Canada: CRA moves to slash 'excessive' fees charged by disability tax credit companies - - PressFrom - Canada
  •   
  •   
  •   

CanadaCRA moves to slash 'excessive' fees charged by disability tax credit companies

17:52  14 june  2019
17:52  14 june  2019 Source:   cbc.ca

Teen charged after vehicle clocked doing 151 km/hr in construction zone

Teen charged after vehicle clocked doing 151 km/hr in construction zone A 17-year-old driver from Athabasca is heading to court after an Alberta Sherriff recorded a driver doing more than 150 km/hr in a construction zone.

The Canada Revenue Agency is proposing to dramatically slash what it calls " excessive " fees some companies charge to help Canadians apply for the disability tax credit , nearly five years after it was told to do so.The move , which according to the CRA could put millions of dollars back in the.

READ MORE: CRA denies criteria change for disability tax credit , will review rejected application. Another perplexing outcome is the CRA ’s recent move The Canada Revenue Agency is proposing to dramatically slash the " excessive " fees some companies charge to help Canadians apply for the

The Canada Revenue Agency is proposing to dramatically slash the "excessive" fees some companies charge to help Canadians apply for the disability tax credit, nearly five years after it was told to do so.

The move, which according to the CRA could put millions of dollars back in the hands of disabled people, is being applauded by some advocates, but panned by companies that last year collected up to $25 million in fees.

"The government of Canada decided that measures were needed to protect Canadians living with disabilities and their supporting family members from being charged more than what is considered adequate compensation for the services rendered," according to a CRA analysis released earlier this month.

Edmonton man who says he's unable to work finds $100,000 in Calgary treasure hunt

Edmonton man who says he's unable to work finds $100,000 in Calgary treasure hunt A treasure hunt that sent Calgarians scurrying around the city in search of a reported $100,000 prize has come to an end. The treasure, hidden by a group called Gold Hunt, was found by Edmontonian Jeff Larue, who has been off work due to a disability for two years. "This couldn't have come at a better time for me," said Larue in a news release. "I was just denied AISH." The company behind the hunt buried gold and silver pieces it valued at $100,000 and charged would-be treasure hunters $25 for a map with clues or $45 for a package that included five additional clues.

One of the biggest disability tax credit companies in Canada is National Benefit Authority. It has advertised in Halifax. She charges 20 per cent for helping people access the disability tax credit , although she said she provides free advice in other areas where people may need help.

tax credit industry, the Canada Revenue Agency has finally drafted regulations it says will put millions of dollars back into the hands of disabled people. • Friday, 14 June 2019 Five years after legislation was passed to crack down on the disability tax credit industry, the Canada Revenue Agency has

More than a million Canadians receive the disability tax credit, which can be worth thousands of dollars and is designed to provide help for people who have mental or physical impairments that are "severe and prolonged."

Over the years, businesses have sprouted up to help people apply for the tax credit. They charge anywhere from 15 to 40 per cent in contingency fees and last year collected between $9.5 million and $25.4 million, according the CRA.

The proposed restrictions will significantly reduce that take. Companies will only be permitted to charge $100 for an application to determine eligibility, another $100 to actually apply, and then $100 for each year the credit is retroactive.

CRA moves to slash 'excessive' fees charged by disability tax credit companies © Dave Laughlin

There have long been calls for a crackdown. Legislation introduced by the Harper government in 2014 intended to tighten the rules, but it's only now that federal officials have released draft regulations.

Blues GM: Barbashev suspension 'excessive'

Blues GM: Barbashev suspension 'excessive' Doug Armstrong doesn't believe Ivan Barbashev's one-game ban was warranted. 

CRA moves to slash ' excessive ' fees charged by disability tax credit companies | CBC News. Five years after legislation was passed to crack down on the disability tax credit industry, the Canada Revenue Agency has finally drafted regulations it says will put millions of dollars back into the hands

CRA moves to slash ' excessive ' fees charged by disability tax credit companies | CBC News. Personal tax experts are reminding Canadians to claim all of the tax credits they may be eligible for when they file their income tax return this year including the new climate-related tax credit and other

"I think it's a great change," said Eastern Passage, N.S., resident Cathy Publicover.

Publicover has several disabilities and initially sought the help of a Toronto company called National Benefit Authority to apply for the tax credit. But after being told the company would charge her 30 per cent to submit the application, she decided to do it herself. She found it easy and simple to complete.

"At that time it would have taken $970 from me," Publicover said, adding it is money she uses to pay for her medication and other health-related bills.

Those who apply for the disability tax credit are required to fill out a small portion of a form with their personal information, while the remainder is completed by the patient's doctor or nurse practitioner.

CRA moves to slash 'excessive' fees charged by disability tax credit companies © CBC

Companies currently charge as much as $4,663 to help to an adult, and $7,383 for an eligible minor, depending on the amount of the disability tax credit and the number of retroactive years, according to the CRA.

Woman charged with 22 break-ins at Edmonton seniors' residences

Woman charged with 22 break-ins at Edmonton seniors' residences A woman has been charged with multiple crimes in connection with more than 20 break-ins at seniors' assisted-living residences in Edmonton. A lone female suspect targeted seniors' residences in 22 break and enters between October 2018 and May 2019, police said Thursday in a news release. Each time, the suspect entered the building unnoticed and walked from floor to floor looking for unlocked suite doors. Once inside she would steal valuables. "The vast majority of the incidents occurred while residents were inside their suites," Const. Justin Miller said in the news release.

