11 June 1998 External T.I. 9812645 - SKIN PRODUCT IS NOT A 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.

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the Department.

Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle du ministère.

Principal Issues: whether the skin care product called XXXXXXXXXX , or the service of providing the treatment, qualifies as a medical expense

Position: no

Reasons: the person who applies the treatment, an aesthetician, is not a medical practitioner and although the product purports to treat skin disease it is not prescribed by a medical practitioner nor is it recorded in a pharmaceutical register

XXXXXXXXXX 981264
A. Humenuk

June 11, 1998

Dear XXXXXXXXXX:

Re: XXXXXXXXXX

This is in reply to your letter of May 12, 1998, in which you ask whether the above-noted treatment qualifies as a medical expense for purposes of the medical expense tax credit in the Income Tax Act (the "Act").

XXXXXXXXXX

The aesthetician who provides this service explained that this assertion is made on the basis that the treatment can be considered to be a medical expense.

Effective for 1988 and subsequent taxation years, medical expenses are no longer deductible in computing taxable income. Instead, the amount paid by an individual in a 12 month period ending in a year for medical expenses as defined in subsection 118.2(2) of the Act, is used to determine the non-refundable medical expense tax credit that can only be applied to reduce the amount of tax payable under Part I of the Act for that year. As explained to you in our conversation of May 25, 1998 (XXXXXXXXXX\Humenuk), Interpretation Bulletin IT-519R2, Medical Expense and Disability Tax Credits and Attendant Care Expense Deduction, provides a description of all the expenses which qualify as medical expenses for the purpose of the medical expense tax credit.

Based on the information in the brochure which you sent to us, it appears that the XXXXXXXXXX involves the application of a skin care product by an aesthetician. Although the treatment was developed by a medical doctor, the treatment is available without a doctor’s prescription and the aesthetician who applies the treatment need not be a medical practitioner. Based on the information in the brochure, it is our view that the cost of the XXXXXXXXXX is not an eligible medical expense.

We trust that these comments have clarified our position in this matter.

Yours truly,

J.F. Oulton, CA
for Director
Business and Publications Division
Income Tax Rulings and
Interpretations Directorate
Policy and Legislation Branch