SPER Committee News Release

PRESS RELEASE

March 21, 2002

Today, Judi Longfield, Chair of the Standing Committee on Human Resources Development and Status of Persons with Disabilities tabled a unanimous report, Getting it Right for Canadians, recommending immediate action to reform the Disability Tax Credit (DTC).

Chaired by Carolyn Bennett, MP for St Paul’s, the Sub-Committee on the Status of Persons with Disabilities prepared its report after holding three months of investigations into the way that the Canada Customs and Revenue Agency administers the DTC.  The report criticises the Agency for practices that are grossly inadequate for people with disabilities, among the most vulnerable Canadians.

The Sub-Committee called for:

• an apology by CCRA to the 106,000 Canadians who received a poorly explained letter from the Agency indicating that they were no longer eligible for the  DTC, despite the fact that these individuals have been receiving this credit for anywhere between six and seventeen  years;
• compensation for the expenses of those who successfully re-certify;
• no new reassessment of claimants until the certification process is revised and new procedures and forms put in place;
• immediate amendments to the Income Tax Act, so that it incorporates recent court decisions;
• consultations with the disability community and medical professionals to draft amendments to the Income Tax Act that spell out exactly the eligibility criteria for the tax credit that reflect the reality of living with a disability;
• re-designing the Form T2201 that establishes eligibility for the tax credit and streamlining the approval process;
• an educational campaign for the public, medical practitioners and tax preparers;
• an evaluation of the Disability Tax Credit and a re-examination of all tax measures affecting persons with disabilities.

During its study, the Sub-Committee recognized the need to make the Disability Tax Credit work more fairly to deal with people with mental illness and learning disabilities.  Another area of particular concern was the need for the tax system to recognize cyclical, progressive and degenerative diseases like multiple sclerosis.

“We strongly believe that the tax system must treat Canadians with disabilities fairly” said Carolyn Bennett.  “Most of these individuals have very low incomes and very difficult lives, and should not be treated as if they are taking advantage of a tax measure that in my opinion is significantly deficient in its administration.” She also pointed out that the Sub-Committee’s work, and thoughtful collaboration of MPs from all parties, set an example for the way that Parliament could achieve results for the benefit of all citizens.

Judi Longfield, MP for Whitby Ajax, Chair of the HRD Standing Committee, praised the Sub-Committee.  “The members worked hard, and produced a report that should result in the elimination of sloppy practices and abuse.”

For further information contact:

Mike MacPherson

Clerk of the Sub-Committee on the Status of Persons with Disabilities

947-6728

or

Rob White

Office of Carolyn Bennett, MP

995-9666