9 of the medical worksheet, however, you need to override line 5872 to 12,214 if the father’s income is zero. The issue is it claims the Ontario limitation for self, spouse and dependent children.