Caregiver of a spouse
Test your knowledge
Question 1
That's correct
The amount of the senior assistance tax credit to which the individual is entitled is calculated even if you do not claim it when preparing their tax return (line 463).
*If both spouses are eligible, the couple can share the tax credit and choose how it will be divided between them. To do so, only one TP-1029.SA-V form needs to be completed. However, please note that both spouses need to sign the form.
Sorry, that's incorrect
The amount of the senior assistance tax credit to which the individual is entitled is calculated even if you do not claim it when preparing their tax return (line 463).
*If both spouses are eligible, the couple can share the tax credit and choose how it will be divided between them. To do so, only one TP-1029.SA-V form needs to be completed. However, please note that both spouses need to sign the form.
Question 2
Sorry, that's incorrect
Victor would not be able to claim this amount unless he was the one providing care for someone else.
That's correct
Victor would not be able to claim this amount unless he was the one providing care for someone else.
Instructions
- Open the UFile CVITP software
- Review the background information and slips required (tax slips, receipts, etc.). Enter all the necessary information into the required section of the tax software
- Once completed, compare your results with the solution provided
- You don't have the same results? Consult the Reminder of key points of the tax software as needed
- Check out the Takeaway points at the end
Background information
| Family head | Monique Rousseau |
|---|---|
| Social insurance number (SIN) | 000 000 000 |
| Address | 123 rue Principale
City QC X0X 0X0 |
| Telephone number | 450-444-4444 |
| Date of birth (DOB) | November 19, 1945 |
| Marital status | Common-law:
Victor Russel since September 28, 1972 SIN: 000 000 000 DOB: March 21, 1944 |
Details
- The couple lives together in a low-rental housing (HLM). Their rent is $520 per month
- Monique received income from a registered pension plan (RPP), Old Age Security (OAS) pension and Quebec Pension Plan (QPP) benefits
- Victor received the OAS pension and the Guaranteed Income Supplement
- Victor has Alzheimer's disease and needs assistance in carrying out a basic activity of daily living
- The prescribed forms have been approved by the CRA and Revenu Québec
- They are covered by the Quebec prescription drug insurance plan and paid medical expenses totaling $1,350 for Victor
- Monique is claiming the solidarity tax credit
Slips required
T4A – Statement of Pension, Retirement, Annuity, and Other Income for Monique
Text version for the above image
T4A – Statement of Pension, Retirement, Annuity, and Other Income
Protected B
Payer's name: Bank of Canada
Recipient's name and address:
Last name: Rousseau
First name: Monique
123 Principale
City QC X0X 0X0
Box 012: Social insurance number: 000 000 000
Box 016: Pension or superannuation – line 11500: 6,348.70
Box 022: Income tax deducted – line 43700: 634.87
RL-2 – Revenus de retraite et rentes (Retirement and annuity income) – Banque du Canada for Monique
Text version for the above image
Relevé 2 Revenus de retraite et rentes
Code du relevé: R
Provenance des revenus: RPA
Box A– Prestations d'un RPA: 6,348.70
Box J– Impôt du Québec retenu à la source: 600.00
Numéro d'assurance sociale du bénéficiaire: 000 000 000
Nom et adresse du payeur ou de l'émetteur: Banque du Canada
Nom de famille, prénom et adresse du bénéficiaire:
Rousseau, Monique
123 Principale
City QC X0X 0X0
T4A(P) – Statement of Canada Pension Plan Benefits for Monique
Text version for the above image
T4A(P) – Statement of Canada Pension Plan Benefits
Protected B
Issued by: Service Canada
Rousseau, Monique
123 Principale
City QC X0X 0X0
Box 20: Taxable CPP benefits: 1,700.65
Box 23: Number of months – retirement: 12
Box 12: Social insurance number: 000 000 000
Box 14: Retirement benefit: 1,700.65
RL-2 – Revenus de retraite et rentes (Retirement and annuity income) – Retraite Québec for Monique
Text version for the above image
Relevé 2 Revenus de retraite et rentes
Code du relevé: R
Provenance des revenus: RRQ
Box C– Autres paiements: 1,700.65
Numéro d'assurance sociale du bénéficiaire: 000 000 000
Nom et adresse du payeur ou de l'émetteur: Retraite Québec
Nom de famille, prénom et adresse du bénéficiaire:
Rousseau, Monique
123 Principale
City QC X0X 0X0
T4A(OAS) – Statement of Old Age Security for Monique
Text version for the above image
T4A(OAS) – Statement of Old Age Security
Protected B
Issued by: Service Canada
Rousseau, Monique
123 Principale
City QC X0X 0X0
Box 12: Social insurance number: 000 000 000
Box 18: Taxable pension paid: 7,289.52
Box 19: Gross pension paid: 7,289.52
T4A(OAS) – Statement of Old Age Security for Victor
Text version for the above image
T4A(OAS) – Statement of Old Age Security
Protected B
Issued by: Service Canada
Russel, Victor
123 Principale
City QC X0X 0X0
Box 12: Social insurance number: 000 000 000
Box 18: Taxable pension paid: 7,289.52
Box 19: Gross pension paid: 7,289.52
Box 21: Net supplements paid: 4,072.20
Solutions
Reminder of key points of the tax software
Note:
To access complete instructions on the various steps of entering data into the software, click on the title of each section below.
