17 August 1998 Ministerial Letter 9815588 - COSMETIC SURGERY AS A MEDICAL EX

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 claiming cosmetic surgery as a medical expense constitutes tax evasion

Position: no

Reasons: cosmetic surgery qualifies as a medical ex as long as there is a medical purpose which normally there is

August 17, 1998

XXXXXXXXXX

Dear XXXXXXXXXX:

I am replying to your e-mail message for the Honourable Paul Martin, Minister of Finance, concerning an income tax deduction for the cost of cosmetic surgery. Mr. Martin sent me a copy of your message on May 5, 1998.

Under the Income Tax Act, an amount paid to a medical doctor, nurse, or hospital normally qualifies as a medical expense for the purpose of the medical expense tax credit, since such amounts are usually paid for medical services rendered. I have enclosed a copy of Interpretation Bulletin IT-519R2, Medical Expense and Disability Tax Credits and Attendant Care Expense Deduction, which describes the expenses that qualify as medical expenses for purposes of the medical expense tax credit.

Surgery of any kind, including cosmetic and elective surgery, is usually carried out for a valid medical reason. For example, cosmetic surgery to reconstruct facial damage caused by an accident has a clear medical purpose. Even though personal choice may be involved in a decision to proceed with cosmetic surgery, it is still considered to be a medical service, as long as there is a medical reason for it. Given that it is always a question of fact, the opinion of a medical doctor is of paramount importance in making the determination.

I appreciate the opportunity to address your concerns.

						Yours sincerely,

						Herb Dhaliwal, P.C., M.P.
Attachment

C.C. Albert Wakkary
Department of Finance
Minister’s Office
Political Assistant

A. Humenuk
957-2134