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Eldercare/CA PrimePlus Services
Part 6/6 - Disability Tax Credit transfer

By Anne Chun, C.A., CFP


This is part 6 of a series of articles on Eldercare/CA PrimePlus Services*.

In part 1 of the series, which discussed the various tax treatments of medical related expenses. Disability Tax Credit was identified as a tax credit. In part 3 of the series, we discussed the details of the Disability Tax Credit. In this article, we will focus on the details of transferring the Disability Tax Credit to another person.

There are a number of conditions you have to satisfy before you can claim the unused part of the Disability Tax Credit from another person.

  • Transfer to a spouse-any portion of the unused Disability Tax Credit may be transferred to a spouse. In addition, the $10,000 Medical Expenses Tax Credit for attendant care or the remuneration paid to a group home can be claimed by either spouse and does not have to be claimed by the patient first.
  • Transfer where the disabled person was claimed as an Eligible Dependant-provided the disabled person's spouse is not claiming the Spouse amount or any of the transfers on Schedule 2 including the transfer of the Disability Tax Credit. Conditions to claim the disabled person as an Eligible Dependant require the disabled person to be a resident of Canada for tax purposes (unless he/she is your child), that the disabled person was living with you in a dwelling that you maintained, and that you are related by blood, marriage or adoption. If these conditions are satisfied, you can claim the Eligible Dependant Tax Credit for a parent, grandparent, or a relative who was born in 1984 or earlier and was mentally or physically infirm, or a person who was under 18 when you provided support.
  • Transfer to a parent, child, brother or sister-if you have a disabled parent, child, brother or sister living with you in a self-contained domestic establishment and wholly dependant on your household for support, you may (if there are no spousal claims) claim the unused portion of the Disability Tax Credit. You can claim it even if you yourself are married and the disabled person has enough income to disallow the Eligible Dependant claim. A parent or child of the disabled person may claim the unused portion of the disabled person's disability amount if the disabled person's spouse is not claiming either the spousal amount or any transfer credit, and no one is claiming the disabled person as an Eligible Dependant.
  • You can make claim the unused portion of the Disability Tax Credit for each (Canadian resident) parent or child of you or your spouse who either lives with you in a self-contained domestic establishment or is dependant on you by reason of infirmity, whether living with you or not.


*CA PrimePlus Services is a registered trademark of the Canadian Institute of Chartered Accountants. Eldercare/CA PrimePlus Services is a customizable range of financial management services for elderly and disabled persons.

Anne Chun, C.A. CFP is the principal of Anne Chun Professional Corporation, providing financial, tax, estate and Eldercare services. She is also the co-author of "Planning your Financial Future".