-
Monique's interview
Pension and Retirement Income – T4A and RL-2
- Click Interview setup in the left-side menu
- In the Pension and other income section, tick the box next to Pension income, other income and split pension income, COVID-19 benefits (T4A, T4FHSA, T4A(OAS), T4A(P), T4A-RCA, T4RSP, T4RIF, T1032)
- Click T4A, T4FHSA and pension income in the left-side menu
- In the T4A, T4FHSA and pension income section, click the + sign next to T4A – Pension income (RL-2) with taxable benefits (RL-1)
- Enter the amount from box 16 and select Registered pension plan from the Pension or superannuation drop-down menu. Enter the amounts from the tax slips into the corresponding fields
Quebec Pension Plan benefits – T4A(P) and RL-2
- Click T4A, T4FHSA and pension income in the left-side menu
- In the T4A, T4FHSA and pension income section, click the + sign next to T4A(P) – Statement of Canada or Quebec pension plan benefits (RL-2) and enter the amounts
Tax credit for home-support services for seniors
- Click Senior home support in the left-side menu
- In the Situations section, click the + sign next to You lived in an apartment building (other than a private seniors' residence)
- Select Yes for the question Did you live in the same dwelling throughout 2024?
- Select No for the question Are you considered a dependent senior?
- Select Yes for the question Is your spouse on December 31 (if applicable) considered as a dependent senior?
- In the Eligible expenses section, enter 520 into the Monthly rent (your share) for the first month of 2024 in this apartment (Schedule J, line 30) field and enter the number of months into the Number of months in 2024 that you paid this rent field
Additional steps to consider
Ensure that you have:
- entered the amounts from the T4A(OAS) slip related to the Old Age Security pension
- answered the questions related to the Quebec prescription drug insurance plan
- answered the questions related to the solidarity tax credit
-
Victor's interview
- Click Interview setup in the left-side menu
- In the Common tax deductions section, tick the box next to Medical expenses, disability, caregiver
- Click Medical, disability, caregiver in the left-side menu
- Click the + sign next to Medical expenses (including TP-752.0.13.1)
- Under the Medical expenses section, enter the details into the fields for Dates (dd-mm-yyyy), descriptions of medical expenses, amounts in the $ field
Disability amount and amount for a severe and prolonged impairment
- Click Medical, disability, caregiver in the left-side menu
- In the Disability deductions, caregiver section, click the + sign next to Infirmity and Disability amounts claim for yourself* (line 31600)
- Enter the details into the Name or description of infirmity (or enter unknown in lieu of the name or description): field and select Claim disability amount (default) for the question Are you eligible for the disability amount on federal line 31600?
- Select Yes for the question Does this infirmity provide entitlement to the Canada caregiver amount?
- Select Claim disability amount (default) for the question Are you eligible for the amount for a severe and prolonged impairment in mental or physical functions on Quebec line 376?
- Select Needs daily assistance – living together for the question Does the person need assistance to perform a basic activity of daily living? (Certified by a health professional on line 46 of Form TP-752.0.14-V)
- Select Let MaxBack decide for the first two questions in the Special rules when claiming the disability amount and attendant care as medical expenses section
- Select Yes for the question Does CRA already have an approved T2201 form for this disability?
Canada caregiver amount and refundable tax credit for caregivers
- Click Medical, disability, caregiver in the left-side menu
- Click the + sign next to Schedule H – Eligibility and dates of the qualifying period for the caregiver amount for this spouse (Quebec line 462)
- Enter 01-01-2024 into the Beginning date of the qualifying period for the caregiver amount (dd-mm-yyyy) field and 31-12-2024 into the Ending date of the qualifying period for the caregiver amount (dd-mm-yyyy) field
- Select No for the question Will the qualifying period of 365 consecutive days (supporting a relative) be completed before July 2, 2025?
- Click on Monique's profile
- Click Quebec tax credits in the left-side menu
- In the Quebec line 462 section, click the + sign next to Schedule H – Dwelling information for the tax credit for caregiver
- Select The taxpayer for the Select the person who is the owner, lessee or sub lessee of the dwelling (Part A of Schedule H) field
Additional steps to consider:
Ensure that you:
- entered the amounts from the T4A(OAS) slip related to the Old Age Security pension
- answered the questions related to the Quebec prescription drug insurance plan
Takeaway points
Quebec Pension Plan benefits – T4A(P) and RL-2 slips
- There is no box 20 on this page of the tax software, whereas the T4A(P) slip starts with this box, it is normal
- Once you have entered the amounts included in boxes 14, 15, 16, 17, 18, and 19, the tax software will calculate the total corresponding to the amount from box 20
Tax credit for home-support services for seniors
- If the individual is 70 years of age or older and resided in Quebec at the end of the year, they can claim a tax credit for expenses related to home-support services
- it is a refundable credit, meaning that it can be granted even if there is no tax to pay
- If the individual had a spouse at the end of the year and the spouse was also entitled to the tax credit, only one person can claim the tax credit for the couple
Senior assistance tax credit
- The amount on line 463, the senior assistance tax credit, is an amount that can be paid to an individual if they are eligible and if they or their spouse was 70 years old or older on December 31 of that same year
- The tax credit can be paid automatically, even if you do not claim it when you prepare the tax return
- The tax credit amount can also be shared with the spouse
Canada caregiver amount and tax credit for caregivers
- Monique is eligible for the Canada caregiver amount on line 30425 of her federal tax return
- The amount on line 462 of Monique's Quebec income tax return is the tax credit for caregivers. However, if the individual is entitled to several credits, all the credits will be added up and box 461 should show code 99 instead of 02
Medical expenses
- Even if the medical expenses were entered into Victor's profile, MaxBack chose to give the medical expenses to Monique on line 381 of the Quebec income tax return but not on line 33099 of the federal tax return because it is the most advantageous calculation for this scenario