You may be eligible to claim attendant care expenses on your tax return

The following information is copied from Revenue Canada’s website and is posted here for your perusal. Contact Revenue Canada for guidance concerning your specific situation.

Attendant care or care in an establishment

This section explains the special rules that apply to amounts you can claim for attendant care expenses.

You can claim amounts you or your spouse or common-law partner paid for attendant care or care in any of the following places:

• self-contained domestic establishments;
• retirement homes, homes for seniors, or other institutions;
• nursing homes (full-time care);
• special schools, institutions, or other places (providing care or care and training); and
• group homes in Canada.

The amounts must have been paid for the care of yourself, your spouse or common-lawpartner, or a dependant.

A dependant is someone who depended on you for support and is:

• your or your spouse’s or common-law partner’s child or grandchild; or
• your or your spouse’s or common-law partner’s parent, grandparent, brother, sister, uncle, aunt, niece, or nephew who lived in Canada at any time in the year.

You can claim amounts paid to an attendant only if the attendant was not your spouse or common-law partner and was 18 years of age or older when the amounts were paid.

An attendant who is hired privately will probably be considered an employee. For more information, see Guide RC4110, Employee or Self-Employed?

Generally, you can claim the entire amount paid for full-time care in a nursing home and for care or care and training in a special school or institution. In all other cases, the fees claimed must be for salaries and wages paid for attendant care services. If an individual issues the receipt for attendant care services, the receipt must include the attendant’s social insurance number. The chart explains what you can claim for attendant care as a medical expense.

Which attendant care expenses can you claim as medical expenses?

You can claim attendant care expenses as medical expenses that include your share of the salaries and wages paid for care in an establishment that was made to all employees performing the following duties:

• food preparation;
• housekeeping services for a resident’s personal living space;
• laundry services for a resident’s personal items;
• health care (registered nurse, practical nurse, certified health care aide, personal support worker);
• activities (social programmer);
• salon services (hairdresser, barber, manicurist, pedicurist), if included in the monthly fee;
• transportation (driver); and
• security for a secured unit.

• rent
• food
• cleaning supplies
• other operating costs (such as the maintenance of common areas and outside grounds); andsalaries and wages paid to employees such as administrators, receptionists, groundskeepers, and janitors or maintenance staff.Attendant care or care in an establishment claimed as medical expenses

Sample statement for attendant care expenses

To claim attendant care expenses paid to an establishment, such as a retirement home, you have to send us a detailed breakdown from the establishment that clearly shows the amounts paid for staff salaries that apply to the attendant care services listed under Which attendant care expenses can you claim as medical expenses?.

The sample statement below provides an example of the detailed information we need.

Based on the above statement, Stephen’s eligible attendant care expenses are $8,893.

Example 1
John is a 55-year-old single man who lives in his own home. His only income is a disability pension of $28,000. John’s doctor has certified in writing that John is dependent on others for his personal needs because of his physical impairment. As well the Canada Revenue Agency has determined that John is eligible for the disability tax credit. John pays his 43-year-old neighbour, Marge, $14,000 each year to look after him full-time. John can claim the amounts he pays Marge for attendant care as a medical expense.

John has a choice to make. His first option is to claim $10,000 of the attendant care expenses as a medical expense on line 330 and claim the disability amount of $7,239 on line 316. Under this option, he would have no federal tax to pay.

His second option is to claim all $14,000 of his attendant care expenses as a medical expense, but then he would not be able to claim the disability amount. His federal tax would be $369.

For John, the first option is best. See the table below for a breakdown of John’s claims on his tax return using both options.

Example 2
Judy is a 57-year-old single woman who earned $40,000 of pension income last year. She was seriously injured in a car accident a few years ago and, as a result, she requires full-time attendant care. The Canada Revenue Agency has determined that she is eligible for the disability tax credit. Last year, Judy paid $32,000 to a retirement home, $21,000 of which was her share of the salaries and wages paid to staff for attendant care.

Judy has a choice to make. Her first option is to claim $10,000 as medical expenses on line 330 and claim the disability amount of $7,239 on line 316. Under this option, Judy would have to pay $1,737 in federal tax.

Her second option is to claim all $21,000 of her attendant care expenses as a medical expense, but then she would not be able to claim the disability amount. Her federal tax would be $1,173.

For Judy, the second option is best. See the table below for a breakdown of Judy’s claims on her tax return using both options.

In the event that you have further questions, require a home assessment, or want to review a care plan… do not hesitate to contact me… We can be reached 24 hours a day, 7 days a week.