You may claim the disability tax credit for yourself, a child, or your spouse or common-law partner. To apply, either the person with the disability or a If the CRA determines you should have been eligible for the DTC in previous tax years, you can file for this credit retroactively. In order to do so, file Form

The Disability Tax Credit is intended to help people who cope with a prolonged or permanent impairment. The impairment can be It will cost you: Specialized DTC service companies charge a fee for the service they provide. How long does it take to process disability tax credit application?

Those kinds of fees are "unconscionable," said Patrick Curran, the national executive director of Independent Living Canada. The organization advocates for the disabled and has 25 offices across the country that help people fill out the disability tax credit (DTC) forms for free.

"Our position has been that there should not be any charge whatsoever for the filing of an application for a DTC," Curran said.

He welcomes the proposed changes and said he's fine with setting the fee at $100 an application.

CRA moves to slash 'excessive' fees charged by disability tax credit companies © Provided by Canadian Broadcasting Corporation

But Monique Brooks, who owns and operates Disability Tax Credit Consultant Services in Harrowsmith, Ont., told CBC she was "horrified" when she learned about the plan to replace contingency fees with a $100 flat rate per application.

"Some of these businesses have employees and so therefore it's going to cause job loss," she said.

One of the biggest companies is National Benefit Authority. It previously has not responded to CBC inquiries about a complaint and has not replied to a request to comment on this story.

Bell and Telus beef up data plans after Rogers sparks 'unlimited' price war

Bell and Telus beef up data plans after Rogers sparks 'unlimited' price war After Rogers announced an unlimited data plan on Wednesday, the company's two big rivals came out with expanded data plans of their own.

The Canada Revenue Agency is proposing to dramatically slash what it calls " excessive " fees some companies charge to help Canadians apply for the disability tax Daha Fazla.

So be careful, because they're on the move ." Arrest warrant issued for deadbeat dad owing more than 0K. CRA moves to slash ' excessive ' fees charged by disability tax credit companies .

Unlike some of the really big companies, Brooks is a one-person operation.

She charges 20 per cent for helping people access the disability tax credit, although she said she provides free advice in other areas where people may need help. She said the government makes people in her business sound like "we're vultures and it makes it sound like we're taking advantage of the disabled."

She said while that may be partly true of some companies, people who are denied the tax credit need help reapplying from those who know "the ins and outs of the system."

She said the 20 per cent is reasonable because "that same Canadian without my support might have a 90 per cent chance of being denied and then they would get zero."

CRA moves to slash 'excessive' fees charged by disability tax credit companies © Provided by Canadian Broadcasting Corporation

She said the application process is not as easy as the government makes it sound and she's spent two-and-a-half years helping applicants get approval. She notes she does not get paid until the application is approved and receives nothing if it's rejected.

The executive director of an organization that represents companies like Brooks's calls the regulations "an unprecedented move."

Nicola Moorhouse, with the Association of Canadians Disability Benefit Professionals, said in a news release that taxes are complicated and "dealing with CRA can be a nightmare."

Premium credit cards: how to get the annual fee waived

Premium credit cards: how to get the annual fee waived If you want to keep your premium credit card but not pay a fee, the first step is to call your credit card company. Politely tell the customer service representative that you are considering cancelling your card, and was wondering if there were any retention offers available. Ask to be transferred to the retention department as retention officers have the power waive your fee. Keep in mind that it is the retention officer's job to keep you as a customer, but have you pay the fee. A common tactic used is to have the customer use their points to pay the annual fee. I always decline this "offer" as it is a terrible use of my points.

Ben Brown’s disability tax credit application has been rejected. He has undergone 32 operations for a congenital hearing defect that has worsened CRA moves to slash ‘ excessive ’ fees charged by disability tax credit companies . Unacceptably low number of Albertans receive disability tax credit .

CRA moves to slash ' excessive ' fees charged by disability tax credit companies | CBC News. Five years after legislation was passed to crack down on the disability tax credit industry, the Canada Revenue Agency has finally drafted regulations it says will put millions of dollars back into the hands

She said the direct result will be unavailability of services to disabled Canadians, near total job loss within the industry and fewer benefits for those who need them most.

"It should be obvious that the intent and effect of the proposed regulations is to wipe out the service-provider business and reduce the availability of the DTC to disabled Canadians." Moorhouse said.

CRA 'balancing act'

A CRA spokesperson calls the regulations "an important balancing act." On the one hand it wants to protect persons with disabilities, who can be some of Canada's most vulnerable people, but it also recognizes that some may need help with their tax credit requests and that companies, which the CRA calls promoters, can play a role.

"While we recognize that reaction from various stakeholders will be varied, the CRA believes it has found the right balance," Dany Morin said.

He added the CRA is also continuing to work to simplify and clarify the disability tax credit application process and expects to make significant progress on this front in the coming months.

Morin said once the consultation period has ended, the CRA will consider the feedback and may revise the proposal. It will then be up to the minister of national revenue to approve it.

MORE TOP STORIES

Read more

'You don't care': Students lash out at province over OSAP cuts.
Ottawa students are about to learn just how far they'll have to stretch their budgets, as changes to the Ontario Student Assistance Program (OSAP) became black-and-white this week. Students across the province have received updates on what they can expect to receive in loans and grants next year, and many have said they're shocked to see how significant the changes are. Shuhiba Mohammad, a PhD student in human kinetics at the University of Ottawa, told CBC Radio's All In A Day her funding has been altered dramatically from a $5,200 grant last year to a $1,400 grant and a $6,400 loan this year.

—   Share news in the SOC. Networks

Topical videos:

usr: 3
This is interesting!