7 July 1987 Income Tax Severed Letter 7-1691 - [Medical Expense]

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the CRA.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'ARC.

REVENU CANADA TAXATION MEMORANDUM

DATE July 7, 1987

TO- ENQUIRIES AND TAXPAYER ASSISTANCE DIVISION 400 Cumberland Place, Rm 2000

ATTENTION M. Viger

FROM- SMALL BUSINESS AND GENERAL
          DIVISION
        C. Tremblay
        957-2139

RE: Medical Expenses - Subparagraph 110(1)(c)(vi) of the Income Tax Act

This is in reply to your memorandum of March 30, 1987, requesting our advice as to whether the XXXX should be added to your list of qualified schools as found in TOM 4045(12) item 35.

We have reviewed the documentation submitted and it appears the school meets the criteria set out in subparagraph 110(1)(c)(vi) of the Income Tax Act (the Act). It employs specially trained teachers qualified to care for and train the children and eventually correct the condition or handicap of the learning disabled.

Although the school appears to meet the criteria, in each case it has to be determined whether the individual attending the school, in respect of whom a deduction is being made satisfies the requirements imposed under subparagraph 110(1)(c)(vi) of the Act. Such an individual must have been "... certified by an appropriately qualified person to be an individual who, by reason of a physical or mental handicap, requires the equipment, facilities or personnel specially provided by that school, institution or other place for the care, or the care and training of individuals suffering from the handicap suffered by that individual ...".

To clarify a bit further, an appropriately qualified person includes a qualified medical practitioner as well as any other person who has been given the required certification powers under provincial or federal law. A handicap is defined in the Concise Oxford dictionary as "a disadvantage that makes achievement unusually difficult". With these definitions in mind, it is our view, that if the dependents have been certified, assessed and diagnosed as learning disabled and the reason the children are sent to this school is attributable to the advice of the qualified person, then the criteria of subparagraph 110(1)(c)(vi) has been met.

It is thus our opinion that individuals, meeting the above conditions, suffering from learning disability problems and in attendance at XXXXXXXX specializing in this type of problem are considered to qualify under this provision and the expenses incurred are allowable as medical expenses even though some part of the expenses could be construed as being tuition fees.

We trust our comments will be of assistance.

Director Small Business and General Division Specialty Rulings Directorate Legislative and Intergovernmental Affairs Branch